Tesco Technologies, LLC, Headquarters Office, Auburn Hills, MI; Notice of Revised Determination on Second Remand, 5749-5750 [E7-1955]
Download as PDF
Federal Register / Vol. 72, No. 25 / Wednesday, February 7, 2007 / Notices
under a preferential trade agreement, or
there has been or is likely to be an
increase in imports).
None.
The workers’ firm does not produce
an article as required for certification
under Section 222 of the Trade Act of
1974.
TA–W–60,488; Tellabs, Inc., Customer
Distribution Center, Petaluma, CA.
TA–W–60,698; Commonwealth Sprague
Capacitor, Inc., North Adams, MA.
TA–W–60,447; Honeywell International,
Inc., Aerospace Information
Technology Function, Phoenix, AZ.
The investigation revealed that
criteria of Section 222(b)(2) has not been
met. The workers’ firm (or subdivision)
is not a supplier to or a downstream
producer for a firm whose workers were
certified eligible to apply for TAA.
None.
I hereby certify that the
aforementioned determinations were
issued during the period of January 15
through January 19, 2007. Copies of
these determinations are available for
inspection in Room C–5311, U.S.
Department of Labor, 200 Constitution
Avenue, NW., Washington, DC 20210
during normal business hours or will be
mailed to persons who write to the
above address.
Dated: January 26, 2007.
Ralph Dibattista,
Director, Division of Trade Adjustment
Assistance.
[FR Doc. E7–1953 Filed 2–6–07; 8:45 am]
BILLING CODE 4510–FN–P
DEPARTMENT OF LABOR
Employment and Training
Administration
[TA–W–55,495]
sroberts on PROD1PC70 with NOTICES
Tesco Technologies, LLC,
Headquarters Office, Auburn Hills, MI;
Notice of Revised Determination on
Second Remand
On November 9, 2006, the United
States Court of International Trade
(USCIT) remanded Former Employees of
Tesco Technologies, LLC v. United
States (Court No. 05–00264) to the
Department of Labor (Department) for
further investigation.
In the August 19, 2004, Trade
Adjustment Assistance (TAA) and
Alternative Trade Adjustment
Assistance (ATAA) petition, three
workers identified Tesco Engineering as
the subject company and the article
produced as ‘‘designs for tooling and
production lines for General Motors
automotive assembly plants.’’ The
VerDate Aug<31>2005
21:36 Feb 06, 2007
Jkt 211001
petitioners alleged that Tesco
Engineering was shifting production to
a foreign country.
During the investigation, it was
revealed that Tesco Engineering
manufactured equipment, while
workers at Tesco Technologies, LLC
(‘‘Tesco Technologies’’), a subsidiary of
Tesco Engineering, created mechanical
designs used to build equipment for
automotive part production. Since the
petitioners created designs and did not
produce equipment, the Department
identified Tesco Technologies as the
proper subject company.
Because the Department considered
design creation not to be production, the
Department concluded that the
designers of Tesco Technologies could
be certified only if they supported an
affiliated, TAA-certifiable, domestic,
production facility. Although Tesco
Technologies’ designs accounted for an
insignificant portion of the equipment
produced at Tesco Engineering, the
Department nonetheless fully
investigated whether, during the
relevant period, there were increased
imports of production/assembly
equipment or a shift of production from
Tesco Engineering to an overseas
facility.
The expanded investigation revealed
that Tesco Engineering neither shifted
production to a foreign country nor
imported any equipment during the
relevant period. Further, a survey of
Tesco Engineering’s major declining
customers revealed that, during the
relevant period, no customer increased
its import purchases while decreasing
its purchases from the subject firm.
On September 27, 2004, the
Department issued a denial regarding
workers’ eligibility to apply for TAA
and ATAA for workers of Tesco
Technologies, LLC, Headquarters Office,
Auburn Hills, Michigan. The
determination was based on the findings
that there was neither an increase in
imports of equipment by Tesco
Engineering or its major declining
customers, nor a shift of production
overseas by Tesco Engineering. The
Department published the Notice of
determination in the Federal Register
on October 26, 2004 (69 FR 62460).
By application dated October 22,
2004, the petitioner requested
administrative reconsideration of the
Department’s determination. On
December 7, 2004, the Department
issued a Notice of Affirmative
Determination Regarding Application
for Reconsideration due to factual
discrepancies identified during the
review of the request and of previouslysubmitted documents. The Department’s
Notice was published in the Federal
PO 00000
Frm 00075
Fmt 4703
Sfmt 4703
5749
Register on December 20, 2004 (69 FR
76017).
