Trade Adjustment Assistance

 

The Trade Adjustment Assistance (TAA) for Workers Program is a federal entitlement program that assists workers impacted by foreign trade. Through the provision of a number of employment-related benefits and services, the TAA Program provides trade-affected workers with opportunities to obtain the support, resources, skills, and credentials they need to return to the workforce in a good job in an in-demand industry. The program services include training, employment and case management services, job search allowances, relocation allowances, wage supplements for workers aged 50 and older, and Trade Readjustment Allowances (TRA).

General information about this opportunity
Last Known Status
Active
Program Number
17.245
Federal Agency/Office
Employment and Training Administration, Department of Labor
Type(s) of Assistance Offered
A - Formula Grants
Program Accomplishments
Fiscal Year 2016 No Current Data Available Budget Performance Information is available at: https://www.dol.gov/general/aboutdol#budget.
Fiscal Year 2017 No Current Data Available
Fiscal Year 2018 No Current Data Available
Fiscal Year 2019 In FY 2019 (October 1, 2018 – September 30, 2019), 1,235 petitions were filed, a 3 percent decrease from FY 2018. An estimated 88,001 workers became eligible to apply for TAA, up 14 percent from the previous year, and 28,348 participants received benefits and services, down 18 percent from the previous year. Performance remained at a 5-year high in FY 2019 with 77 percent of TAA participants obtaining new employment within 6 months of completing the program. While 53 percent of FY 2019 TAA petitions were from the manufacturing industry, 62 percent of participants who exited the program were re-employed in non-manufacturing industry sectors, coinciding with the general U.S. economic trend of growth in non-manufacturing industry employment. Of the 8,251 TAA exiters who received training in FY 2019, approximately 75 percent (6,162) completed training and about 88 percent (5,446) of training completers received a credential. The fourth-quarter employment rate of those participants who completed training and received a credential were higher than those participants who did not, continuing a multi-year trend.
Fiscal Year 2020 The Trade Adjustment Assistance (TAA) program works. Of the 6,301 TAA exiters who received training in FY 2020, approximately 76 percent (4,762) completed training and about 91 percent (4,324) of training completers received a credential. The fourth-quarter employment rate of those participants who completed training and received a credential were higher than those participants who did not, continuing a multi-year trend. These performance results demonstrate that even during a year of an economic crisis such as FY 2020, the TAA Program is vastly relevant in providing important benefits and services to help trade-affected workers obtain reemployment.
Fiscal Year 2021 In FY 2021, 801 petitions were certified, a nearly 4- percent increase from FY 2020. An estimated 107,454 workers became eligible to apply for TAA, up approximately 12 percent from the previous year. Of the 5,296 TAA exiting participants, or “exiters”, who received training in FY 2021, approximately 79 percent (4,156) completed training, the highest level in five years. More than 72 percent of training participants received a credential within a year of exiting the program, which is also the highest level in five years. The fourth quarter employment rate of those participants who completed training was higher than that of participants who did not, continuing a multi-year trend. These performance results demonstrate that even during a global pandemic, the TAA Program is an especially important part of the workforce system and continues to provide important benefits and services to help trade-affected workers obtain reemployment. TAA Participants age 30 and under experienced a 101 percent wage replacement rate after TAA Program completion.
Fiscal Year 2022 o In FY 2022 (October 1, 2021 – September 30, 2022), 168 petitions were certified, a nearly 80-percent decrease from FY 2021, and an estimated 25,099 workers became eligible to apply for TAA, down approximately 77 percent from the previous year; both of these decreases are due to program reversion and termination in FY 2022. These decreases are directly attributable to the implementation of the reversion and termination provisions of the Trade Adjustment Assistance Reauthorization Act of 2015 (TAARA 2015). Some performance results were below previous 5-year high levels achieved in FY 2020 but improved over COVID-19 impacted FY 2021 results with approximately 71 percent of TAA participants obtaining new employment within 6 months of exiting the program. Median Earnings (ME) reached 5-year high levels in FY 2022 with earnings nearly 15 percent higher than FY 2021. o Wage replacement was also noteworthy for FY 2022 with post participation earnings at 96.1 percent of pre-participation employment earnings – the highest in known history of the TAA Program. Also worth noting is wage replacement for TAA participants aged 30 or under at 122.7 percent, meaning post TAA participation they earned 22.7 percent more than pre-participation earnings. Similarly, TAA participants aged 30 through 39 and 40 through 49 also earned after participating in TAA than their pre-participation employment earnings. With many highly skilled jobs unable to be filled due to the workforce lacking the necessary training or skills, the TAA Program and its vital training benefits and services is an essential part of the workforce system and if reauthorized, will continue to provide important training benefits and services to help trade-affected workers obtain reemployment for the future.
Fiscal Year 2023 Budget Fiscal Year (2023) - Not yet available
Fiscal Year 2024 Under the termination provision of the Trade Act of 1974, the Department ceased investigations for group eligibility effective July 1, 2022. Therefore, no new certifications for group eligibility were issued on and after that date.
Authorization
