2012 TAA - Texas Workforce Commission

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2012 TAA - Texas Workforce Commission

2012

Annual Report

Trade Adjustment Assistance


Texas Workforce Commission Mission

To promote and support an effective workforce

system that offers employers, individuals,

and communities the opportunity

to achieve and sustain

economic prosperity.


Trade Adjustment Assistance

2012 Annual Report

2012 Trade Adjustment Assistance Annual Report

2012 Trade Adjustment Assistance Annual Report

1


Abstract

Texas Labor Code §302.007 requires the Texas Workforce Commission to submit an annual report to

the Texas Legislature on the effectiveness of the federally funded Trade Adjustment Assistance (TAA)

program. The types of work that are covered and eligible for the TAA program have evolved over the years,

but broadly speaking, TAA provides reemployment services to individuals who lose their jobs because of

foreign imports or shifts in employment to foreign countries. TAA offers a variety of benefits and services

to support Trade-certified workers in their search for reemployment. This includes job training, job search

and relocation allowances, income support, and assistance with health care premium costs.

TAA program activity significantly increased due to the

2009 amendments to the program as part of the American

Recovery and Reinvestment Act (ARRA). Based on those

modifications and the condition of the economy, the number

of certified trade-related layoffs increased significantly, as did

the number of workers covered by those layoffs who became

eligible for TAA services. The 2009 amendments expired on

February 12, 2011, and the level of trade program activity

decreased based on fewer layoffs being certified by the U.S.

Department of Labor (DOL) during 2011. With congressional

passage of the General System of Preferences and the Trade

Adjustment Assistance Extension Act of 2011 (H.R. 2832) in

October 2011, many of the 2009 amendment provisions were

restored on a retroactive basis, and the level of certified traderelated

layoffs increased after October.

The types of work that

are covered and eligible

for the TAA program

have evolved over

the years, but broadly

speaking, TAA provides

reemployment services

to individuals who lose

their jobs because of

foreign imports or shifts

in employment to foreign

countries.

This annual report focuses on TAA customers completing

their participation in the program, mainly in 2010 and 2011. Although the number of individuals

covered by and receiving services under the 2009 and 2011 amendments increased significantly, most (54

percent) of the analyses of TAA participant characteristics and outcomes reflected in the report represent

customers covered by the law in place prior to the 2009 amendments. Many of the individuals covered by

the more recent Trade provisions are still in training or have completed training only recently, thus are not

included in the timeframes for the reported measures.

Recently trade-certified workers in Texas possess more education and a higher level of job skills than

had been the norm in prior years. With more

education and transferable job skills, coupled with

the vibrant economy that Texas experienced prior

to 2009, Trade-certified workers had great success

in returning to employment without occupational

or remedial training. As Texas began to feel the

impact of the economic downturn affecting most

of the country and with the expansion of the TAA

program eligibility, more Trade-certified customers

sought services through the Texas workforce

system, including training for new careers.

Introduction

This report describes the services and outcomes for Trade-certified workers who completed participation

in the Trade Adjustment Assistance (TAA) program. These participants were covered under certifications

subject to the rules of either the Trade Act of 1974, the Trade Act of 2002, the Trade and Globalization

Adjustment Assistance Act (TGAAA) of 2009, or the Trade Adjustment Assistance Extension Act of

2011. The 2009 and 2011 amendments significantly expanded the types of business layoffs eligible for

certification by the DOL as

trade related. As a result, the

number of workers covered

by certified Trade petitions

increased dramatically, as did

the number of participants

beginning training. Given

that this report focuses on the

characteristics and outcomes

for individuals completing

participation in the program,

most of the workers reflected

in this report received

services governed by the

Trade Act of 2002.

The federally funded TAA program provides reemployment services to individuals who lose jobs because

of foreign imports or shifts of employment to foreign countries, with variations on the types of jobs and

the countries to which the employment is shifting based on statutory provisions in place at the time of

layoff. The Texas Workforce Commission (TWC) administers a program of services for Trade-certified

individuals that is fully integrated with the Texas workforce system.

Texas Labor Code §302.007 requires TWC to submit an annual report to the Texas Legislature on the

effectiveness of the TAA program. Specifically, the statute requires TWC to report:

1. The number of individuals entering employment (Table 4);

2. Whether an individual who enters employment after completion of a program retains that employment

for at least six months (Table 5);

3. The wages earned by individuals before and after participation in the program (Table 6);

4. The occupations in which the individuals are placed (Table 7);

5. The number of individuals participating in integrated vocational and language training programs

(Services and Outcomes discussion on page 4); and

6. Whether a participant has acquired basic skills to enhance employability in the participant’s local labor

market (Table 2 and Services and Outcomes discussion on page 4).