In the request for reconsideration, the
petitioner identified the subject
company as ‘‘Tesco Technologies, LLC,
Auburn Hills, Michigan’’ and asserted
that ‘‘we the petitioners are connected
to General Motors tooling only,’’
reiterated that designs are a product,
and inferred that designers are de facto
production workers producing
automobile parts for General Motors.
The petitioner also implied that the
subject company’s major customer,
General Motors, had outsourced work to
India.
During the reconsideration
investigation, the Department contacted
a Tesco Technologies official, the
General Motors officials identified by
the petitioner, and the General Motors
official who supervised the design
contract at issue.
During the reconsideration
investigation, the Department confirmed
that the petitioners used application
software to develop tooling designs
which were used to build equipment for
the production of automobile parts for
General Motors; the designs are
developed at Tesco Technologies,
Auburn Hills, Michigan and sent to the
customer via electronic means (such as
the Internet) and tangible means (such
as CD–ROM); and General Motors did
not outsource work overseas but
awarded the work to another domestic
company and moved some design work
in-house.
On January 11, 2005, the Department
issued a Notice of Negative
Determination Regarding Application
for Reconsideration which stated there
was neither a shift of production abroad
by Tesco Technologies nor any
outsourcing of design work overseas by
General Motors. The Department’s
Notice was published in the Federal
Register on January 21, 2005 (70 FR
3228).
By letter dated February 8, 2005, the
petitioners appealed to the USCIT for
judicial review. On May 25, 2005, the
USCIT granted the Department’s motion
for voluntary remand to clarify the
Department’s basis for the negative
determination on reconsideration and to
request additional information in the
Department’s efforts to clarify the
reasons for the previous determinations.
In the request for judicial review, the
petitioners alleged that engineers were
brought in from India to train at Tesco
Technologies; later, the engineers were
sent back to India to a General Motors
facility; and ‘‘work is sent over to India
via satellite in the evening and sent back
for check and inspection in the
E:\FR\FM\07FEN1.SGM
07FEN1
sroberts on PROD1PC70 with NOTICES
5750
Federal Register / Vol. 72, No. 25 / Wednesday, February 7, 2007 / Notices
morning’’ (implying that designs were
being imported).
In order for the Plaintiffs to be
certified for TAA based on a shift of
production, it must be shown that there
was:
(1) A significant portion or number of
workers at the subject company
separated or threatened with separation
during the relevant period; and
(2) either—(a) A shift in production of
articles like or directly competitive with
those produced by the subject worker
group to a country that is party to a free
trade agreement with the United States,
or a country that is named as a
beneficiary under the Andean Trade
Preference Act, the African Growth and
Opportunity Act or the Caribbean Basin
Economic Recovery Act, or (b) a shift of
production abroad followed by actual or
increased imports of articles like or
directly competitive with those
produced by the subject worker group.
Because it was shown that at least five
percent of workers at Tesco
Technologies were separated during the
relevant period, the worker separation
criterion was met.
Because India is not a country that is
party to a free trade agreement with the
United States, or a country that is
named as a beneficiary under the
Andean Trade Preference Act, the
African Growth and Opportunity Act or
the Caribbean Basin Economic Recovery
Act, the only issue in the first remand
investigation was whether, during the
relevant period, there was a shift of
production abroad of articles like or
directly competitive with those
produced by Tesco Technologies
followed by actual or threatened
increased imports of articles like or
directly competitive with those created
at Tesco Technologies.
Under the Department’s interpretation
of ‘‘like or directly competitive,’’ (29
CFR 90.2) ‘‘like’’ articles are those
articles which are substantially identical
in inherent or intrinsic characteristics
and ‘‘directly competitive’’ articles are
those articles which are substantially
equivalent for commercial purposes
(essentially interchangeable and
adapted to the same uses), even though
the articles may not be substantially
identical in their inherent or intrinsic
characteristics.
During the first remand investigation,
the Department determined that because
each design created by the workers is
‘‘unique,’’ there could not be any
articles which are like or directly
competitive with any design produced
by Tesco Technologies and,
consequently, the shift of production
criterion could not be met.
