What is Trade Adjustment Assistance

1 Overview

• What is Trade Adjustment Assistance or “TAA”?

  • A federally funded workforce program that assists workers who have lost or may lose their jobs as a result of foreign trade or competition. 

  • The program provides eligible, trade-affected workers with opportunities to obtain the skills, education, credentials, resources, career-coaching, and support to become reemployed at comparable or enhanced wages.

• What are some of the benefits and services are available under the Trade Adjustment Assistance program?

  Benefits and services include the following: 

  • Career and employment counseling;  
  • Skills and interest assessments to develop an individualized employment plan;
  • Job search assistance and monetary allowance;
  • Occupational classroom, online and On-the-Job (OJT) training;  
  • Relocation allowance;
  • Health Coverage Tax Credit (expires on December 31, 2021);
  • Income support as Trade Readjustment Allowance (TRA); and
  • Income subsidy as Reemployment Trade Adjustment Assistance (RTAA) for workers age 50 and older. 

• What is a trade-affected worker?

  • An individual who has been totally or partially separated from employment in a firm or subdivision of a firm that has been certified under TAA.

• What is a trade petition?

  • A request submitted to U.S. Department of Labor’s Office of Trade Adjustment Assistance (OTAA) to certify an employer as adversely impacted by global trade or competition.

• Who may file a petition?

  • A petition may be filed by two or more workers, the employer, union officials on behalf of the workers, the State Trade Program Office or your Local TAA Coordinator. File a petition here: https://www.etareports.doleta.gov/petition/index.cfm?reset=true 

• What is the trade impact date?

  • The trade impact date is the point in time where workers began losing their jobs due to foreign trade or competition.  
  • Following an investigation, the impact date is the point in time an organization or company begins to suffer losses including layoffs due to foreign trade and/or competition.  

• What is the eligibility period?

  What is the eligibility period?

  • The eligibility period is the impact date to the expiration date. Both dates are established by DOL’s OTAA.

• Is the certification date and the trade impact date the same?

  • No, these will likely be two different dates.

• Is COVID-19 impact a basis for TAA certification?

  • No. While COVID-19 impact is not a basis for TAA certification, workers of firms impacted by closure or work-stoppage may be eligible to apply for TAA if the worker group eligibility criteria are met.

• Where can I find more information on TAA petitions?

  • A detailed petitioner’s FAQ is available at: https://www.dol.gov/agencies/eta/tradeact/petitioners/faq

• Who determines group eligibility for the Trade Adjustment Assistance program?

  • U.S. Department of Labor Office of Trade Adjustment Assistance (USDOL OTAA)
  • Visit the USDOL OTAA website here: https://www.dol.gov/agencies/eta/tradeact

• What are the group eligibility criteria defined by USDOL OTAA?

  • An increase in competitive imports. The sales or production of the petitioning firm have decreased absolutely and imports of articles or services like or directly competitive with those produced by the petitioning firm have increased.
  • A shift in production to a foreign country. The workers’ firm has moved production of the articles or services that the petitioning workers produced to a foreign country or the firm has acquired, from a foreign provider, articles or services that are directly competitive with those produced by the workers.
  • Adversely affected secondary workers. The petitioning firm is a supplier or a downstream producer to a TAA-certified firm and either (1) the sales or production for the TAA-certified firm accounted for at least 20% of the sales or production of the petitioning firm or (2) a loss of business with a TAA-certified firm contributed to the workers’ job losses.
    • 19 U.S.C. 2272(c)(3) defines a downstream producer as “a firm that performs additional, value-added production processes or services directly for another firm.”
  • International Trade Commission. Workers separated from firms that have been publicly identified by the United States International Trade Commission (USITC) as injured by a market disruption or other qualified action.

• What document identifies the worker group eligible to apply for the Trade Adjustment Assistance program?

  • If the United States Department of Labor issues an affirmative determination (or “certification”) on a TAA petition after an investigation, the certification will identify the worker group whose members are eligible to apply for TAA.
    • The workers will be notified by the Department of Economic Opportunity State Trade Program Coordinator of their eligibility to individually apply for TAA benefits and services.

• Who determines individual eligibility for the Trade Adjustment Assistance program?

  • To be eligible for the Trade Adjustment Assistance program, one must demonstrate (1) he or she was separated from a TAA certified organization/company due to foreign trade or competition, (2) at the certified organization/company location, and (3) within a specific date range (impact date to expiration date). For more information, review the certification from the United States Department of Labor.
  • Once an employer has been determined to be trade impacted by USDOL OTAA, Local TAA Coordinators assigned to Florida’s 24 Local Workforce Development Boards are responsible for determining each individual worker’s eligibility. Find your LWDB’s career center here: http://lcd.floridajobs.org/

• What are the requirements for trade-affected workers to participate in approved training?