Through the publication of the Trade Adjustment Assistance Final Rule on September 21, 2020, the Department of Labor (DOL) streamlined and consolidated three separate parts of the CFR that contain TAA Program regulations (20 CFR parts 617 and 618, 29 CFR part 90) into a single part (20 CFR part 618) with nine subparts, which codified into regulation elements of the most recent TAA Program amendments, the Trade Adjustment Assistance Reauthorization Act of 2015 (Pub. L. 114-27, title IV) (TAARA 2015). This is the regulation under which the TAA Program is operating., Title Trade Adjustment Assistance Act of 1974, Part 20 CFR, Section 618, Public Law TAA was last reauthorized under the Trade Adjustment Assistance Reauthorization Act of 2015 (TAARA 2015), title IV of the Trade Preferences Extension Act of 2015 (Public Law 114-27), on June 29, 2015. However, this act contains sunset and termination provisions that took effect July 1, 2021, and July 1, 2022, respectively. At this writing, the Administration and the Department are committed to working with Congress to reauthorize TAA.-Public Law 114-27 – June 29, 2015 (Committee on Ways and Means), 19 U.S. Code Chapter 12 – Trade Act of 1974 U.S.C. 19 USC 2101, Statute Vol. 161,Page 14
The Trade Adjustment Assistance Reauthorization Act of 2015 (TAARA 2015) (Pub. L. 114-27), at Section 406, terminated the TAA Program on July 1, 2022. Termination follows a one-year period from July 1, 2021, to June 30, 2022, known as Reversion 2021, which limited group eligibility, reduced program funding, and restricted benefits available to workers. Program termination means the Department no longer certifies petitions for TAA after June 30, 2022; however, under this provision, states must continue after June 30, 2022, to determine individual worker eligibility and provide benefits and services for workers covered under certified petitions. The Administration and the Department are committed to working with Congress to reauthorize TAA.
Who is eligible to apply/benefit from this assistance?
Applicant Eligibility
Under Section 239 of the Trade Act, as amended, each state, as agent of the Department, carry out the activities of the TAA Program. States receive worker applications and provide benefits and services to eligible workers certified to receive TAA Program benefits. Each state provides these services through one or more state agencies, one of which is designated as the CSA in an agreement between the state's Governor and the U.S. Secretary of Labor (Secretary); this agreement is known as the Governor-Secretary Agreement1 . The Governor-Secretary Agreement explains program requirements, limitations on the use of TaOA funds, and other important grant provisions, including the TAA Program Annual Funding Agreement (AFA), that states must comply with in order to access TAA Program funding. The Standard Terms and Conditions template that governs the TAA Program grant award is available at: https://doleta.gov/grants/resources.cfm Employment/Labor/Management, Business/Commerce, Training, Vocational Education/State Workforce Agency/American Job Centers/Workforce Boards/
Beneficiary Eligibility
Once a member of a worker group is covered by a certification for eligibility to apply for TAA, the workers individually apply for benefits and services through the American Job Centers. TAA benefits and services have specific individual eligibility criteria that must be met, such as previous work history, unemployment insurance eligibility, and individual skill levels. The TAA program currently offers the following benefits and services to eligible individuals: training, weekly income support in the form of TRA, out-of-area job search and relocation allowances, case management and employment services, and wage supplement for qualified older workers through RTAA. Trade Affected Workers/Dislocated Workers/Individual/Family/Unemployed
Credentials/Documentation
State Workforce Agencies (SWAs) or agencies designated by Governors as "Cooperating State Agencies" (CSAs) (which DOL jointly referred to as "States," "Recipients," "Grantees," "Applicants,") may apply to receive Trade Adjustment Assistance Program Training and Other Activities (TaOA) funding.
What is the process for applying and being award this assistance?
Pre-Application Procedure
Preapplication coordination is not applicable.
Application Procedure
2 CFR 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards applies to this program. N/A
Award Procedure
TAA is a mandatory entitlement and states execute agreements with between their State Governor and the Secretary of Labor to carry out the program. Awards are non-competitive.
Deadlines
Not applicable.
Approval/Disapproval Decision Time
From 30 to 60 days.
Appeals
From 30 to 60 days.
Renewals
Not applicable.
How are proposals selected?
Not applicable.
How may assistance be used?
State Workforce Agencies (SWAs) serve as agents of the United States and administer the worker adjustment assistance benefit provisions of the Trade Act. SWAs, through their American Job Centers (AJC), formerly known as One-Stop Career Centers or by a different name, and other local offices, provide assessments, employment counseling, and job placement services; job search and relocation assistance; and training. The weekly income support payments and wage supplements of TRA and A/RTAA, respectively, are administered under the Unemployment Insurance program (see CFDA 17.225). State unemployment compensation and extended benefits must be exhausted
What are the requirements after being awarded this opportunity?
Reporting
Performance Reports: N/A
Auditing
Not applicable.
Records
Not applicable.
Other Assistance Considerations
Formula and Matching Requirements
Statutory Formula: Title Allocation of Funds to States for Training and Other Activities Chapter 20 CFR Part 619.900- 619.950 Subpart I Public Law Trade Adjustment Assistance Reauthorization Act of 2015 (Pub. L. 114-27, title IV) (TAARA 2015) The formula factors the Department must consider in determining the apportionment of the Initial Allocation of funds specified in 20 CFR 618.910(f).