VerDate Aug<31>2005
21:36 Feb 06, 2007
Jkt 211001
The Notice of Negative Determination
on Remand applicable to the subject
workers was issued on July 25, 2005 and
the Notice of determination was
published in the Federal Register on
August 5, 2005 (70 FR 45438).
In its November 9, 2006 opinion, the
USCIT remanded the case at hand to the
Department for further investigation.
Since the Notice of Negative
Determination on Remand applicable to
the subject firm was issued, the
Department has clarified its policy to
acknowledge that, under certain
circumstances, there may be articles
which are like or directly competitive to
a ‘‘unique’’ article.
Reviewing the relevant facts with the
foregoing in mind, the Department has
determined that, during the relevant
period, a significant portion of workers
was separated from the subject facility,
design production shifted abroad, and
the subject firm increased its imports of
designs following the shift.
In accordance with Section 246 the
Trade Act of 1974 (26 U.S.C. 2813), as
amended, the Department herein
presents the results of its investigation
regarding certification of eligibility to
apply for ATAA for older workers. In
order for the Department to issue a
certification of eligibility to apply for
ATAA, the group eligibility
requirements of Section 246 of the
Trade Act must be met. The Department
has determined in the case at hand that
the requirements of Section 246 have
been met.
A significant number of workers at the
firm are age 50 or over and possess
skills that are not easily transferable.
Competitive conditions within the
industry are adverse.
Conclusion
After careful review of the facts
generated through the second remand
investigation, I determine that a shift in
production abroad of articles like or
directly competitive to that produced at
the subject facilities followed by
increased imports of such articles
contributed to the total or partial
separation of a significant number or
proportion of workers at the subject
facility. In accordance with the
provisions of the Act, I make the
following certification:
All workers of Tesco Technologies, LLC,
Headquarters Office, Auburn Hills, Michigan,
who became totally or partially separated
from employment on or after August 19,
2003, through two years from the issuance of
this revised determination, are eligible to
apply for Trade Adjustment Assistance under
Section 223 of the Trade Act of 1974, and are
eligible to apply for Alternative Trade
Adjustment Assistance under Section 246 of
the Trade Act of 1974, as amended.
PO 00000
Frm 00076
Fmt 4703
Sfmt 4703
Signed at Washington, DC this 26th day of
January 2007.
Elliott S. Kushner,
Certifying Officer, Division of Trade
Adjustment Assistance.
[FR Doc. E7–1955 Filed 2–6–07; 8:45 am]
BILLING CODE 4510–FN–P
DEPARTMENT OF LABOR
Employment and Training
Administration
[TA–W–52,274]
Thomson, Inc., Circlesville Glass
Operations, Circleville, OH; Amended
Certification Regarding Eligibility To
Apply for Worker Adjustment
Assistance and Alternative Trade
Adjustment Assistance
In accordance with Section 223 of the
Trade Act of 1974 (19 U.S.C. 2273), and
Section 246 of the Trade Act of 1974 (26
U.S.C. 2813), as amended, the
Department of Labor issued a
certification of eligibility to apply for
Trade Adjustment Assistance (TAA) on
August 7, 2003, applicable to workers
and former workers of Thomson, Inc.,
Circleville Glass Operations, Circleville,
Ohio. The Department’s Notice was
published in the Federal Register on
September 2, 2003 (68 FR 52228). The
workers were engaged in the production
of glass components of picture tubes
prior to the subject firm’s closure in
June 2004.
On March 8, 2005, the Department
issued a certification of eligibility for
Alternative Trade Adjustment
Assistance (ATAA) covering workers of
the subject firm separated from
employment on or after June 27, 2002
through August 7, 2005. The
Department’s Notice was published in
the Federal Register on April 1, 2005
(70 FR 16851).
Even though production activity
ceased in June 2004, the State of Ohio
required the subject firm to submit
within ninety days a cessation of
operations plan and to undertake an 18month process for the identification and
remediation of any hazards left over
from the manufacturing process. At the
time of the shutdown, the subject firm
retained fifteen employees (‘‘shutdown
workers’’) solely for purposes of the
shutdown process.
