U.S. Representative Sandy Levin
12th District of Michigan

 
For Immediate Release
October 28, 2005
 
 
LEVIN BACKS IMPROVEMENTS TO WORKER TRADE ASSISTANCE BILL
Bill Would Reach More Workers, Provide More Training and Make Health Care Affordable
 

(Washington D.C.)- Rep. Sander Levin (D-Royal Oak) and more than 66 Members of Congress introduced a bill making comprehensive improvements to the Trade Adjustment Assistance (TAA) program, HR 4156 -- the Trade Adjustment Assistance Improvement Act.  TAA is in place to assist workers whose jobs are shipped overseas or lost because of imports from other countries.
 
“The federal government must first and foremost stand up for U.S. jobs by fighting to shape the terms of trade and competition in the global marketplace,” said Rep. Sander Levin. “We must have health care and pension policies that facilitate the competitiveness of the manufacturing sector, break down unfair foreign barriers to our autos and auto parts and sign trade agreements that create a more level playing field for U.S. businesses and workers.”

“We must also ensure that workers displaced by globalization are supported during a period of transition to new employment,” said Rep. Levin.  “TAA must be improved to reach more workers, provide more training and make health care affordable. 

The TAA Improvement Act is designed to fix the major problems with the current TAA program – from the under funding of job training to the lack of coverage for service workers.  The bill triples resources for job training, extends TAA to services workers, allows the Secretary of Labor to certify workers as eligible for TAA on an industry-wide basis (rather than a plant-by-plant basis), improves the Health Care Tax Credit, and eliminates unnecessary and burdensome eligibility requirements.


SUMMARY OF THE TRADE ADJUSTMENT ASSISTANCE IMPROVEMENT ACT


Expands Coverage for Workers and Firms

- Amends existing Trade Adjustment Assistance program to extend coverage to service workers.

- Amends existing Trade Adjustment Assistance for Firms program to extend coverage to services firms, and doubles funding for TAA for Firms program.

-  Authorizes the Secretary of Labor to certify groups of workers as eligible for TAA on an industry-wide or occupation-wide basis.  This change would allow certain covered workers to skip the first step of filing a petition that is reviewed on a plant-by-plant basis, and to proceed directly to the second step of demonstrating their individual eligibility for TAA benefits and enrolling in the program. 

- Requires the Secretary to certify as eligible for TAA all workers who are laid off from their jobs in a domestic industry that is covered by a trade remedy under U.S. antidumping, countervailing duty, or safeguard laws.
 
 - Requires the Secretary to initiate an investigation to determine whether to certify workers on an industry-wide or occupation-wide basis when she certifies three or more petitions on behalf of workers in the same industry or occupation within a 6-month period; or such an investigation is requested by the President, U.S. Trade Representative, House Ways and Means Committee or Senate Finance Committee.

- Establishes the same eligibility requirements for all workers who lose their jobs because of a shift in production to another country, regardless of whether the country is one with which the United States has entered into a free trade agreement or is covered by a U.S. trade preference program. 

- Overcomes current difficulties in obtaining information required for TAA petitions by: (1) directing the Secretary of Labor to contact firms, unions, employees, and other persons in order to confirm data provided on the petition and obtain other information relevant to the petition; and (2) authorizes the Secretary of Labor to determine that increased imports exist, or that offshore outsourcing has occurred, based on certifications by affected firms or their customers.

- Suspends deadlines for workers to enroll in TAA during any period in which the worker is appealing the denial of his petition for TAA assistance.


Training

- Triples current training funding cap from $220 million to $660 million by 2012, in order to address current funding shortages and to cover the additional cost of providing training for service workers.       

- Directs the General Accountability Office (GAO) to evaluate the adequacy of total training funding and the effectiveness of the current system for allocating such funds.                  

- Allows use of TAA training funds to pay for continued enrollment in an accredited college or university for purposes of obtaining a degree, where completion of the degree can reasonably be expected to result in employment. 

- Adds as an additional basis for granting a training waiver the possession of an advanced degree or equivalent certification in a specialized field, where such degree or certification is in a field in which there is a reasonable expectation of re-employment.

Wage Insurance

- Makes permanent the current “demonstration” wage insurance program.
- Eliminates unnecessary and burdensome requirement that applicants signify their interest in wage insurance on their initial TAA petition, and instead allows workers to apply for wage insurance after their application for TAA has been accepted, at the same time that they apply for all other TAA benefits.

Outreach and Transparency

- Establishes within the Department of Labor an Office of Trade Adjustment Assistance Advisor responsible for operating a telephone hotline that workers and employers can call with questions about TAA eligibility criteria and application procedures.

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