Dislocated Delphi Workers in Wisconsin Receive Trade Adjustment Assistance and $1.8 Million Department of Labor Grant

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Researched by Industrial Info Resources (Sugar Land, Texas)--Both the Oak Creek Printed Circuit Boards plant and Oak Creek Catalytic Converters plant owned by Delphi Corporation (OTC:DPHIQ) (Troy, Michigan) are scheduled to close by year's end. Fortunately for workers, aid is on the way through the Department of Labor (DOL) and the Trade Adjustment Assistance (TAA) program. In 2007, the automotive supplier declared bankruptcy and has since faced court-monitored reorganization.

The DOL allocated a National Emergency Grant of about $1.8 million to assist the dislocated employees. The decision, announced by Secretary of Labor Elaine L. Chao, is intended to "enable Wisconsin workers who have been affected by the closures to get the help they need to find new jobs." The primary release of funds to Wisconsin totaled $598,241. The secretary of labor reserves the authority to approve National Emergency Grants, which come out of the discretionary fund. The $1.8 million DOL grant will fund assistance to those laid off by providing benefits outside the TAA scope, such as case management, case assessment and career guidance.

Delphi also received eligibility certification under the TAA program, which exists to assist individuals who face unemployment as a result of increased reliance on foreign imports or production outsourcing. The program aims to place dislocated trade workers into suitable employment as quickly as possible. Funded services include: relocation, occupational retraining, search allowances, income support and a health coverage tax credit. In addition, certain provisions allow older workers to receive a wage subsidy along with reassignment to lower-compensation employment.

The printed circuit board plant and the catalytic converters plant employ 1,850 and 1,100, respectively; however, only about 400 workers qualify for the two assistance plans. Many of these individuals maintain membership with one of several unions represented at the plant: United Auto Workers; United Steelworkers; International Brotherhood of Electrical Workers; International Association of Machinists and Aerospace Workers; International Union of Electronic, Electrical, Salaried, Machine and Furniture Workers - Communications Workers of America; and International Union of Operating Engineers.

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