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TAW-93223  /  Saint-Gobain Proppants (Fort Smith, AR)

Petitioner Type: State
Impact Date: 10/14/2017
Filed Date: 10/12/2017
Most Recent Update: 08/03/2018
Determination Date: 08/03/2018
Expiration Date: 08/03/2020

DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-93,223

SAINT-GOBAIN PROPPANTS
SAINT-GOBAIN NORPRO DIVISION
A SUBSIDIARY OF SAINT-GOBAIN CORPORATION
FORT SMITH, ARKANSAS


Notice of Revised Determination
on Reconsideration

On May 4, 2018, the Department of Labor issued an Affirmative
Determination Regarding Application for Reconsideration for the
workers and former workers of Saint-Gobain Proppants, Saint–Gobain
NorPro Division, a subsidiary Saint-Gobain Corporation, Fort
Smith, Arkansas (Saint-Gobain Proppants-NorPro Division).
Workers of Saint-Gobain Proppants-NorPro Division are engaged in
activities related to the production of proppants used in the
extraction of oil and gas.
Workers and former workers of Saint-Gobain Proppants-NorPro
Division were eligible to apply for Trade Adjustment Assistance
under an earlier certification (TA-W-85,852) that expired on
October 13, 2017.
Based on a careful review of previously-submitted information
and additional information provided during the reconsideration
investigation, the Department determines that workers and former
workers of Saint-Gobain Proppants-NorPro Division meet the worker
group certification criteria under Section 222(b) of the Trade Act
of 1974, as amended.
Section 222(b)(1) has been met because a significant number
or proportion of the workers in Saint-Gobain Proppants-NorPro
Division have become totally or partially separated, or are
threatened to become totally or partially separated.
Section 222(b)(2) has been met because Saint-Gobain
Proppants-NorPro Division is 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), and such supply is
related to the finished article that was the basis for such
certification.
Section 222(b)(3)(B) has been met because the loss of
business by Saint-Gobain Proppants-NorPro Division with the
afore-referenced firm contributed importantly to worker
separations at Saint-Gobain Proppants-NorPro Division.
Conclusion
After careful review of the additional facts obtained on
reconsideration, I determine that workers of Saint-Gobain
Proppants-NorPro Division, who were engaged in employment related
to the production of proppants used in the extraction of oil and
gas, meet the worker group certification criteria under Section
222(a) of the Act, 19 U.S.C. § 2272(a). In accordance with Section
223 of the Act, 19 U.S.C. § 2273, I make the following
certification:
"All workers of Saint-Gobain Proppants, Saint–Gobain NorPro
Division, a subsidiary Saint-Gobain Corporation, Fort Smith,
Arkansas who became totally or partially separated from
employment on or after October 14, 2017, through two years
from the date of this certification, and all workers in the
group threatened with total or partial separation from
employment on date of certification through two years from the
date of certification, are eligible to apply for adjustment
assistance under Chapter 2 of Title II of the Trade Act of
1974, as amended.”

Signed in Washington, D.C., this 3rd day of August, 2018


/s/Del-Min Amy Chen
______________________________
DEL-MIN AMY CHEN
Certifying Officer, Office of
Trade Adjustment Assistance



U.S. DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-93,223

SAINT-GOBAIN PROPPANTS
SAINT-GOBAIN NORPRO DIVISION
A SUBSIDIARY OF SAINT-GOBAIN CORPORATION
FORT SMITH, ARKANSAS


Notice of Affirmative Determination
Regarding Application for Reconsideration

By application dated April 10, 2018, a State Workforce
Official requested administrative reconsideration of the negative
determination regarding workers’ eligibility to apply for worker
adjustment assistance applicable to workers and former workers of
Saint-Gobain Proppants, Saint–Gobain NorPro Division, a
subsidiary Saint-Gobain Corporation, Fort Smith, Arkansas. The
workers’ firm is engaged in activities related to the production of
proppants used in the extraction of oil and gas. The determination
was issued on March 27, 2018. The Department’s determination has
not yet been published in the Federal Register.
Pursuant to 29 CFR 90.18(c) reconsideration may be granted
under the following circumstances:
(1) If it appears on the basis of facts not previously
considered that the determination complained of
was erroneous;
(2) If it appears that the determination complained of
was based on a mistake in the determination of facts
not previously considered; or
(3) If in the opinion of the Certifying Officer, a
misinterpretation of facts or of the law justified
reconsideration of the decision.
The initial investigation resulted in a negative determination
based on the findings that there was no increase in imports by the
workers’ firm or its customers, nor was there a foreign shift or
acquisition by the workers’ firm or its customers.
The request for reconsideration asserts that the determination
was based on a mistake in the determination of facts not previously
considered.
The Department has carefully reviewed the request for
reconsideration and the existing record, and has determined that
the Department will conduct further investigation to determine if
the workers meet the eligibility requirements of the Trade Act of
1974, as amended.
Conclusion
After careful review of the application, I conclude that the
claim is of sufficient weight to justify reconsideration of the
U.S. Department of Labor's prior decision. The application is,
therefore, granted.
Signed at Washington, D.C., this 4th day of May, 2018.

