GE Transportation workers won't be eligible for trade assistance: Those laid off won't get money

Jim Martin
Nov 11, 2009 (Erie Times-News - McClatchy-Tribune Information Services via COMTEX) --

Federal Trade Adjustment Assistance helped soften the blow for many of the 700-plus local International Paper Co. workers who lost their jobs in 2002.

Early indications suggest, however, that those government benefits won't be available to 1,480 GE Transportation workers expected to lose their jobs in November as part of one of the biggest layoffs in recent memory.

TAA, available to workers who lose their jobs because of foreign competition, extends unemployment benefits and provides money for retraining and relocation. The program has been used locally by workers from Bush Industries, Van de Kamp's, Steris Corp., American Meter, EMI, and Owens-Illinois Closure, among others.

Stephan Koller, a spokesman for GE Transportation, said the U.S. Department of Labor approached the company to collect information for the TAA application.

"Typically (applications) are granted because of overseas trade," he said. "In our case, the work force reductions were not based on overseas trade, but because of a steep decline in orders."

The government apparently saw it the same way. A spokeswoman for the Pennsylvania Department of Labor and Industry said the Office of Trade Adjustment Assistance rejected the application on Oct. 8.

There was no confirmation this week from Local 506 of the United Electrical Radio & Machine Workers of America, which represents workers at GE Transportation, but some employees said the union is filing an appeal.

Marie Francis, press secretary for U.S. Rep. Kathy Dahlkemper, of Erie, D-3rd Dist., said Dahlkemper will try to help.

"That decision rests with the Department of Labor, but we do know that the workers have made a strong case for TAA," Francis said. "The congresswoman certainly wants to ensure that displaced workers are given every opportunity to take care of their families and get the training they need to find good jobs in the region."

Lars Day, a 45-year-old machinist who has worked 18 months at GE Transportation, said he doesn't know why employees there would be denied TAA benefits when so many other local employees have been approved. The outcome matters to the Harborcreek Township resident, who has four children living at home and is scheduled to see his job end in November.

GE Transportation is providing displaced employees with a benefits package that includes severance pay, health care and life insurance for a year, and a year of tuition reimbursement worth up to $6,000 for hourly workers and $9,000 for salaried employees.

"GE will do everything it can to assist affected employees," Koller said.

Day said he's hopeful that local lawmakers can help expand those benefits. "They better," he said. "I voted them in."

But it's not just a matter of politics.

As an employee of a company that produces locomotives at plants around the world and sources parts from numerous countries, he thinks the case has merit. He also thinks he and his fellow employees could use a hand.

"After a year, I can't afford to pay for health insurance," he said. "It would be nice to get retrained and be able to provide for my family."

JIM MARTIN can be reached at 870-1668 or by e-mail.

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