[Federal Register: October 31, 2007 (Volume 72, Number 210)]
[Notices]
[Page 61689-61690]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr31oc07-127]
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DEPARTMENT OF LABOR
Employment and Training Administration
[TA-W-61,958]
Philip Morris Products International, LLC; McKenney, VA; Notice
of Negative Determination Regarding Application for Reconsideration
By application postmarked October 10, 2007, the Bakery,
Confectionery, Tobacco Workers and Grain Millers International Union,
Local No. 358 requested administrative reconsideration of the
Department's negative determination regarding eligibility to apply for
Trade Adjustment Assistance (TAA), applicable to workers and former
workers of the subject firm. The denial notice was signed on August 27,
2007 and published in the Federal Register on September 11, 2007 (72 FR
51845).
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 mis-
interpretation of facts or of the law justified reconsideration of the
decision.
The petition for the workers of Philip Morris Products
International, LLC, McKenney, Virginia engaged in production of
partially stemmed tobacco was denied because the ``contributed
importantly'' group eligibility requirement of Section 222 of the Trade
Act of 1974, as amended, was not met. The ``contributed importantly''
test is generally demonstrated through a survey of the workers' firm's
declining customers. The investigation revealed that all partially
stemmed tobacco produced by the subject firm was exported to other
countries and the subject firm had no domestic customers. The
investigation further revealed that there was no shift in production
from that firm to a foreign country which is a party to a Free Trade
Agreement with the United States or a beneficiary country, nor did the
subject firm import partially stemmed tobacco in 2005, 2006 and January
through July 2007.
The petitioner stated that even though the workers of the subject
firm produced partially stemmed tobacco, Philip Morris also produces
cigarettes and workers of the subject firm should be considered as
workers supporting production of cigarettes. The petitioner further
stated that the parent company of the subject firm closed cigarette
production facilities in Cabarras, North Carolina, which would result
in increased imports of cigarettes into the United States. The
petitioner alleges that because of these imports of cigarettes, the
workers of the subject firm who produce partially stemmed tobacco
should be certified eligible for TAA.
The Department contacted the company official for further
clarification. The company official stated that Philip Morris Products
International, LLC, McKenney, Virginia is an Export Processing
Facility, which exclusively produces partially stemmed tobacco for
export. The company official also confirmed that none of the partial
stemmed tobacco from the subject firm was sold to any U.S. facilities
in 2005, 2006 or 2007. The company official further stated that the
employees of the subject firm did not support production at any
domestic facility, including the domestic production facility in
Cabarrus, North Carolina. The official further stated that the
production from the subject facility is being shifted to Italy,
Portugal, Malaysia, Russia, Greece and the Ukraine, countries which are
not parties to a free trade agreement with the United States or
beneficiary
[[Page 61690]]
countries. The subject firm is not increasing imports of partially
stemmed tobacco after the shift.
In order to establish import impact, the Department must consider
imports that are like or directly competitive with those produced at
the subject firm. Imports of cigarettes cannot be considered like or
directly competitive with partially stemmed tobacco produced by Philip
Morris Products International, LLC, McKenney, Virginia and imports of
cigarettes are not relevant in this investigation.
The subject firm reported no imports of partially stemmed tobacco
and there are no domestic customers who purchase partially stemmed
tobacco from the subject firm and who might have increased imports of
partially stemmed tobacco during the relevant time period.
Conclusion
After review of the application and investigative findings, I
conclude that there has been no error or misinterpretation of the law
or of the facts which would justify reconsideration of the Department
of Labor's prior decision. Accordingly, the application is denied.
Signed in Washington, DC, this 25th day of October, 2007.
Elliott S. Kushner,
Certifying Officer, Division of Trade Adjustment Assistance.
[FR Doc. E7-21355 Filed 10-30-07; 8:45 am]
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