Matching requirements are not applicable to this assistance listing.

MOE requirements are not applicable to this assistance listing.
Length and Time Phasing of Assistance
Funds under the 17.245 classification are available for expenditure for three fiscal years (i.e., funds awarded in FY 2022 are available for FY 2022, FY 2023, and FY 2024). The expenditure period for funds provided under 17.225 for TRA, ATAA, and RTAA is one fiscal year. States may refer to TAA Program Annual Funding Agreement and Notice of Award for additional information on the expenditure period for training funds and the UI Annual Funding Agreements for additional information on TRA, ATAA, and RTAA expenditure periods. Method of awarding/releasing assistance: Lump.
Who do I contact about this opportunity?
Regional or Local Office
The formula factors the Department must consider in determining the apportionment of the Initial Allocation of funds specified in 20 CFR 618.910(f).
Headquarters Office
Frankie Russell
Frances Perkins Building, 200 Constitution Avenue, N.W.
Washington, DC 20210 US
russell.frankie@dol.gov
Phone: 202-693-2738
Fax: 202-693-3584

Timothy Theberge
Frances Perkins Building, 200 Constitution Avenue, N.W.
Washington, DC 20001 USA
Theberge.Timothy@dol.gov
Phone: (202) 693-3401
Website Address
https://www.dol.gov/agencies/eta/tradeact
Financial Information
Account Identification
16-0326-0-1-999
Obligations
(Formula Grants) FY 22$224,000,000.00; FY 23 est $238,000,000.00; FY 24 est $9,000,000.00; FY 21$370,485,000.00; FY 20$410,000,000.00; FY 19$401,000,000.00; FY 18$398,000,000.00; FY 17$391,000,000.00; FY 16$391,000,000.00; -
Range and Average of Financial Assistance
TAA Program financial information is published yearly in the Report to the Committee on Finance of the Senate and Committee on Ways and Means of the House of Representatives, which can be found on the program website at https://www.dol.gov/agencies/eta/tradeact/reports.
Regulations, Guidelines and Literature
TAA program funding and financial requirements are provided in the Regulations at 20 CFR 618.9 and in annual guidance the department issues for ach FY Access https://www.dol.gov/agencies/eta/tradeact/law/regulations for the regulations and https://www.dol.gov/agencies/eta/tradeact/law/directives for FY program guidance pertaining to the FY TaOA allocations.
Examples of Funded Projects
Fiscal Year 2021 Past Fiscal Year Actual: The program services include training, employment and case management services, job search allowances, relocation allowances, wage supplements for workers aged 50 and older, and Trade Readjustment Allowances (TRA)
Fiscal Year 2023 Budget Fiscal Year Projection: The program services include training, employment and case management services, job search allowances, relocation allowances, wage supplements for workers aged 50 and older, and Trade Readjustment Allowances (TRA)
Fiscal Year 2024 Current Fiscal Year Projections: The program services include training, employment and case management services, job search allowances, relocation allowances, wage supplements for workers aged 50 and older, and Trade Readjustment Allowances (TRA)

 


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