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The Trade Adjustment Assistance

Program in Texas

Services and Outcomes

TWC coordinates the TAA program with all programs offered across the state through Workforce

Solutions Offices, including the Workforce Investment Act (WIA) services for dislocated workers.

Trade-certified workers are eligible for services including job-search assistance, skills assessments, and

advanced vocational skills training to meet the needs of Texas employers, as well as other assistance, such

as transportation reimbursements and subsidized child care while in training provided through Workforce

Solutions Offices. A description of Trade services, benefits, and service delivery for Trade-certified

workers is provided in the Appendix (page 18).

The number of Trade-certified workers participating in TAA-supported training decreased from 4,256

during SFY 2010 to 4,071 during SFY 2011. This decreasing trend continued into SFY 2012, when a total

of 2,729 workers participated in TAA-supported training. An increase in recent Trade certifications issued

by DOL may result in future increases in the number of Trade-certified participants in coming years. The

following is a summary of the outcomes of the services provided to Trade-certified workers who recently

ended participation in the TAA program. Additional detail

about TAA program participants and the applicable time

frames covered is available in Tables 1–7, pages 11–17.

• 73 percent of the individuals who ended participation in

the TAA program found employment by the end of the

quarter following participation (Table 4)

• 92 percent of individuals who entered employment by

the end of the first quarter after ending participation in

the TAA program retained that employment for at least

six months (Table 5)

• Individuals who ended participation in the TAA program

and entered employment earned average wages of

$20,061 during the second and third quarters of

employment following participation, earning 88 percent

of their prior wages (Table 6)

• Of the 1,829 participants who ended participation in the

TAA program and for whom the employing industry after

ending participation is known, the top five industries in

which individuals obtained jobs are:

‣ 31 percent (or 561) in manufacturing;

‣ 17 percent (or 314) in administrative and support services;

‣ 11 percent (or 209) in health care and social assistance;

‣ 6 percent (or 115) in wholesale trade; and,

‣ 6 percent (or 110) in retail trade. (Table 7)

Trade-certified workers

are eligible for services

including job-search

assistance, skills

assessments, and

advanced vocational skills

training to meet the needs

of Texas employers, as

well as other assistance,

such as transportation

reimbursements and

subsidized child care

while in training provided

through Workforce

Solutions Offices.

• Of the 2,237 individuals who ended participation in the TAA program after being enrolled in TAAapproved

training:

‣ 93 percent (2,075 of 2,237) participated in vocational training that also may have included other

remedial programs (data does not specifically identify remedial training that has been integrated

with a vocational program);

‣ 21 percent (or 469) participated in a remedial education program that was delivered separately

from vocational training; and

‣ 14 percent (or 307) participated in both vocational training and a separate remedial education

program. (Table 2)

The amendment

expanded coverage to

business services workers

laid off because their

jobs or the services they

supplied were relocated

to a foreign country (not

limited to those with which

the United States had a

free trade agreement).

Changes to Service Delivery

As previously referenced, the TAA program has

evolved over the years, with the types of businesses and

industries covered and the range of services available

to workers changing based on statutory requirements.

Trade-certified workers reflected in this report were

served under the rules established by the Trade Act of

1974, the Trade Act of 2002, TGAAA of 2009, or the

Trade Adjustment Assistance Extension Act of 2011,

depending on which law was in place when the affected

company was certified by DOL.

TGAAA, effective May 18, 2009, amended the Trade

Act of 2002, and made significant changes to the TAA

program. These changes continued under the Trade

Adjustment Assistance Extension Act of 2011. Before this legislation, the TAA program benefited only

manufacturing workers and only shifts in production to a country with which the United States had a

free trade agreement. The amendment expanded coverage to business services workers laid off because

their jobs or the services they supplied were relocated to a foreign country (not limited to those with

which the United States had a free trade agreement). Furthermore, the TGAAA amendments required

that training programs for Tradecertified

workers not be limited

to the training programs available

to individuals eligible for the WIA

dislocated worker program. This

expanded the training choices for

Trade-certified workers in Texas.

