[Federal Register Volume 68, Number 96 (Monday, May 19, 2003)]
[Notices]
[Pages 27108-27109]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 03-12422]


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DEPARTMENT OF LABOR

Employment and Training Administration

[TA-W-50,105]


Ericsson, Inc., Base Station and Systems Development Division, 
Research Triangle Park, NC; Notice of Negative Determination Regarding 
Application for Reconsideration

    By application received on March 14, 2003, a company official 
requested administrative reconsideration of the Department's negative 
determination regarding eligibility for workers and former workers of 
the subject firm to apply for Trade Adjustment Assistance (TAA). The 
denial notice applicable to workers of Ericsson, Inc., Base Station and 
Systems Development Division, Research Triangle Park, North Carolina 
was signed on February 21, 2003, and published in the Federal Register 
on March 10, 2003 (68 FR 11409).
    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 TAA petition was filed on behalf of workers at Ericsson, Inc., 
Base Station and Systems Development Division, Research Triangle Park, 
North Carolina engaged in activities related to the design and testing 
of software and hardware for radio base stations. The petition was 
denied because the petitioning workers did not produce an article 
within the meaning of section 222(3) of the Act.

[[Page 27109]]

    The company official alleges that the initial negative 
determination was based on a ``misunderstanding of activities at the 
subject firm.'' She continues that workers at Ericsson, Inc., Base 
Station and Systems Development Division, Research Triangle Park, North 
Carolina were ``engaged in the design and development of base station 
transceivers''. The official also states that what was delivered to the 
internal customer involved ``precise drawings and assembly instructions 
which enabled the product to be manufactured, shipped and to fulfill 
orders for customers.'' The official concludes that layoffs at the 
subject firm are attributed to design and development functions being 
transferred abroad.
    In fact, there was no misunderstanding of the nature of the 
functions performed at the subject facility. Design and development 
services do not constitute production within the meaning of section 222 
of the Trade Act. As a result of this, the transfer of job functions is 
irrelevant.
    Only in very limited instances are service workers certified for 
TAA, namely the worker separations must be caused by a reduced demand 
for their services from a parent or controlling firm or subdivision 
whose workers produce an article and who are currently under 
certification for TAA.
    In conclusion, the workers at the subject firm did not produce an 
article within the meaning of section 222(3) of the Trade Act 1974.

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 at Washington, DC, this 6th day of May, 2003.
Elliott S. Kushner,
Certifying Officer, Division of Trade Adjustment Assistance.
[FR Doc. 03-12422 Filed 5-16-03; 8:45 am]
BILLING CODE 4510-30-P