/s/Del-Min Amy Chen
_______________________________
DEL-MIN AMY CHEN
Certifying Officer, Office of
Trade Adjustment Assistance



DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-93,223

SAINT-GOBAIN PROPPANTS
SAINT-GOBAIN NORPRO DIVISION
A SUBSIDIARY OF SAINT-GOBAIN CORPORATION
FORT SMITH, ARKANSAS

Negative Determination Regarding Eligibility
To Apply for Worker 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), (b)
or (e) of Section 222 of the Act, 19 U.S.C. § 2272(a), (b) and
(e). 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 the workers' firm
must have become totally or partially separated or be
threatened with total or partial separation.

(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) (I) imports of articles or services like or directly
competitive with articles or services produced or
supplied by the workers' firm have increased, OR
(II)(aa) imports of articles like or directly
competitive with articles into which the
component part produced by the workers' firm was
directly incorporated have increased; OR
(II)(bb) imports of articles like or directly
competitive with articles which are produced
directly using the services supplied by the
workers' firm have increased; OR
(III) imports of articles directly incorporating
component parts not produced in the U.S. that are
like or directly competitive with the article
into which the component part produced by the
workers' firm was directly incorporated have
increased; AND
(iii) the increase in imports 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.

(B) Shift in Production or Supply Path:
(i)(I) there has been a shift by the workers' firm to a
foreign country in the production of articles or
supply of services like or directly competitive with
those produced/supplied by the workers' firm; OR
(II) there has been an acquisition from a foreign
country by the workers' firm of articles/services that
are like or directly competitive with those
produced/supplied by the workers' firm; and
(ii) the shift described in clause (i)(I) or the
acquisition of articles or services described in
clause (i)(II) contributed importantly to such
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." 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 or
service 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.

Workers of a firm may also be considered eligible if they
are publicly identified by name by the International Trade
Commission as a member of a domestic industry in an
investigation resulting in a category of determination that is
listed in Section 222(e) of the Act, 19 U.S.C. § 2272(e).
The group eligibility requirements for workers of a firm
under Section 222(e) of the Act, 19 U.S.C. § 2272(e), can be
satisfied if the following criteria are met:
(1) the workers' firm is publicly identified by name by
the International Trade Commission as a member of a
domestic industry in an investigation resulting in--
(A) an affirmative determination of serious injury or
threat thereof under section 202(b)(1);
(B) an affirmative determination of market disruption
or threat thereof under section 421(b)(1); or
(C) an affirmative final determination of material
injury or threat thereof under section
705(b)(1)(A) or 735(b)(1)(A) of the Tariff Act of
1930 (19 U.S.C. 1671d(b)(1)(A) and
1673d(b)(1)(A));

(2) the petition is filed during the 1-year period
beginning on the date on which--
(A) a summary of the report submitted to the
President by the International Trade Commission
under section 202(f)(1) with respect to the
affirmative determination described in paragraph
(1)(A) is published in the Federal Register under
section 202(f)(3); or
(B) notice of an affirmative determination described
in subparagraph (1) is published in the Federal
Register; and

(3) the workers have become totally or partially
separated from the workers' firm within--
(A) the 1-year period described in paragraph (2); or
(B) notwithstanding section 223(b), the 1-year
period preceding the 1-year period described in
paragraph (2).

The investigation was initiated in response to a petition
filed on October 12, 2017 by state workforce office on behalf of
workers of Saint-Gobain Proppants, Saint-Gobain NorPro Division,
a subsidiary Saint-Gobain Corporation, Fort Smith, Arkansas. The
workers' firm is engaged in activities related to the production
of proppants used in the extraction of oil and gas.
However, it must be noted that the worker group was no
longer engaged in an activity related to the production of
proppants, this location has not been operational during the
relevant period under investigation.
During the course of the investigation, information was
collected from the workers' firm for the Fort Smith site,
Arkansas, as well as for the Saint-Gobain site located at
Benton, Arkansas.
With respect to Section 222(a)(2)(A)(i) of the Act, the
investigation revealed that firm site in Fort Smith, Arkansas,
has not experienced a decline in the sales or production of
proppants during the relevant period under investigation,
because the Fort Smith site has been idled since the end of
2015. Likewise, the investigation showed that sales and
production at the Benton location declined during the relevant
period under investigation.
With respect to Sections 222(b)(2) and 222(b)(3) of the
Act, the investigation revealed that Saint-Gobain is neither a
Supplier nor 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 of the facts obtained in the
investigation, 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 Saint-Gobain
Proppants, Saint-Gobain NorPro Division, a subsidiary Saint-
Gobain Corporation, Fort Smith, Arkansas, engaged in activities
related to the production of proppants used in the extraction of
oil and gas to apply for adjustment assistance, in accordance
with Section 223 of the Act, 19 U.S.C. § 2273.
Signed in Washington, D.C. this 27th day of March 2018.

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