Core Provisions: H.R.3920 and S.1848 would streamline the trade adjustment assistance program (TAA), which provides training and benefits to workers who lose their jobs because of increases in trade. The major provisions include extension of benefits to service workers and expansion of benefits to workers who lose their jobs for reasons unrelated to trade agreements. The bill also increases the amount of payments for training of adversely affected workers and the maximum allowance to cover costs of such workers for job search and relocation expenses. This act would also amend the Worker Adjustment and Retraining Notification (WARN) Act by expanding the notice period from 60 days to 90 days, and requiring employers to provide employees with information regarding any benefits and services available to them. The act also requires notice to be sent to the Department of Labor, which in turn would transmit the information to relevant members of Congress. The amendment further calls for double damages in the form of two days’ worth of pay for every day an employer falls short of the 90-day notice period, and enables the Department of Labor to enforce the Act.

Status: H.R. 3920 was introduced by Rep. Rangel (D-NY) on October 22, 2007, passed by the House on October 31, 2007, and referred to the Senate Finance Committee on November 5, 2007. S.1848, co-sponsored by Sen. Baucus (D-MT) and Sen. Snowe (R-ME), was introduced to the Senate on July 23, 2007. Reauthorizing TAA is a top priority for Senate Finance Committee Chairman Baucus, who recently stated it would be the first item on his 2008 trade agenda. Saying he expects the Senate Finance Committee to mark up a bill reauthorizing the TAA program by the middle of February, Baucus outlined his plans in a speech to the Peterson Institute for International Economics to add service workers, double the training budget and expand TAA benefits to more workers. The White House threatened to veto the House bill, but President Bush encouraged Congress to renew the TAA program and enact changes to help workers affected by trade deals in his January 28, 2008, State of the Union address.