When the TGAAA amendments

became effective, Texas saw

an increase in the number of

companies Trade-certified and

the number of workers covered

by those certifications. With

the expiration of the TGAAA

amendments, the number and

nature of companies certified

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under the Trade Act changed and have remained fairly stable even with the retroactive reinstatement of

many of the expansions, as shown in the following chart:

140

120

100

80

60

40

20

0

2010 2011 2012

Manufacturing

Service

Transportaon

Finance

Other

On July 1, 2004, delivery of TAA program services was integrated into the workforce service delivery

system maintained by Local Workforce Development Boards (Boards). DOL regulations that went into

effect December 15, 2010, require that any staff funded by TAA funds be merit staff—i.e., they must be

State of Texas employees. Currently, TAA funds provide for 23 merit staff that have been placed in the

areas with the highest concentrations of Trade-certified individuals. Staff from federal partner programs,

such as WIA and Employment Service, supplement the TAA-funded merit staff in some areas and provide

Trade services in other areas as needed.

Trade Program Activity

After several years of decline, trade program activity began to increase during SFY 2008, peaked in SFY

2009, and then declined in SFY 2010 and SFY 2011. The number of affected workers increased from 5,823

separated in SFY 2008, to 15,241 separated in SFY 2009, then declined to 6,988 separated in SFY 2010,

and to 2,871 in SFY 2011. With the passage of the 2011 amendments, during SFY 2012 trade program

activity began to rise again with 3,747 affected workers separated.

Between 2004 and 2007, TAA activity was centered in the heavy manufacturing sector of East Texas.

While East Texas continues to have notable trade program activity, with the expansion of the TAA program

through TGAAA so as to include companies providing services as well as manufacturing, Trade-certified

service provision is now centered in the metropolitan areas such as Dallas, Fort Worth, El Paso, Austin, and

Houston.

Fig. 1 Trade Program Activity State Fiscal Year 2008 – State Fiscal Year 2012

(Worker activity data is based on the workers’ date of separation.)

By virtue of TGAAA and 2011 amendments, in addition to manufacturing companies, the state saw

companies in the following service sectors become certified:

• Information technology

• Financial/accounting services

• Software publishing

16000

14000

12000

10000

• Information help centers

8000

Trade Affected Workers

In SFY 2012, the most common types of training approved for Trade-certified individuals were the

following:

• Network and computer system administrators

• Bookkeeping, accounting, and auditing clerks

• Heating, air conditioning, and refrigeration mechanics

• Medical assistants

6000

4000

2000

0

20%

23%

22%

18% 7%

2008 2009 2010 2011 2012

Trainees

• Computer support specialists

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Demographic Characteristics of Trade-Certified Workers

Table 3 (page 13)

summarizes the race/

ethnicity, gender, age,

and education of Tradecertified

workers who

ended participation in

the TAA program in SFY

2012.

In SFY 2012,

participation in the TAA

program was almost

evenly distributed

between men and

women, with the service

population comprising

51 percent male and

49 percent female. Only 14 percent of the Trade-certified workers participating in the TAA program in

SFY 2012 had less than a GED credential or high school diploma when they entered the program, and

45 percent of the workers had education beyond a high school diploma or GED. Higher education levels

reduce the percentage of affected workers needing academic remedial and basic education. However, some

of the affected workers with higher education levels have limited English proficiency and require remedial

English language training.

Funding and Expenditures

States receive formula-allocated TAA funding from a capped congressional appropriation from DOL

for training, job-search allowances, and relocation allowances. TWC then distributes the funds to local

workforce development areas (LWDAs) and works closely with the Boards to encourage the use of all

available funding sources to avoid service interruptions.

Texas Trade Act Expenditures for

Federal Fiscal Years 2011 & 2012

Type of Payment FFY 2011 FFY 2012

Job Search Allowances $9,564 $15,345

Relocation Allowances $60,034 $56,870

Training $16,072,904 $8,407,359

Alternative/Reemployment

Trade Adjustment Assistance

$766,807 $503,133

Trade Readjustment Allowances $8,030,570 $6,576,369

Total $24,939,879 $15,559,076

Conclusion

Despite higher educational levels of the average Trade-certified worker in Texas compared to past years,

requests for occupational training have increased during 2012 due to expanded coverage offered through

the 2011 amendments and the continued impact of the slow national economic recovery. Increasing

numbers of Trade-certified workers are coming from the high technology industries located in large

metropolitan areas, semiconductor production, and the business service industry.

