Denied
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TAW-85849  /  Zemco Industries, Inc. (Buffalo, NY)

Petitioner Type: Workers
Impact Date:
Filed Date: 02/24/2015
Most Recent Update: 03/30/2016
Determination Date: 03/30/2015
Expiration Date:

DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-85,849

ZEMCO INDUSTRIES, INC.
PREPARED FOODS DIVISION
AN INDIRECT WHOLLY OWNED SUBSIDIARY OF TYSON FOODS, INC.
INCLUDING ON-SITE LEASED WORKERS FROM
SNELLING, AEROTECH, AND SPS TEMPS
BUFFALO, NEW YORK

Notice of Negative Determination
After Statutory Reconsideration

As required by the Trade Adjustment Assistance Reauthorization
Act of 2015 (TAARA 2015), which was enacted as Title IV of the
Trade Preferences Extension Act of 2015, Public Law No. 114-27,
section 405(a)(1)(A), the investigation into this petition was
reopened for a reconsideration investigation to apply the
requirements for worker group eligibility under chapter 2 of title
II of the Trade Act of 1974, as amended by the TAARA 2015, to the
facts of this petition (statutory reconsideration).
The initial investigation, initiated February 24, 2015,
resulted in a negative determination, issued on March 30, 2015,
that was based on no import increase and/or shift in production to
a foreign country. The determination was applicable to workers and
former workers of Zemco Industries, Inc., an indirect wholly
owned subsidiary of Tyson Foods, Inc., Prepared Foods Division,
including on-site leased workers from Snelling, Aerotech, and SPS
Temps, Buffalo, New York (herein known as “Zemco”). The workers’
firm is engaged in activities related to the production of ham,
lunchmeat, hot dogs and sausage.
Based on information reviewed during the reconsideration
investigation, the Department of Labor determines that imports of
articles, shifts in production abroad, or acquisitions of articles
did not contribute importantly to worker separations. Furthermore,
the worker group did not qualify as a secondary worker or was
affirmed in a final determination by the United States
International Trade Commission.
With respect to Section 222(a)(2)(A)(ii) of the Act, the
investigation revealed that imports of articles like or directly
competitive with ham, lunchmeat, hot dogs or sausage by Zemco
have not increased.
With respect to Section 222(a)(2)(B) of the Act, the
investigation revealed that the firm did not shift the supply of
ham, lunchmeat, hot dogs or sausage or a like or directly
competitive article to a foreign country or acquire ham,
lunchmeat, hot dogs or sausage or a like or directly competitive
article from a foreign country.
With respect to Section 222(b)(2) of the Act, the
investigation revealed that Zemco is not a Supplier to a firm
that employed a group of workers who received a certification of
eligibility under Section 222(a) of the Act, 19 U.S.C. § 2272(a).
With respect to Section 222(b)(2) of the Act, the
investigation revealed that Zemco does not act as a Downstream
Producer to a firm that employed a group of workers who received a
certification of eligibility under Section 222(a) of the Act, 19
U.S.C. § 2272(a).
Finally, the group eligibility requirements under Section
222(e) of the Act, have not been satisfied either because Criterion
(1) has not been met since the workers’ firm has not been publicly
identified by name by the International Trade Commission as a
member of a domestic industry in an investigation resulting in an
affirmative finding of serious injury, market disruption, or
material injury, or threat thereof.

Conclusion
After careful review, I determine that the requirements of
Section 222 of the Act, 19 U.S.C. § 2272, have not been met and,
therefore, deny the petition for group eligibility of Zemco
Industries, Inc., Prepared Foods Division, an indirect wholly
owned subsidiary of Tyson Foods, Inc., including on-site leased
workers from Snelling, Aerotech, and SPS Temps, Buffalo, New
York, who were engaged in employment related to production of ham,
lunchmeat, hot dogs and sausage to apply for adjustment assistance,
in accordance with Section 223 of the Act, 19 U.S.C. § 2273.

Signed in Washington, D.C. this 30th day of March, 2016


/s/Hope D. Kinglock
______________________________
HOPE D. KINGLOCK
Certifying Officer, Office of
Trade Adjustment Assistance





DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-85,849

ZEMCO INDUSTRIES, INC.
AN INDIRECT WHOLLY OWNED SUBSIDIARY OF TYSON FOODS, INC.
PREPARED FOODS DIVISION
INCLUDING ON-SITE LEASED WORKERS FROM
SNELLING, AEROTECH AND SPS TEMPS
BUFFALO, NEW YORK

Negative Determination Regarding Eligibility
To Apply For Worker Adjustment Assistance
And Alternative Trade Adjustment Assistance

