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TAW-94694  /  Faneuil, Inc. (Martinsville, VA)

Petitioner Type: State
Impact Date: 04/04/2018
Filed Date: 04/05/2019
Most Recent Update: 06/17/2021
Determination Date: 06/17/2021
Expiration Date: 06/17/2023

Other Worker Groups on This Petition
DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-94,694

FANEUIL, INC.

A WHOLLY OWNED SUBSIDIARY OF ALJ REGIONAL HOLDINGS, INC.

INCLUDING ON-SITE LEASED WORKERS FROM KIDD INTERNATIONAL, INC.

MARTINSVILLE, VIRGINIA

TA-W-94,694A

FANEUIL, INC.

A WHOLLY OWNED SUBSIDIARY OF ALJ REGIONAL HOLDINGS, INC.

INCLUDING ON-SITE LEASED WORKERS FROM RESOURCES MANAGEMENT INC.

VIENNA, VIRGINIA

Determinations 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 5, 2019, by a State Workforce Office on behalf of
workers of Faneuil, Inc., a wholly owned subsidiary of ALJ
Regional Holdings, Inc., including on-site leased workers from
Kidd International, Inc., Martinsville, Virginia (TA-W-94,694);
and Faneuil, Inc., a wholly owned subsidiary of ALJ Regional
Holdings, Inc., including on-site leased workers from Resources
Management Inc., Vienna, Virginia (TA-W-94,694A). The workers'
firm is engaged in activities related to the supply of call center
operations and other business process outsourcing services.

The petitioner provided the following allegation: "Faneuil
Call Center workers and Toll billing processors stated they were
informed that Australian owned Transurban client was ending their
contract because they were moving their account from Virginia
locations to the Philippines. Claimants reported that some staff
went to the Philippines and/or trained virtually the staff in the
Philippines."

During the course of the investigation, information was
collected from the petitioner, the workers' firm, and the major
declining customer(s) of the workers' firm.

TA-W-94,694

Section 222(a)(1) has been met because a significant number
or proportion of the workers in such workers' firm have become
totally or partially separated, or are threatened to become totally
or partially separated.

Section 222(a)(2)(A)(i) has been met because the sales
and/or supply of call center operations and other business
process outsourcing services by Faneuil, Inc., Martinsville,
Virginia have decreased absolutely.

Section 222(a)(2)(A)(ii) has been met because customer
imports of services like or directly competitive with the
services supplied by Faneuil, Inc., Martinsville, Virginia have
increased.

Finally, Section 222(a)(2)(A)(iii) has been met because
increased customer imports contributed importantly to the worker
group separations and sales declines at Faneuil, Inc.,
Martinsville, Virginia.

TA-W-94,694A

With respect to Section 222(a)(2)(A)(ii) of the Act, the
investigation revealed that imports of call center operations
or other business process outsourcing services, or services like
or directly competitive, did not increase. Neither the workers'
firm nor its major declining customer(s) reported imports of
call center operations or other business process outsourcing
services, or services like or directly competitive, during the
2018 through March 2019 period.

With respect to Section 222(a)(2)(B) of the Act, the
investigation revealed that the firm did not shift the supply of
call center operations or other business process outsourcing
services, or services like or directly competitive, to a foreign
country or acquire call center operations or other business process
outsourcing services, or services like or directly competitive,
from a foreign country.

With respect to Section 222(b)(2) of the Act, the
investigation revealed that Faneuil, Inc., Vienna, Virginia 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 Faneuil, Inc., Vienna, Virginia 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 of the facts obtained in the
investigation, I determine that workers of Faneuil, Inc., a
wholly owned subsidiary of ALJ Regional Holdings, Inc.,
including on-site leased workers from Kidd International, Inc.,
Martinsville, Virginia (TA-W-94,694), who are engaged in
activities related to the supply of call center operations and
other business process outsourcing services, 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 Faneuil, Inc., a wholly owned subsidiary of
ALJ Regional Holdings, Inc., including on-site leased
workers from Kidd International, Inc., Martinsville,
Virginia (TA-W-94,694), who became totally or partially
separated from employment on or after April 4, 2018, through
two years from the date of certification, and all workers in
the group threatened with total or partial separation from
employment on the 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."

Furthermore, 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 Faneuil, Inc., a wholly
owned subsidiary of ALJ Regional Holdings, Inc., including on-
site leased workers from Resources Management Inc., Vienna,
Virginia (TA-W-94,694A), engaged in activities related to the
supply of call center operations and other business process
outsourcing 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 17th day of June 2021.

/s/ Hope D. Kinglock
_______________________
HOPE D. KINGLOCK

Certifying Officer, Office of

Trade Adjustment Assistance