While there has been a decrease in trade program activity during SFY 2012 from the peaks experienced

during 2008–2010, with the enactment of the Trade Adjustment Assistance Extension Act of 2011,

Texas has seen an increase in

Trade certifications and workers

receiving services through the

TAA program. This trend will

likely continue.

Trade Readjustment Allowance (TRA) payments provide weekly support to eligible Trade-certified

workers while they are enrolled in TAA-approved training. An eligible Trade-certified worker may also

receive some TRA payments if the training requirement is waived (allowable reasons for waiver are

included in the Appendix on page 18). TRA and Alternative Trade Adjustment Assistance/Reemployment

Trade Adjustment Assistance (ATAA/RTAA) payments are made through the state unemployment

insurance (UI) payment system from dedicated federal funds allocated by DOL. These are not UI benefits,

are not charged against employers’ accounts, and do not affect employers’ UI tax rates. As with UI

payments, TRA and ATAA/RTAA payments are made by debit card and direct deposit.

TRA payments are made following the payment of all available UI payments. During 2012, many Tradecertified

workers received extended benefits in the form of Extended Unemployment Compensation.

These extended benefits replaced TRA benefits on a week-for-week basis.

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Tables

Table 1

Table 2

Table 3

Table 4

Table 5

Table 6

Table 7

Trade Participants Ending Participation in the Trade Adjustment

Assistance Program October 1, 2010 – September 30, 2011, by

LWDA*

Training Services Provided to Trade Participants Ending

Participation in the Trade Adjustment Assistance Program

October 1, 2010 – September 30, 2011

Characteristics at Intake of Participants in the Trade Adjustment

Assistance Program in State Fiscal Year 2012 (September 1, 2011 –

August 31, 2012)

Entered Employment by the End of the First Quarter after Ending

Participation in the Trade Adjustment Assistance Program

October 1, 2010 – September 30, 2011, by LWDA*

Employment Retention of Workers Who Entered Employment by

the End of the First Quarter after Ending Participation in the Trade

Adjustment Assistance Program April 1, 2010 – March 31, 2011, by

LWDA*

Earnings Replacement of Workers Who Ended Participation in the

Trade Adjustment Assistance Program April 1, 2010 – March 31,

2011, by LWDA*

Industries for Participants Reemployed within Three Quarters of

Ending Participation in the Trade Adjustment Assistance Program

April 1, 2010 – March 31, 2011, by North American Industry

Classification System (NAICS)

* Tables which include data by LWDA, also include #99/State of Texas. #99/State of Texas is a count of

Trade affected workers who cannot be connected to a specific Board. Some type of payment is being

made by TWC, without any services provided locally. The most common are Trade participants living

in another state with TWC paying their training costs, and participants who are receiving TRA before

training.

Table 1. Trade Participants Ending Participation in the Trade Adjustment Assistance Program

October 1, 2010 – September 30, 2011, by LWDA

LWDA

Participants*

No. With

Only

Waivers

Participants Receiving

Training, Job Search,

Relocation, or ATAA

No. LWDA Name No. % ** No. %

20 Alamo 52 1.69% 12 27 3.27%

16 Brazos Valley 18 0.58% 2 10 1.21%

24 Cameron County 26 0.84% 2 18 2.18%

14 Capital Area 217 7.05% 51 112 13.58%

26 Central Texas 105 3.41% 20 40 4.85%

22 Coastal Bend 3 0.10% NA 3 0.36%

12 Concho Valley 19 0.62% 1 15 1.82%

6 Greater Dallas 415 13.47% 57 195 23.64%

17 Deep East Texas 51 1.66% 10 29 3.52%

8 East Texas 381 12.37% 46 207 25.09%

19 Golden Crescent 1 0.03% NA 1 0.12%

28 Gulf Coast 96 3.12% 55 25 3.03%

13 Heart of Texas 10 0.32% NA 7 0.85%

23 Lower Rio Grande 114 3.70% 8 78 9.45%

27 Middle Rio Grande 4 0.13% NA 3 0.36%

4 North Central 233 7.56% 77 87 10.55%

7 Northeast Texas 87 2.82% 23 27 3.27%

3 North Texas 126 4.09% 10 87 10.55%

1 Panhandle 4 0.13% NA 3 0.36%

11 Permian Basin NA NA NA NA NA

15 Rural Capital 190 6.17% 25 59 7.15%

2 South Plains 1 0.03% 1 NA NA

21 South Texas NA NA NA NA NA

18 Southeast Texas 1 0.03% NA 1 0.12%

5 Tarrant County 287 9.32% 36 161 19.52%

25 Texoma 10 0.32% 1 6 0.73%

10 Upper Rio Grande 401 13.02% 26 277 33.58%

9 West Central 141 4.58% 131 4 0.48%

99 State of Texas 1,404 45.58% 9 151 18.30%

Statewide (Unduplicated) 3,080 100.00% 601 2,365 100.00%

* Participants may have been served by more than one LWDA. Five individuals who were reported as receiving TRA payments but did not receive any TAA

services are counted as participants.