  The participant must meet each of the following six (6) criteria for approval of training:

  1. There is no suitable employment available for a trade-affected worker. It is the responsibility of the Local TAA Coordinator to determine the availability of suitable employment in the statewide commuting area as defined in DEO Memorandum: Trade Adjustment Assistance State Definition of Commuting Area and that there is no reasonable prospect of suitable employment becoming available in the foreseeable future. This criterion must be satisfied by reporting Employ Florida service code 114 (Staff-Assisted Job Search) along with a supportive case note within the TAA participant’s Employ Florida training application.
  2. The trade-affected worker would benefit from appropriate training. This means there is a direct relationship between the trade-affected worker’s need for skills training or remedial education and the skills that would be provided by the training program under consideration. The participant must also have the mental and physical capabilities to undertake, make satisfactory progress in, and complete the training, as well as be job ready upon completion of the training program.
  3. There is a reasonable expectation of employment following successful completion of the training. This means that given the job market conditions expected to exist when the TAA participant completes the training program, there is a reasonable expectation that the participant will obtain employment using the skills obtained.
  4. The approved training is reasonably available from either governmental agencies or private sources. In determining whether training is reasonably available, the Local TAA Coordinator must give first consideration to training opportunities available within the statewide commuting area. Training at facilities outside the statewide commuting area should be approved only if such training is not available within the commuting area or if there will be a cost savings to the TAA program.
  5. The TAA participant is qualified to undertake and complete such training. The TAA participant’s personal qualifications, including their physical and mental capabilities, educational background, work experience and financial resources must be determined adequate to undertake and complete the specific training program being considered. Evaluation of the TAA participant’s financial resources must include an analysis of the remaining weeks of Reemployment Assistance (RA) and/or TRA benefits in relation to the duration of the training program. If the affected worker’s RA/TRA benefits will be exhausted before the end of the training program, the Local TAA Coordinator must work with the TAA participant to determine if personal, family resources, or other financial means will be available for the TAA participant to complete the training.
  6. The training is suitable and available at a reasonable cost. This means that training may not be approved at one training provider when training substantially similar in quality, content and results can be obtained from another provider at a lower total cost within a similar time frame.

• What are the two TAA training benchmarks?

  1. Maintaining satisfactory academic standing (not on probation or determined to be "at risk" by the instructor or training institution).
  2. On schedule to complete training within the timeframe identified in the approved training application.

• A trade-affected worker is requesting training after the certification expiration date. Is he or she still eligible?

  • Yes, TAA-approved training is a lifetime benefit.

• What are the criteria to obtain a waiver from training?

  • Must apply for the training waiver prior to the 26-week deadline to be enrolled in training.
  • Must fall under one of the following: (1) health concerns, (2) enrollment is temporarily unavailable, or (3) no training funds are currently available.
  • Participants with training waivers must keep the Local TAA Coordinator updated on his or her steps towards beginning training. Documentation will be in Employ Florida.
  • Per federal law, TRA benefits may be revoked if the participant is not maintaining the TAA training requirements. 

• The waiver from training must be revoked under any one of the following circumstances:

  1. The TAA participant is enrolled in TAA-approved training;
  2. The reason for the waiver no longer exists;
  3. The TAA participant refuses to participate in waiver reviews;
  4. Basic TRA benefits have expired; or
  5. The 104-week eligibility period for Basic TRA has expired.

  To receive a training waiver deadline extension, the Local TAA Coordinator must submit a written request to the State Trade Program Office at TRA@deo.myflorida.com.

  The training waiver deadline may be extended past the deadline date if the participant meets extenuating circumstances such as:

  1. Language barriers;
  2. Medical problems;
  3. Enrolled in a training program that is cancelled at the last minute; or
  4. Other extenuating circumstances deemed beyond the participant’s control by the State Trade Program Office.

• What are the criteria for Trade Readjustment Allowance (TRA) eligibility?

  • Participant must be enrolled in full-time TAA-approved training by 26 weeks from the certification date or 26 weeks from the layoff date, whichever is later.

• What are the three (3) types of TRA:

  • Basic
  • Additional
  • Completion

• If a participant is receiving Unemployment Insurance benefits, may he or she elect Trade Readjustment Assistance (TRA) benefits too?

  • No, TRA benefits are available after Unemployment Insurance benefits are exhausted.

• If a participant is not in training and does not have a waiver for training, is he or she eligible for Trade Readjustment Assistance (TRA) benefits?

  • No.

• What is the difference between Basic TRA and Additional TRA or Completion TRA?

  • For Additional TRA, the participant must be in TAA-approved training by the exhaustion of Basic TRA. If the participant is/was not eligible for Basic TRA, then he or she will not be eligible for Additional TRA.
    • Additional TRA covers up to 65 weeks of benefits.
    • The last 13 weeks of Additional TRA are manual payments via hardcopy checks.
  • For Completion TRA, the participant must be (1) in TAA-approved training, (2) meeting all the required training benchmarks, (3) progressing towards completion of the training / credential, and (4) must have exhausted Unemployment Insurance benefits and Additional TRA benefits.
    • Completion TRA covers up to 13 weeks of benefits.

• What are the criteria for TAA Job Search Allowance?

  • An application is required for Job Search Allowance to be approved.
  • The job interview is outside of his or her normal commuting area (i.e., 10 miles).
  • The eligibility period ends 365 days from layoff or certification, or 182 days after completion of TAA-approved training.
  • This benefit includes reimbursement of 90% of allowable job search costs up to $1,250.
  • The trade-affected worker has kept a job search log, or other job search notes, illustrating he or she has been searching for and/or applying for jobs within the normal commuting area.
  • The job interview is scheduled. The interview has an agreed upon date and time.  