In accordance with Section 223 of the Trade Act of 1974, as
amended ("Act"), 19 U.S.C. § 2273, the Department of Labor herein
presents the results of an investigation regarding certification of
eligibility to apply for worker adjustment assistance.
Workers of a firm may be eligible for worker adjustment
assistance if they satisfy the criteria of subsection (a) and (b)
of Section 222 of the Act, 19 U.S.C. § 2272(a) and (b). For the
Department of Labor to issue a certification for workers under
Section 222(a) of the Act, 19 U.S.C. § 2272(a), the following three
criteria must be met:
(1) The first criterion (set forth in Section 222(a)(1) of the
Act, 19 U.S.C. § 2272(a)(1)) requires that a significant
number or proportion of the workers in such workers' firm, or
an appropriate subdivision of the firm, have become totally or
partially separated, or are threatened to become totally or
partially separated
(2) The second criterion (set forth in Section 222(a)(2) of the
Act, 19 U.S.C. § 2272(a)(2)) may be satisfied in one of two
ways:
(A) Increased Imports Path:
(i) sales or production, or both, at the workers' firm must
have decreased absolutely, AND
(ii) imports of articles like or directly competitive with
articles produced by such firm or subdivision have
increased; and
(iii) the increase described in clause (ii) contributed
importantly to such workers' separation or threat of
separation and to the decline in the sales or
production of such firm or subdivision.

(B) Shift in Production Path:
(i) there has been a shift in production by such workers'
firm or subdivision to a foreign country of articles like
or directly competitive with articles which are produced
by such firm or subdivision; and
(ii)(I) the country to which the workers' firm has
shifted production of the articles is a party to a free
trade agreement with the United States;
(II)the country to which the workers' firm has
shifted production of the articles is a beneficiary
country under the Andean Trade Preference Act, African
Growth and Opportunity Act, or the Caribbean Basin
Economic Recovery Act; or
(III)there has been or is likely to be an increase in
imports of articles that are like or directly
competitive with articles which are or were produced by
such firm or subdivision.

For the Department to issue a secondary worker certification
under Section 222(b) of the Act, 19 U.S.C. § 2272(b), to workers of
a Supplier or a Downstream Producer, the following criteria must be
met:
(1) a significant number or proportion of the workers in the
workers' firm or an appropriate subdivision of the firm
have become totally or partially separated, or are
threatened to become totally or partially separated;

(2) the workers' firm is a Supplier or Downstream Producer to
a firm that employed a group of workers who received a
certification of eligibility under Section 222(a) of the
Act, 19 U.S.C. § 2272(a), and such supply or production
is related to the article that was the basis for such
certification; and

(3) either
(A) the workers' firm is a supplier and the component parts
it supplied to the firm described in paragraph (2)
accounted for at least 20 percent of the production or
sales of the workers' firm; or
(B) a loss of business by the workers' firm with the firm
described in paragraph (2) contributed importantly to the
workers' separation or threat of separation.

Section 222(c) of the Act, 19 U.S.C. § 2272(c), defines the
terms "Supplier" and "Downstream Producer."
The investigation was initiated in response to a petition
filed on February 24, 2015 on behalf of workers of Zemco
Industries, Inc., an indirect wholly owned subsidiary of Tyson
Foods, Inc., Prepared Foods Division, Buffalo, New York. The
workers' firm is engaged in activities related to the production of
ham, lunchmeat, hot dogs and sausage. The worker group includes
on-site leased workers from Snelling, Aerotech, and SPS Temps.
The petitioners alleged that trade effects on separations
were unknown. During the course of the investigation, information
was collected from the workers' firm.
With respect to Section 222(a)(2)(A) of the Act, the
investigation revealed that the worker separations are not
attributable to increased imports of ham, lunchmeat, hot dogs and
sausage.
With respect to Section 222(a)(2)(B), the investigation
revealed that the worker separations are not attributable to a
shift in production of ham, lunchmeat, hot dogs and sausage to a
foreign country. Rather, the investigation confirmed that the
worker separations are attributable to the relocation of work to
other Tyson Food plants located within the United States.
With respect to 222(b), the investigation revealed that
Zemco Industries, Inc. is not a Supplier or Downstream Producer
to a firm that employs a TAA-certified worker group.
In order for the Department to issue a certification of
eligibility to apply for alternative trade adjustment assistance
(ATAA), the worker group must be certified eligible to apply for
trade adjustment assistance (TAA). Since the workers are denied
eligibility to apply for TAA, the workers cannot be certified
eligible for ATAA.
Conclusion
After careful review of the facts obtained in the
investigation, I determine that all workers of Zemco Industries,
Inc., an indirect wholly owned subsidiary of Tyson Foods, Inc.,
Prepared Foods Division, including on-site leased workers from
Snelling, Aerotech, and SPS Temps, Buffalo, New York, engaged in
activities related to the production of processed pork and beef
products are denied eligibility to apply for adjustment assistance
under Section 223 of the Trade Act of 1974, and are also denied
eligibility to apply for alternative trade adjustment assistance
under Section 246 of the Trade Act of 1974.

Signed in Washington, D.C., this 30th day of March, 2015.

/s/Michael W. Jaffe
______________________________
MICHAEL W. JAFFE
Certifying Officer, Office of
Trade Adjustment Assistance