** See Appendix for details on waivers of the TRA training requirement.

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Table 2. Training Services Provided to Trade Participants Ending Participation in the Trade

Adjustment Assistance Program October 1, 2010 – September 30, 2011

Table 3. Characteristics at Intake of Participants in the Trade Adjustment Assistance Program in

State Fiscal Year 2012 (September 1, 2011 – August 31, 2012)

TAA Exiters

Vocational Services

Occupational/Vocational Training 2,058

On-the-Job Training 2

Customized Training 11

Training Non-TWC 26

Vocational Total (Unique Record) 2,075

Remedial Services

Basic Educational Skills/ABE 90

English as a Second Language 190

GED 222

Short-Term Prevocational Services 286

Remedial Total (Unique Record) 469

Vocational and Remedial Total 307

Statewide Total (Unique Record) 2,237

* If multiple racial categories, participant is counted in each category.

** Age at beginning of participation.

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Table 4. Entered Employment by the End of the First Quarter after Ending Participation in the

Trade Adjustment Assistance Program October 1, 2010 – September 30, 2011, by LWDA

Table 5. Employment Retention of Workers Who Entered Employment by the End of the First

Quarter after Ending Participation in the Trade Adjustment Assistance Program

April 1, 2010 – March 31, 2011, by LWDA

No. of Participants

LWDA

No. LWDA Name Wages

No

Wages Total Entered Employment Rate (%)

20 Alamo 36 12 48 75.00%

16 Brazos Valley 10 4 14 71.43%

24 Cameron County 17 5 22 77.27%

14 Capital Area 140 45 185 75.68%

26 Central Texas 88 8 96 91.67%

22 Coastal Bend 3 0 3 100.00%

12 Concho Valley 14 3 17 82.35%

6 Greater Dallas 258 135 393 65.65%

17 Deep East Texas 28 14 42 66.67%

8 East Texas 245 77 322 76.09%

19 Golden Crescent 1 0 1 100.00%

28 Gulf Coast 50 37 87 57.47%

13 Heart of Texas 5 5 10 50.00%

23 Lower Rio Grande 77 14 91 84.62%

27 Middle Rio Grande 2 1 3 66.67%

4 North Central 146 66 212 68.87%

7 Northeast Texas 50 18 68 73.53%

3 North Texas 58 20 78 74.36%

1 Panhandle 3 0 3 100.00%

11 Permian Basin NA NA NA NA

15 Rural Capital 134 34 168 79.76%

2 South Plains 1 0 1 100.00%

21 South Texas NA NA NA NA

18 Southeast Texas 1 0 1 100.00%

5 Tarrant County 180 89 269 66.91%

25 Texoma 8 2 10 80.00%

10 Upper Rio Grande 290 59 349 83.09%

9 West Central 44 41 85 51.76%

99 State of Texas 849 288 1,137 74.67%

Statewide (Unduplicated) 1,903 694 2,597 73.28%

Note: Some individuals were participants in more than one LWDA. For the statewide total, individuals are counted only once. Not all service exiters are

included in the Entered Employment measures. Those who are institutionalized and have health/medical or family care issues, the deceased, reservists

called to active duty, and workers who were employed at the time of program entry are all excluded from this measure.

No. of Participants

LWDA

No. LWDA Name Wages No Wages Total

Retention Rate (%)