The shutdown workers subsequently
petitioned for TAA/ATAA benefits (TA–
W–59,118), referring to TA–W–52,274
for support. The Department determined
in TA–W–59,118 that the shutdown
workers were ineligible for benefits
because there was no production at the
subject facility during the relevant
E:\FR\FM\07FEN1.SGM
07FEN1
Agencies
[Federal Register Volume 72, Number 25 (Wednesday, February 7, 2007)]
[Notices]
[Pages 5749-5750]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E7-1955]
-----------------------------------------------------------------------
DEPARTMENT OF LABOR
Employment and Training Administration
[TA-W-55,495]
Tesco Technologies, LLC, Headquarters Office, Auburn Hills, MI;
Notice of Revised Determination on Second Remand
On November 9, 2006, the United States Court of International Trade
(USCIT) remanded Former Employees of Tesco Technologies, LLC v. United
States (Court No. 05-00264) to the Department of Labor (Department) for
further investigation.
In the August 19, 2004, Trade Adjustment Assistance (TAA) and
Alternative Trade Adjustment Assistance (ATAA) petition, three workers
identified Tesco Engineering as the subject company and the article
produced as ``designs for tooling and production lines for General
Motors automotive assembly plants.'' The petitioners alleged that Tesco
Engineering was shifting production to a foreign country.
During the investigation, it was revealed that Tesco Engineering
manufactured equipment, while workers at Tesco Technologies, LLC
(``Tesco Technologies''), a subsidiary of Tesco Engineering, created
mechanical designs used to build equipment for automotive part
production. Since the petitioners created designs and did not produce
equipment, the Department identified Tesco Technologies as the proper
subject company.
Because the Department considered design creation not to be
production, the Department concluded that the designers of Tesco
Technologies could be certified only if they supported an affiliated,
TAA-certifiable, domestic, production facility. Although Tesco
Technologies' designs accounted for an insignificant portion of the
equipment produced at Tesco Engineering, the Department nonetheless
fully investigated whether, during the relevant period, there were
increased imports of production/assembly equipment or a shift of
production from Tesco Engineering to an overseas facility.
The expanded investigation revealed that Tesco Engineering neither
shifted production to a foreign country nor imported any equipment
during the relevant period. Further, a survey of Tesco Engineering's
major declining customers revealed that, during the relevant period, no
customer increased its import purchases while decreasing its purchases
from the subject firm.
On September 27, 2004, the Department issued a denial regarding
workers' eligibility to apply for TAA and ATAA for workers of Tesco
Technologies, LLC, Headquarters Office, Auburn Hills, Michigan. The
determination was based on the findings that there was neither an
increase in imports of equipment by Tesco Engineering or its major
declining customers, nor a shift of production overseas by Tesco
Engineering. The Department published the Notice of determination in
the Federal Register on October 26, 2004 (69 FR 62460).
By application dated October 22, 2004, the petitioner requested
administrative reconsideration of the Department's determination. On
December 7, 2004, the Department issued a Notice of Affirmative
Determination Regarding Application for Reconsideration due to factual
discrepancies identified during the review of the request and of
previously-submitted documents. The Department's Notice was published
in the Federal Register on December 20, 2004 (69 FR 76017).
In the request for reconsideration, the petitioner identified the
subject company as ``Tesco Technologies, LLC, Auburn Hills, Michigan''
and asserted that ``we the petitioners are connected to General Motors
tooling only,'' reiterated that designs are a product, and inferred
that designers are de facto production workers producing automobile
parts for General Motors. The petitioner also implied that the subject
company's major customer, General Motors, had outsourced work to India.
During the reconsideration investigation, the Department contacted
a Tesco Technologies official, the General Motors officials identified
by the petitioner, and the General Motors official who supervised the
design contract at issue.
During the reconsideration investigation, the Department confirmed
that the petitioners used application software to develop tooling
designs which were used to build equipment for the production of
automobile parts for General Motors; the designs are developed at Tesco
Technologies, Auburn Hills, Michigan and sent to the customer via
electronic means (such as the Internet) and tangible means (such as CD-
ROM); and General Motors did not outsource work overseas but awarded
the work to another domestic company and moved some design work in-
house.
On January 11, 2005, the Department issued a Notice of Negative
Determination Regarding Application for Reconsideration which stated
there was neither a shift of production abroad by Tesco Technologies
nor any outsourcing of design work overseas by General Motors. The
Department's Notice was published in the Federal Register on January
21, 2005 (70 FR 3228).
By letter dated February 8, 2005, the petitioners appealed to the
USCIT for judicial review. On May 25, 2005, the USCIT granted the
Department's motion for voluntary remand to clarify the Department's
basis for the negative determination on reconsideration and to request
additional information in the Department's efforts to clarify the
reasons for the previous determinations.
