[Federal Register Volume 69, Number 93 (Thursday, May 13, 2004)]
[Notices]
[Page 26622]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 04-10862]


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DEPARTMENT OF LABOR

Employment and Training Administration

[TA-W-53,834]


Snap-On Tools, Inc., Mt. Carmel Plant, Mt. Carmel, IL; Notice of 
Negative Determination Regarding Application for Reconsideration

    By application of March 5, 2004, International Association of 
Machinists, District Lodge 111 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 was published in the 
Federal Register on March 12, 2004 (69 FR 11888).
    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 
misinterpretation of facts or of the law justified reconsideration of 
the decision.
    The TAA petition, filed on behalf of workers at Snap-on Tools, 
Inc., Mt. Carmel Plant, Mt. Carmel, Illinois engaged in the production 
of hand tools, was denied because criteria I.C and II.B and the 
``contributed importantly'' group eligibility requirement of section 
222 of the Trade Act of 1974, as amended, were not met. The 
``contributed importantly'' test is generally demonstrated through a 
survey of the workers' firm's customers. The survey revealed an 
insignificant level of imports. The subject firm imported a negligible 
amount of hand tools during the relevant period.
    The petitioner alleges that the company is currently in the process 
of purchasing a facility in China for the purpose of shifting some of 
the production from the subject facility.
    A company official was contacted in regard to these allegations. 
The official stated that there never was a shift of hand tool 
production from the Mt. Carmel, Illinois, facility abroad and no plans 
exist to move any production from the subject facility to China.
    The petitioner further alleges that Snap-on Tools, Inc. is 
considering to discontinue the E-Line Plier line and replacing it with 
foreign made products, manufactured in Sweden or Germany and mentions 
Blue Point product, which was affected by the foreign trade.
    The official confirmed that there are plans to produce E-line 
pliers at a subsidiary located in Sweden. However, no shift of 
production to Sweden has occurred yet. The official further stated that 
the company does import power tools which are branded as Blue Point, 
however, they are not like or directly competitive with products 
manufactured at Mt. Carmel Plant. The company has been outsourcing 
manufacturing of the adjustable wrenches and pliers from overseas 
vendors for many years, however, this sourcing, including Blue Point 
tools represents less than 2 percent of the overall volume of the Mt. 
Carmel Plant and did not increase during the relevant time period.
    Finally, the petitioner alleges that the subject firm lost a 
considerable amount of business to its competitor, a company which is 
``more price-competitive due to the use of overseas trade.''
    A review of competitors is not relevant to an investigation 
concerning import impact on workers applying for trade adjustment 
assistance. As noted above, ``contributed importantly'' test is 
generally demonstrated through a survey of customers of the workers' 
firm to examine the direct impact on a specific firm. Only an 
insignificant amount of imports of hand tools were evidenced during the 
survey of subject firm's customers during the original investigation.

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 decisions. Accordingly, the application is denied.

    Signed at Washington, DC, this 30th day April, 2004.
Elliott S. Kushner,
Certifying Officer, Division of Trade Adjustment Assistance.
[FR Doc. 04-10862 Filed 5-12-04; 8:45 am]
BILLING CODE 4510-30-P