20 Alamo 38 4 42 90.48%

16 Brazos Valley 18 0 18 100.00%

24 Cameron County 16 0 16 100.00%

14 Capital Area 126 8 134 94.03%

26 Central Texas 78 4 82 95.12%

22 Coastal Bend 4 0 4 100.00%

12 Concho Valley 13 2 15 86.67%

6 Greater Dallas 206 22 228 90.35%

17 Deep East Texas 28 4 32 87.50%

8 East Texas 276 27 303 91.09%

19 Golden Crescent NA NA NA NA

28 Gulf Coast 34 2 36 94.44%

13 Heart of Texas 2 0 2 100.00%

23 Lower Rio Grande 88 8 96 91.67%

27 Middle Rio Grande 2 0 2 100.00%

4 North Central 148 8 156 94.87%

7 Northeast Texas 64 1 65 98.46%

3 North Texas 134 15 149 89.93%

1 Panhandle 2 0 2 100.00%

11 Permian Basin NA NA NA NA

15 Rural Capital 155 16 171 90.64%

2 South Plains 1 0 1 100.00%

21 South Texas NA NA NA NA

18 Southeast Texas NA NA NA NA

5 Tarrant County 123 11 134 91.79%

25 Texoma 4 0 4 100.00%

10 Upper Rio Grande 231 22 253 91.30%

9 West Central 65 3 68 95.59%

99 State of Texas 799 66 865 92.37%

Statewide (Unduplicated) 1,926 164 2,090 92.15%

Methodology: Percentage of participants who had wages, as reflected in the UI wage record data, in all three quarters after leaving the TAA program.

Note: The statutory requirement is to report at least six months of employment. Three quarters are used to meet this requirement because the first quarter

typically does not show three complete months of employment.

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Table 6. Earnings Replacement of Workers Who Ended Participation in the Trade Adjustment

Assistance Program April 1, 2010 – March 31, 2011, by LWDA

LWDA

No. LWDA Name Participants

Prior Wages: 2 nd and

3 rd Quarters Before

Participation*

Post Wages: 2 nd and

3 rd Quarters After

Participation**

Average

Post Wages:

2 nd and 3 rd

Quarters after

Exit***

20 Alamo 38 $649,374 $580,152 $15,267

16 Brazos Valley 18 $492,591 $396,471 $22,026

24 Cameron County 16 $148,514 $171,697 $10,731

14 Capital Area 125 $2,559,116 $2,935,039 $23,480

26 Central Texas 78 $2,213,886 $1,702,480 $21,827

22 Coastal Bend 4 $58,491 $59,809 $14,952

12 Concho Valley 13 $256,335 $180,381 $13,875

6 Greater Dallas 204 $5,689,040 $4,794,979 $23,505

17 Deep East Texas 28 $534,163 $505,601 $18,057

8 East Texas 275 $6,266,857 $5,283,471 $19,213

Golden

19 Crescent NA NA NA NA

28 Gulf Coast 33 $782,449 $866,122 $26,246

13 Heart of Texas 2 $27,909 $27,998 $13,999

23

Lower Rio

Grande 87 $893,633 $945,639 $10,869

27

Middle Rio

Grande 2 $19,263 $17,972 $8,986

4 North Central 147 $5,135,877 $4,342,783 $29,543

7

Northeast

Texas 63 $1,954,308 $1,711,066 $27,160

3 North Texas 132 $3,105,842 $1,973,955 $14,954

1 Panhandle 2 $74,306 $69,979 $34,990

11 Permian Basin NA NA NA NA

15 Rural Capital 152 $3,490,487 $3,754,853 $24,703

2 South Plains 1 NA $15,488 $15,488

21 South Texas NA NA NA NA

18 Southeast Texas NA NA NA NA

5 Tarrant County 123 $3,087,228 $2,643,080 $21,488

25 Texoma 4 $96,106 $57,431 $14,358

10

Upper Rio

Grande 226 $3,704,876 $2,804,217 $12,408

9 West Central 63 $883,935 $679,447 $10,785

99 State of Texas 793 $17,331,245 $14,784,597 $18,644

Statewide (Unduplicated) 1,906 $43,446,555 $38,237,136 $20,061

* Total wages in the second and third quarters preceding participation.

** Total wages earned in the second and third quarters after exit quarter.

*** Average wages earned in the second and third quarter after exit quarter.

Table 7. Industries for Participants Reemployed within Three Quarters of Ending Participation in

the Trade Adjustment Assistance Program April 1, 2010 – March 31, 2011, by North American

Industry Classification System (NAICS)