• What are the established statewide commuting distances?

  • Travel for TAA-approved Training – Ten (10) miles one-way from the participant’s residence to the approved training provider.
  • Subsistence for TAA-approved Training – Thirty (30) miles one-way from the participant’s residence to the approved training provider.
  • Travel for Job Search Allowance – Ten (10) miles one-way from the participant’s residence to the perspective employer.
  • Relocation Allowance – Thirty (30) miles one-way from the participant’s previous residence to their new residence in the area of relocation.

• What are the criteria for TAA Relocation Allowance?

  • The relocation must be within the United States of America.
  • The participant must have a valid offer of suitable work outside of his or her normal commuting area.
  • An application is required for Relocation Allowance to be approved. Approval must occur prior to relocation.
  • The eligibility period ends 425 days from the date of layoff or certification, or 182 days after completing TAA approved training.
  • This benefit includes reimbursement of 90% of reasonable and necessary expenses incurred transporting the participant and his or her household items to the new location.
  • This benefit includes an additional allowance of $1,250 on top of the reasonable and necessary expenses incurred transporting the participant and his or her household items to the new location, if deemed necessary and appropriate. 

• What agency is the contact for Health Coverage Tax Credit (HCTC) needs, claims, questions, etc.?

  • Internal Revenue Service https://www.irs.gov/credits-deductions/individuals/hctc

• How do I determine if a trade-affected worker is HCTC eligible?

  • He or she is collecting TRA payments.
  • He or she is collecting RTAA payments.
  • He or she is collecting Unemployment Insurance payments. 

• What is Reemployment Trade Adjustment Assistance (RTAA)?

  • Reemployment Trade Adjustment Assistance (RTAA) is a wage subsidy that bridges the salary gap between the original wage and the wage of the new job.
  • Eligibility begins the first week of reemployment or the week after Unemployment Insurance is exhausted. The new wage must be less than $50,000 per year. Eligible participants must be at least 50 years old and within the eligibility period to qualify. 

• How are RTAA benefits calculated?

  • RTAA payments are half the difference between the old wage and the new wage.
    • Example: Old Wage = $20/hour, New Wage = $15/hour, Difference = $5/hour, RTAA = $2.50/hour

• What is the maximum time limit or financial limit for RTAA?

  • Two years or $10,000, whichever comes first.

2 Eligibility

• Who determines group eligibility for the Trade Adjustment Assistance program?

  • United States Department of Labor Office of Trade Adjustment Assistance (USDOL OTAA)
  • Visit the USDOL OTAA website here: https://www.dol.gov/agencies/eta/tradeact 

• What are the group eligibility criteria defined by the United States Department of Labor?

  Refer to the December 7, 2020 Fact Sheet for details:

  • Increased Imports,
  • Shifts to a foreign country,
  • Acquisitions from a foreign county,
  • Secondary component supplier,
  • Downstream producer, and;
  • International Trade Commission.

• What document identifies the worker group eligible to apply for the Trade Adjustment Assistance program?

  • If the United States Department of Labor issues an affirmative determination (or “certification”) on a TAA petition after an investigation, the certification will identify the worker group whose members are eligible to apply for TAA.
    • The workers will be notified by their state workforce agency of their eligibility to individually apply for TAA benefits and services.

• Who determines individual eligibility for the Trade Adjustment Assistance program?

  • To be eligible for the Trade Adjustment Assistance program, one must demonstrate (1) he or she was separated from a TAA certified organization/company due to foreign trade or competition, (2) at the certified organization/company location, and (3) within a specific date range (impact date to expiration date). For more information, review the certification from the United States Department of Labor.
  • Once an employer has been determined to be trade impacted by USDOL OTAA, Local TAA Coordinators assigned to Florida’s 24 Local Workforce Development Board career centers are responsible for determining each individual worker’s eligibility. Find your LWDB’s career center here: http://lcd.floridajobs.org/

3 Petitions

• Who may file a Trade Adjustment Assistance petition?

  • A petition may be filed by two or more workers, the employer, union officials on behalf of the workers, or your local workforce development center case manager. File a petition here: https://www.etareports.doleta.gov/petition/index.cfm?reset=true 
    • Formerly, a petition may be filed by three or more workers. This is a DOL change.

• What is the trade impact date?

  • The trade impact date is the point in time where workers began losing their jobs due to foreign trade or competition.  
  • Following an investigation, the impact date is the point in time an organization or company begins to suffer losses including layoffs due to foreign trade and/or competition.  

• What is the eligibility period?

  • The eligibility period is the impact date to the expiration date. Both dates are established by U.S. Department of Labor.

• Is the certification date and the trade impact date the same?

  • No, these will likely be two different dates.

• Is COVID-19 impact a basis for TAA certification?

  No. While COVID-19 impact is not a basis for TAA certification, workers of firms impacted by closure or work-stoppage may be eligible to apply for TAA if the worker group eligibility criteria are met.