Revision of the European Globalisation Adjustment Fund
ECON-VIII/005
Revision of the European Globalisation Adjustment Fund
THE EUROPEAN COMMITTEE OF THE REGIONS (CoR)
Welcomes that the proposal aims to widen the scope of the EGF to also cover workers affected by imminent job displacement, underlines that this was proposed by the CoR in its 2018 opinion on the EGF regulation;
Reiterates its demand for a lower threshold for redundancies, whether within the same enterprise or particular sectors, as this better reflects the actual situation on the ground, specifically in regions that are lesser populated and where SMEs are the main type of business, and hopes this decrease will lead to greater use and mobilisation of the EGF; in view of this, proposes that the threshold be set at 150 instead of 200 jobs; calls also for targeted support measures for employees of SMEs and subcontractors;
Suggests intervention criteria to include provisions for transparency regarding the financial situation of the enterprise and the non-eligibility of their application in case of reasonable doubt regarding the financial predicament of the enterprise within the same reference period;
Emphasises the significance of the industrial transition pathways in achieving the objective of a green, digital, and resilient economy. Regrets, therefore, that the EGF proposal does not explore potential synergies with actions planned under the pathways and that the EGF is largely absent in the pathways;
Emphasises that, due to the cyclical nature of the structural changes that the EGF aims to address, the need for the EGF support will vary significantly depending on the economic circumstances; advocates for the EGF budget to be sufficient and more stable to address these structural changes during economic downturns, rather than being based on estimates derived from periods of economic stability.
Welcomes that the proposal aims to widen the scope of the EGF to also cover workers affected by imminent job displacement, underlines that this was proposed by the CoR in its 2018 opinion on the EGF regulation;
Reiterates its demand for a lower threshold for redundancies, whether within the same enterprise or particular sectors, as this better reflects the actual situation on the ground, specifically in regions that are lesser populated and where SMEs are the main type of business, and hopes this decrease will lead to greater use and mobilisation of the EGF; in view of this, proposes that the threshold be set at 150 instead of 200 jobs; calls also for targeted support measures for employees of SMEs and subcontractors;
Suggests intervention criteria to include provisions for transparency regarding the financial situation of the enterprise and the non-eligibility of their application in case of reasonable doubt regarding the financial predicament of the enterprise within the same reference period;
Emphasises the significance of the industrial transition pathways in achieving the objective of a green, digital, and resilient economy. Regrets, therefore, that the EGF proposal does not explore potential synergies with actions planned under the pathways and that the EGF is largely absent in the pathways;
Emphasises that, due to the cyclical nature of the structural changes that the EGF aims to address, the need for the EGF support will vary significantly depending on the economic circumstances; advocates for the EGF budget to be sufficient and more stable to address these structural changes during economic downturns, rather than being based on estimates derived from periods of economic stability.
