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On August 6, 2002 the President signed into law the Trade Adjustment Assistance Reform Act of 2002 (Trade Act 2002), to become effective November 4, 2002.  The Trade Act of 2002 is specifically for companies certified as approved by the US Department of Labor (USDOL) on or after this effective date.  The new act reauthorizes the Trade Adjustment Assistance (TAA) program through fiscal year 2007, and amends and adds provisions to the program.

  If your company was certified prior to November 4, 2002, click here to access information and forms specific to your program.  These companies fall under the Trade Act of 1974 and have slightly different forms and benefit levels.

Click here for a comparison chart showing the differences between the Trade Act of 1974 and the Trade Reform Act of 2002.  While many aspects of the program remain the same, there are some very distinct differences.  

The Trade Act of 2002 combines both the Trade Adjustment Assistance program (TAA) established under the Trade Act of 1974 and the North American Free Trade Agreement-Transitional Adjustment Assistance program (NAFTA-TAA) of 1993. The new Trade Act repeals NAFTA, consolidating both programs into a more streamlined, efficient program.  

The program also covers workers in companies that are indirectly affected by trade with other countries, called Secondary Firms.  Secondary workers have been divided into two groups and are now covered under TAA.  

Upstream Supplier:  A firm that produces and supplies component parts directly to a certified primary firm.  The component parts must be directly incorporated into articles that are produced by the primary firm.  

Downstream Producer:  A firm that performs additional, value added production processes directly for a certified primary firm for articles that were the basis of certification.  Downstream production can include final assembly or finishing.  

For approval, the component must be at least 20% of production, or the loss of business with the primary firm must contribute importantly to job loss.  

The goal of the TAA program is to assist laid off workers to return to suitable employment. Suitable employment is defined as being work of a substantially equal or higher skill level than the worker’s adversely affected employment, and which pays not less than 80 percent of their previous employment.

To establish worker eligibility for Trade Act Benefits, a petition must be filed simultaneously with the State TAA Office and the US Department of Labor.  In order to ensure simultaneous filing, please mail or fax your company's petition directly to the Trade Act Office in Juneau (listed on the petition form) so we may review it.  We will fax it to the US DOL the same day we receive it.  

Petitions may be filed by:

• a group of three or more workers
• their union or an authorized representative
• a company official, such as the human-resource manager
• One-Stop operators or partners
• State Workforce Agencies
• State dislocated worker units

In order for the Office of Trade Adjustment Assistance to approve a company’s petition, three criteria must be met:

1. A significant number of the workers must have become totally or partially separated,
2. sales or production, or both, of the company have decreased absolutely, and
3. an increase of imports of articles like or directly competitive with the article produced by the company have contributed significantly to the separations and to the decline in sales or production.

Workers who are approved for TAA are eligible for:

Reemployment services, located at nationwide one-stops, which include:

• Career Counseling & testing,

• Job seeking & placement

• Job Search skills enhancement workshops

• Resume preparation

• Case management services

• Labor market & occupation information

• To help offset the costs of seeking work that exists beyond the commuting distance.

• The Trade Act program will pay 90% of transportation costs, lodging, and meals up to $1,250.00 maximum.

• To help offset the costs of relocating to a new job.

• Trade Act will pay 90% of the costs to move the worker and their family,

• Trade Act will pay 90% of the costs to move the household goods and personal belongings,

• Trade Act will issue a lump sum payment of $1,250.00 to help the worker get settled in the new area.

• Can include formal, vocational, technical, or employer based (on-the-job) training.

If it is determined through the assessment process with an employment counselor that a worker needs to be re-trained in order to secure full-time, permanent, suitable work, the Trade Act programs will pay for the retraining.

• Trade Act will pay 100% of tuition, books, fee’s, tools, and travel to training, if applicable.

• Maximum length of approved training is 104 weeks (in school) and the worker must be job ready upon completion.

• An additional 26 weeks of training may be allowed for remedial education.

• Weekly benefits much like Unemployment Insurance that is paid after the Unemployment Insurance is exhausted, if the worker is in an approved training program.

If you do not qualify for Trade Act programs, there may be other training opportunities and reemployment services available in your community under Title I of the Workforce Investment Act (WIA). Information on the agency administering WIA services in your community can be found at: http://www.jobs.state.ak.us/training.htm

Nationwide information can be found at: http://www.doleta.gov/layoff/

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