Participants

NAICS Code NAICS Title

No. %

11 Agriculture, Forestry, Fishing and Hunting 9 0.49%

21 Mining, Quarrying, and Oil and Gas Extraction 50 2.73%

22 Utilities 17 0.93%

23 Construction 46 2.51%

31 - 33 Manufacturing 561 30.64%

42 Wholesale Trade 115 6.28%

44 - 45 Retail Trade 110 6.01%

48 - 49 Transportation and Warehousing 62 3.39%

51 Information 22 1.20%

52 Finance and Insurance 14 0.76%

53 Real Estate and Rental and Leasing 16 0.87%

54 Professional, Scientific, and Technical Services 73 3.99%

55 Management of Companies and Enterprises 8 0.44%

56

Administrative and Support and Waste Management

and Remediation Services 314 17.15%

61 Educational Services 69 3.77%

62 Health Care and Social Assistance 209 11.41%

71 Arts, Entertainment, and Recreation 3 0.16%

72 Accommodation and Food Services 13 0.71%

81 Other Services (except Public Administration) 48 2.62%

92 Public Administration 70 3.82%

Total Reported 1,829

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Appendix

Description of Trade Services

and Benefits for Trade-Certified Workers

Training assistance can be provided to Trade-certified workers when no suitable work is available

within their local commuting area. Training opportunities include on-the-job training (OJT), vocational

or technical training, customized training, and remedial education as part of an occupational training

program. Generally, participants must complete training programs within 104, 130, or 156 weeks

depending on the petition number, as set forth in the following table. The training provides job skills that

participants need to obtain employment.

Petition Number

Governance

Maximum

Weeks

of Training

Less than 50,000 Trade Act of 1974 104

50,000 – 69,999 Trade Act of 2002 130

70,000 – 79,999 Trade and Globalization Adjustment Assistance Act of 2009 156

80,000 and greater Trade Adjustment Assistance Extension Act of 2011 130

Weekly income support benefits (Trade Readjustment Allowances) may be paid to eligible

participants after they exhaust their state UI benefits. The income is intended to provide financial support

to participants and their families while the participants are in a TAA-approved training program. The

amount of income support payments is typically the same as the participant’s UI payments; however,

these are not UI benefits, are not charged against employers’ accounts, and do not affect employers’ UI tax

rates. Generally, the total length of time a participant may receive weekly benefits, including UI and TRA,

cannot exceed 104 weeks or 130 weeks, depending on the law in effect at the time the customer’s Trade

petition was certified. Depending on the participant’s petition number, benefit payments can be extended

for participants who need remedial or prerequisite training to enroll in occupational training or to become

job ready. The availability of TRA support is reflected in the following table:

Petition Number Governance

Basic and

Additional

TRA

Remedial,

Prerequisite, or

Completion TRA

Total Potential

TRA

Less than 50,000 Trade Act of 1974 104 weeks -0- 104 weeks

50,000 – 69,999 Trade Act of 2002 104 weeks 26 weeks 1 130 weeks

70,000 – 79,999 Trade and Globalization

Adjustment Assistance Act of 2009

130 weeks 26 weeks 2 156 weeks

80,000 and greater Trade Adjustment Assistance

Extension Act of 2011

113 weeks 17 weeks 3 130 weeks

1

Remedial Training only

2

Remedial and/or Prerequisite Training only

3

Completion TRA only

1. The participant has marketable skills sufficient to get a job in the occupation he or she has

selected.

2. Training is not feasible because of the participant’s health reasons.

3. The participant is within two years of retirement.

4. The participant is subject to recall to his or her laid off position within six months.

5. Enrollment in suitable training is available within 60 days.

6. Suitable training is not available at a reasonable cost.

Unemployment rates, industry profiles, and the age, education, and skills of those who are laid off all

contribute to the waiver rate in a given LWDA.

Health Coverage Tax Credit (HCTC) pays a portion of the cost of health insurance premiums for health

coverage under the Consolidated Omnibus Budget Reconciliation Act—COBRA—of 1985 and other

qualified health insurance plans. TWC determines HCTC eligibility for trade-affected workers and informs

HCTC’s administrator, the Internal Revenue Service. An individual must be eligible for TRA payments to

be eligible for HCTC.

Alternative Trade Adjustment

Assistance/Reemployment

Trade Adjustment Assistance

(ATAA/RTAA) pays a 50 percent

pay differential to older Tradecertified

workers who find

employment within 26 weeks of

being laid off or within two years

of separation from trade-affected

employment, depending on the

petition number.

Job-search allowances cover

the expenses participants incur

in seeking employment outside

their normal commuting area.

Participants may receive up to

90 or 100 percent, depending on

petition number, of necessary

transportation and living expenses

(with a maximum of $1,250 or $1,500) while searching for such employment.

