Denied
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TAW-93706A  /  Chesapeake Operating, LLC (Waynoka, OK)

Petitioner Type: State
Impact Date:
Filed Date: 04/09/2018
Most Recent Update: 09/28/2018
Determination Date: 09/28/2018
Expiration Date:

Other Worker Groups on This Petition
DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-93,706

CHESAPEAKE OPERATING, LLC
OKLAHOMA CITY CORPORATE OFFICE
A SUBSIDIARY OF CHESAPEAKE ENERGY CORPORATION
INCLUDING ON-SITE LEASED WORKERS FROM
ACCOUNTING PRINCIPALS, ACCURATE SAFETY COMPLIANCE,
ADDISON PROFESSIONAL FINANCIAL (ADDISON GROUP), BEDROCK
PETROLEUM CONSULTANTS, LLC, CHARTER GLOBAL INC.,
COLLABERA INC., EXPRESS EMPLOYMENT PROFESSIONALS, FUSE3
SOLUTIONS, INCEED, OKLAHOMA INVESTIGATIVE GROUP, INC.,
SIGNATURE STAFF RESOURCES, LLC, TEK SYSTEMS, INC., TRES
MANAGEMENT, INC., AND TRIPLE BS CONSULTING LLC
OKLAHOMA CITY, OKLAHOMA

TA-W-93,706A

CHESAPEAKE OPERATING, LLC
WAYNOKA FIELD OFFICE
A SUBSIDIARY OF CHESAPEAKE ENERGY CORPORATION
INCLUDING ON-SITE LEASED WORKERS FROM
AFS PETROLOGIX AND CRESCENT CONSULTING, LLC
WAYNOKA, OKLAHOMA


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 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.

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.

Section 222(c) of the Act, 19 U.S.C. § 2272(c), defines the
terms "Supplier" and "Downstream Producer."
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 April 9, 2018 by a state workforce office on behalf of
workers of Chesapeake Operating, LLC, Oklahoma City Corporate
Office, a subsidiary of Chesapeake Energy Corporation,
including on-site leased workers from Accounting Principals,
Accurate Safety Compliance, Addison Professional Financial
(Addison Group), Bedrock Petroleum Consultants, LLC, Charter
Global Inc., Collabera Inc., Express Employment Professionals,
Fuse3 Solutions, Inceed, Oklahoma Investigative Group, Inc.,
Signature Staff Resources, LLC, Tek Systems, Inc., Tres
Management, Inc., and Triple BS Consulting LLC, Oklahoma City,
Oklahoma (TA-W-93,706) and Chesapeake Operating, LLC, Weyanoka
Field Office, a subsidiary of Chesapeake Energy Corporation,
including on-site leased workers from AFS Petrologix and
Crescent Consulting, LLC, Waynoka, Oklahoma (TA-W-93,706A)
(hereafter collectively referred to as "Chesapeake Operating
LLC-Oklahoma").
Workers of Chesapeake Operating LLC-Oklahoma are engaged
in activities related to the production of oil and natural gas.
Workers at the Oklahoma City Corporate Office (TA-W-93,706)
are engaged in activities related to the supply of
administrative services (such as administrative, managerial,
operations, accounting, human resources and legal services).
Workers at The Waynoka Field Office (TA-W-93,706A) are engaged
in activities related to the servicing and operating of wells,
and the exploration and extraction of oil and gas.
The petition alleges that increased oil production by
OPEC nations has caused a decline in U.S. oil production and
worker separations at Chesapeake Operating LLC-Oklahoma.
During the course of the investigation, information was
collected from the workers' firm, the petitioner, and public
resources.
With respect to Section 222(a)(2)(A)(ii) of the Act, the
investigation revealed no increased company, customer, or
aggregate imports of articles like or directly competitive
with the oil or natural gas produced by Chesapeake Operating
LLC-Oklahoma during the relevant period when compared to the
representative base period.
With respect to Section 222(a)(2)(B) of the Act, the
investigation revealed that the worker's firm did not shift the
supply of corporate administrative services and/or the
production of oil and gas, or a like or directly competitive
service/article to a foreign country or acquire such
services/production from a foreign country.
With respect to Section 222(b)(2) of the Act, the
investigation revealed that Chesapeake Operating LLC-Oklahoma
is not 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.
Finally, the group eligibility requirements under Section
222(e) of the Act, have not been satisfied 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 Chesapeake Operating,
LLC, Oklahoma City Corporate Office, a subsidiary of
Chesapeake Energy Corporation, including on-site leased
workers from Accounting Principals, Accurate Safety
Compliance, Addison Professional Financial (Addison Group),
Bedrock Petroleum Consultants, LLC, Charter Global Inc.,
Collabera Inc., Express Employment Professionals, Fuse3
Solutions, Inceed, Oklahoma Investigative Group, Inc.,
Signature Staff Resources, LLC, Tek Systems, Inc., Tres
Management, Inc., and Triple BS Consulting LLC, Oklahoma City,
Oklahoma (TA-W-93,706) and Chesapeake Operating, LLC, Waynoka
Field Office, a subsidiary of Chesapeake Energy Corporation,
including on-site leased workers from AFS Petrologix and
Crescent Consulting, LLC, Waynoka, Oklahoma (TA-W-93,706A) to
apply for adjustment assistance, in accordance with Section 223
of the Act, 19 U.S.C. § 2273.
Signed in Washington, D.C. this 28th day of September 2018.

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