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Trade Readjustment Allowance (TRA)

Last updated 23rd Sep 2022


The term Trade Readjustment Allowance refers to a program that provides individuals affected by imports with income after their unemployment benefits are exhausted. The Trade Readjustment Allowance (TRA) program provides retraining of affected individuals, financial assistance, job search as well as relocation services.


The Federal Trade Commission Act of 1974 provides individuals with benefits under the Trade Adjustment Assistance (TAA) program. These benefits are targeted to individuals that were adversely affected by foreign imports; this includes a reduction in the number of work hours as well as losing a job.

The Trade Readjustment Allowance applies after an affected, unemployed individual fails to find a new job and they exhaust their unemployment compensation benefits. The TRA provides qualifying individuals with income compensation, retraining, and job search services. This program can also help individuals relocate their home to an area where jobs are more abundant.

In order to collect benefits under the TRA, a Petition for Trade Adjustment Assistance must be filed with the United States Department of Labor (DOL). Once the petition is certified, affected workers can file a claim. Individuals can obtain more information on this benefit by contacting their state unemployment insurance agency.

Related Terms

cyclical unemployment, frictional unemployment, structural unemployment, technological unemployment

Moneyzine Editor

Moneyzine Editor