Denied
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TAW-85945  /  International Business Machines (IBM) (Hopewell Junction, NY)

Petitioner Type: State
Impact Date:
Filed Date: 04/16/2015
Most Recent Update: 02/12/2016
Determination Date: 06/16/2015
Expiration Date:

DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-85,945

INTERNATIONAL BUSINESS MACHINES (IBM)
GLOBAL PROCUREMENT SYSTEM STRATEGY INCLUDING ON-SITE LEASED
WORKERS FROM MANPOWER AND COLLABERA, INC.
HOPEWELL JUNCTION, 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 April 16, 2015, resulted
in a negative determination, issued on June 16, 2015, that was
based on no decline in employment. The determination was applicable
to workers and former workers of International Business Machines
(IBM), Global Procurement System Strategy, including on-site
leased workers from Manpower and Collabera, Inc., Hopewell
Junction, New York. The workers’ firm is engaged in activities
related to the supply of internal IT support services.
Based on information reviewed during the reconsideration
investigation, the Department of Labor determines that there was no
significant number or proportion of the workers in the firm that
has been separated.
With respect to Section 222(a) and Section 222(b) of the Act,
the investigation revealed that the requirement of Section
222(a)(1) has not been met because a “significant number or
proportion of the workers in such workers’ firm,” as defined in 20
CFR 90.2, have not become totally or partially separated, nor are
they threatened to become totally or partially separated.
Finally, the group eligibility requirements under Section
222(e) of the Act, have not been satisfied either because the
workers’ firm has not been publically 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 International
Business Machines (IBM), Global Procurement System Strategy,
including on-site leased workers from Manpower and Collabera,
Inc., Hopewell Junction, New York, who were engaged in employment
related to the supply of internal IT support services to apply for
adjustment assistance, in accordance with Section 223 of the Act,
19 U.S.C. § 2273.

Signed in Washington, D.C. this 12th day of February, 2016.


/s/Jacquelyn R. Mendelsohn
______________________________
JACQUELYN R. MENDELSOHN
Certifying Officer, Office of
Trade Adjustment Assistance




DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-85,945

INTERNATIONAL BUSINESS MACHINE (IBM)
GLOBAL PROCUREMENT SYSTEM STRATEGY
HOPEWELL JUNCTION, NEW YORK

Negative Determinations 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 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 April 16, 2015 on behalf of workers of International
Business Machine (IBM), Global Procurement System Strategy,
Hopewell Junction, New York. The workers' firm is engaged in
activities related to the internal information technology
support services.
The petitioner alleged that a shift in services impacted
workers at the Hopewell Junction facility. During the course
of the investigation, information was collected from the
workers' firm.
With regard to Sections 222(a)(1) and 222(b)(1) of the Act,
the investigation revealed that a significant number or
proportion of the workers have not been totally or partially
separated or threatened with total or partial separation. The
program regulations at 29 CFR Part 90.2 require that at least
three workers would ordinarily have to be affected. The
investigation confirmed that fewer than three workers are
threatened with separation at this time.
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. 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 International
Business Machine (IBM), Global Procurement System Strategy,
Hopewell Junction, New York, who are engaged in activities
related to the supply of internal information technology support
services are denied eligibility to apply for adjustment
assistance under Section 223 of the Trade Act of 1974, as
amended, and are also denied eligibility to apply for
alternative trade adjustment assistance under Section 246 of the
Trade Act of 1974, amended.

Signed in Washington, D.C. this 16th day of June 2015.

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