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10714 Federal Register / Vol. 71, No.

41 / Thursday, March 2, 2006 / Notices

indicator that IBM, and not BP, employees should receive merit salary DEPARTMENT OF LABOR
controlled the workers in question. increases.’’ Id.7
While the petitioners themselves may Further, the situation of the Employment and Training
have worked only for BP, this is not the petitioners in Former Employees of Administration
case for the entire worker group. Wackenhut Corp. v. USDOL, Ct. No. 02– [TA–W–58,045]
IBM has stated [Business 00758, is not precedent as it was
Confidential] SAR at 761. See also SAR decided under the former leased worker Lexel Company Including On-Site
at 723, 790. policy, which looked only at whether Leased Workers of Westaff, Inc.,
there was a contract and whether the Hutsonville, IL; Amended Certification
6. BP was not responsible for
workers were on-site. Regarding Eligibility To Apply for
establishing wage rates or paying
salaries to individual IBM workers. Conclusion Worker Adjustment Assistance and
Alternative Trade Adjustment
This issue does not appear to be a After careful consideration of the Assistance
matter of contention. The petitioners record evidence, particularly that
have indicated that PwC/IBM, not BP, developed through the remand In accordance with Section 223 of the
set their wage rates and paid their investigation, and the applicable Trade Act of 1974 (19 U.S.C. 2273), and
salaries, once they were outsourced. Department policy, I affirm the original Section 246 of the Trade Act of 1974 (26
SAR at 913. Therefore, the evidence notice of negative determination of U.S.C. 2813), as amended, the
generated for evaluation of this criterion eligibility for trade adjustment Department of Labor issued a
indicates that BP did not exercise assistance on the part of workers and Certification of Eligibility to Apply for
operational control over the former IBM former workers of International Worker Adjustment Assistance and
employees. Business Machines Corporation, Tulsa, Alternative Trade Adjustment
7. BP did not provide skills training to Oklahoma. Signed at Washington, DC Assistance on December 6, 2005,
the workers of IBM. this 6th day of February, 2006. applicable to workers of Lexel
Company, including on-site leased
This finding, which has been Elliott S. Kushner, workers of Westaff, Inc., Hutsonville,
corroborated by both IBM and BP Certifying Officer, Division of Trade Illinois. The notice was published in the
officials, is another strong indicator that Adjustment Assistance. Federal Register on December 21, 2005
IBM controlled the workers in question. [FR Doc. E6–2989 Filed 3–1–06; 8:45 am] (70 FR 75845).
[Business Confidential] BILLING CODE 4510–30–P At the request of the State agency, the
Moreover, there is evidence that PwC/ Department reviewed the certification
IBM provided training to the outsourced for workers of the subject firm. The
Tulsa employees, both to ensure both DEPARTMENT OF LABOR workers were engaged in the production
that they maintained the ability to of small electric motors (fractional H.P.
perform the duties they had previously Employment and Training electrical motors).
handled for BP and to help them acquire Administration A previous certification, TA–W–
new skills for career development 52,202, was issued on August 7, 2003,
within their new firm. The [TA–W–58,838] for workers of Lexel Company,
‘‘Pricewaterhouse Coopers Questions Hutsonville, Illinois which did not
Isabel Bloom LLC, Davenport, IA;
and Answers for Outsourcing’’ (SAR at include on-site leased workers of
Notice of Termination of Investigation
69) states: Westaff, Inc. That certification expired
[Business Confidential] (Id.) Pursuant to section 221 of the Trade August 7, 2005. This certification is
(emphasis in original). Act of 1974, as amended, an being amended to change the impact
Further, as instructed by the Court, investigation was initiated on February date for workers of Westaff, Inc., from
DOL did consider the fact that the 13, 2006 in response to a petition filed August 8, 2005 to September 28, 2004
former IBM employees had been by a company official on behalf of (one year prior to the September 28,
employed by BP, performing the same workers at Isabel Bloom LLC, 2005 petition date). The impact date for
tasks as they subsequently performed Davenport, Iowa. workers of Lexel Company remains
for PwC/IBM after being outsourced. The petitioner has requested that the August 8, 2005.
petition be withdrawn. Consequently, Accordingly, the Department is
Opinion at 43, n. 38. While the situation
the investigation has been terminated. amending the certification to properly
presented is superficially similar to that
Signed at Washington, DC, this 16th day of
reflect this matter.
presented in Former Employees of The intent of the Department’s
Pittsburgh Logistics Systems, Inc. v. February, 2006.
certification is to clarify the period of
USDOL, 27 ITRD 2125, 2003 WL 716272 Richard Church,
eligibility to apply for all workers of
*10 (February 28, 2003) (See SAR at Certifying Officer, Division of Trade
Lexel Company, including on-site
945), the IBM petitioners were not part Adjustment Assistance.
leased workers of Westaff, Inc.,
of a subdivision that was ‘‘integrated [FR Doc. E6–2969 Filed 3–1–06; 8:45 am]
Hutsonville, Illinois, who were
into the [BP] corporate structure’’ (Id.) BILLING CODE 4510–30–P
adversely affected by increased
and did not report ‘‘directly to [BP] customer imports.
employees on all operational matters.’’ 7 The Department has considered the issue of
The amended notice applicable to
(Id.) Further, BP personnel did not whether to characterize employee leasing firms as
TA–W–58,045 is hereby issued as
manage ‘‘all job tasks, direct[] which appropriate subdivisions of the producing firm. The
Department believes that this mode of analysis does follows:
employees could work at specific violence to the separate nature of independent
wwhite on PROD1PC61 with NOTICES

locations and specifically relocate[] the All workers of Lexel Company,


corporations. This case is an excellent example. No
[IBM] subdivision along with certain one can reasonably suggest that IBM and BP are
Hutsonville, Illinois who became totally or
legally related. The Department believes its new partially separated from employment on or
[BP] facilities * * * to [BP’s] facilities, after August 8, 2005 through December 6,
leased worker policy, using an operational control
evaluate[] [IBM] employee job analysis, arrives at the same result without doing 2007, and including on-site leased workers of
performance, and advise[] which [IBM] violence to corporate legal formalities. Westaff, Inc. at the Hutsonville site who

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