In the request for judicial review, the petitioners alleged that
engineers were brought in from India to train at Tesco Technologies;
later, the engineers were sent back to India to a General Motors
facility; and ``work is sent over to India via satellite in the evening
and sent back for check and inspection in the
[[Page 5750]]
morning'' (implying that designs were being imported).
In order for the Plaintiffs to be certified for TAA based on a
shift of production, it must be shown that there was:
(1) A significant portion or number of workers at the subject
company separated or threatened with separation during the relevant
period; and
(2) either--(a) A shift in production of articles like or directly
competitive with those produced by the subject worker group to a
country that is party to a free trade agreement with the United States,
or a country that is named as a beneficiary under the Andean Trade
Preference Act, the African Growth and Opportunity Act or the Caribbean
Basin Economic Recovery Act, or (b) a shift of production abroad
followed by actual or increased imports of articles like or directly
competitive with those produced by the subject worker group.
Because it was shown that at least five percent of workers at Tesco
Technologies were separated during the relevant period, the worker
separation criterion was met.
Because India is not a country that is party to a free trade
agreement with the United States, or a country that is named as a
beneficiary under the Andean Trade Preference Act, the African Growth
and Opportunity Act or the Caribbean Basin Economic Recovery Act, the
only issue in the first remand investigation was whether, during the
relevant period, there was a shift of production abroad of articles
like or directly competitive with those produced by Tesco Technologies
followed by actual or threatened increased imports of articles like or
directly competitive with those created at Tesco Technologies.
Under the Department's interpretation of ``like or directly
competitive,'' (29 CFR 90.2) ``like'' articles are those articles which
are substantially identical in inherent or intrinsic characteristics
and ``directly competitive'' articles are those articles which are
substantially equivalent for commercial purposes (essentially
interchangeable and adapted to the same uses), even though the articles
may not be substantially identical in their inherent or intrinsic
characteristics.
During the first remand investigation, the Department determined
that because each design created by the workers is ``unique,'' there
could not be any articles which are like or directly competitive with
any design produced by Tesco Technologies and, consequently, the shift
of production criterion could not be met.
The Notice of Negative Determination on Remand applicable to the
subject workers was issued on July 25, 2005 and the Notice of
determination was published in the Federal Register on August 5, 2005
(70 FR 45438).
In its November 9, 2006 opinion, the USCIT remanded the case at
hand to the Department for further investigation.
Since the Notice of Negative Determination on Remand applicable to
the subject firm was issued, the Department has clarified its policy to
acknowledge that, under certain circumstances, there may be articles
which are like or directly competitive to a ``unique'' article.
Reviewing the relevant facts with the foregoing in mind, the
Department has determined that, during the relevant period, a
significant portion of workers was separated from the subject facility,
design production shifted abroad, and the subject firm increased its
imports of designs following the shift.
In accordance with Section 246 the Trade Act of 1974 (26 U.S.C.
2813), as amended, the Department herein presents the results of its
investigation regarding certification of eligibility to apply for ATAA
for older workers. In order for the Department to issue a certification
of eligibility to apply for ATAA, the group eligibility requirements of
Section 246 of the Trade Act must be met. The Department has determined
in the case at hand that the requirements of Section 246 have been met.
A significant number of workers at the firm are age 50 or over and
possess skills that are not easily transferable. Competitive conditions
within the industry are adverse.
Conclusion
After careful review of the facts generated through the second
remand investigation, I determine that a shift in production abroad of
articles like or directly competitive to that produced at the subject
facilities followed by increased imports of such articles contributed
to the total or partial separation of a significant number or
proportion of workers at the subject facility. In accordance with the
provisions of the Act, I make the following certification:
All workers of Tesco Technologies, LLC, Headquarters Office, Auburn
Hills, Michigan, who became totally or partially separated from
employment on or after August 19, 2003, through two years from the
issuance of this revised determination, are eligible to apply for
Trade Adjustment Assistance under Section 223 of the Trade Act of
1974, and are eligible to apply for Alternative Trade Adjustment
Assistance under Section 246 of the Trade Act of 1974, as amended.
Signed at Washington, DC this 26th day of January 2007.
Elliott S. Kushner,
Certifying Officer, Division of Trade Adjustment Assistance.
[FR Doc. E7-1955 Filed 2-6-07; 8:45 am]
BILLING CODE 4510-FN-P