Relocation allowances pay 90 or 100 percent (depending on petition number) of the reasonable and

necessary expenses of moving participants, their families, and their household goods to a new location,

if participants obtain employment outside their normal commuting area. As part of the relocation

allowance, participants may receive a lump sum payment equal to three times their former average weekly

wage (with a maximum of $800, $1,250, or $1,500, depending on the petition number) to pay deposits

and help them get settled.

A waiver of the TRA training requirement can be issued in certain cases when it is not feasible to

approve training. The waiver, which permits an individual to be eligible for TRA without participating in

training, is available only where training is not feasible or appropriate. The available waiver reasons, which

vary by petition number, are as follows:

18 2012 Trade Adjustment Assistance Annual Report 2012 Trade Adjustment Assistance Annual Report

19


Description of Service Delivery

for Trade-Certified Workers

Service delivery begins when an employer provides notice of an impending layoff or plant closure, when

TWC staff receives notification of an event by other means, or when a Trade petition is filed. The Board

in the affected area provides rapid response services by meeting with the employer to arrange early

intervention reemployment services for affected workers. The Board and Workforce Solutions Office

staff provides the employer and employees with information about workforce services, including Trade

services.

Rapid response early intervention services provide immediate aid to potentially dislocated workers

affected by plant closings and large layoffs. The objective is to help these workers find reemployment

as quickly as possible, often before their last day of work. During the rapid response effort, Workforce

Solutions Office staff conducts employee orientations and

seminars concerning job search skills, stress management,

financial management, and local labor market information.

Activities such as local job fairs and job referrals also occur.

If workers have been certified under a Trade petition by

DOL, or if a certification will likely occur, orientations and

assistance include information about Trade services and

benefits. Providing this information to employees during

rapid response activities helps to ensure that Trade-certified

workers apply for services and file for benefits as early

as possible to meet the TRA benefit eligibility timelines.

Following job separation, Trade-certified workers can access

WorkInTexas.com to find jobs that match their skills and

experience, or they can receive staff-assisted job search

services through a Workforce Solutions Office.

Rapid response early

intervention services

provide immediate aid

to potentially dislocated

workers affected by

plant closings and large

layoffs. The objective

is to help these workers

find reemployment as

quickly as possible, often

before their last day of

work.

Through co-enrollment in WIA dislocated worker services,

Trade-certified workers can receive thorough assessment

services. Trade-funded merit staff assists Trade-certified

workers with training and other services such as job search and relocation. If a Trade-certified worker

lacks the job skills required to secure suitable employment, he or she can receive occupational training

to be more competitive in the labor market. TAA occupational training can be provided through Boardapproved

training providers, other accredited or licensed institutions, or customized training or on-thejob

training with an employer. Workforce Solutions Office staff continues to work with participants

while they are in training. TWC continuously stresses the need for training that integrates occupational

job skills with the necessary basic education and language skills required for the occupation. While in

training, the participant can file claims for weekly support payments through TWC’s UI system.

Not all workers covered under a Trade certification request services. Many workers who are potentially

eligible for Trade services and benefits find reemployment quickly, take advantage of retirement options

or transfers within a company, or become self-employed.

20 2012 Trade Adjustment Assistance Annual Report


Texas Workforce Commission

101 East 15th Street

Austin, Texas 78778-0001

(512) 463-2222

Equal Opportunity Employer/Program

Auxiliary aids and services are available upon request to individuals with disabilities.

Relay Texas: 800-735-2989 (TTY) and 711 (Voice).

Copies of this publication (12/2012) have been distributed in compliance with the State Depository

Law, and are available for public use through the Texas State Publication Depository Program

at the Texas State Library and other state depository libraries.

http://www.texasworkforce.org


05640-002A (0113)

ALAMO • BRAZOS VALLEY

CAMERON COUNTY • CAPITAL AREA

CENTRAL TEXAS • COASTAL BEND

CONCHO VALLEY • GREATER DALLAS

DEEP EAST TEXAS • EAST TEXAS

GOLDEN CRESCENT • GULF COAST

HEART OF TEXAS • LOWER RIO GRANDE

VALLEY • MIDDLE RIO GRANDE

NORTH CENTRAL • NORTHEAST TEXAS

NORTH TEXAS • PANHANDLE

PERMIAN BASIN • RURAL CAPITAL AREA

SOUTHEAST TEXAS • SOUTH PLAINS

SOUTH TEXAS • TARRANT COUNTY

TEXOMA • UPPER RIO GRANDE

WEST CENTRAL

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