Seed-producing crops and on the equivalence of seed produced in third countries (codification)
Co-decision by Parliament & Council
This decision mobilises the European Globalisation Adjustment Fund (EGF) to provide financial support to Germany following the redundancy of 1,518 workers from Vallourec Deutschland GmbH, a manufacturer of basic metals. The fund aims to help these displaced workers re-enter the job market. The affected individuals are workers from Vallourec's production facilities in Düsseldorf and Mülheim an der Ruhr, Germany, who lost their jobs due to the company offshoring production to Brazil. Many of these workers have long careers in the company and may have outdated skills, making their reintegration into the labour market challenging. The EU contribution of nearly €3 million will fund personalised services for up to 835 targeted beneficiaries. These services include upskilling and reskilling measures, career guidance, business start-up support, job search assistance, and financial incentives to encourage new employment. Germany submitted the application in November 2023, and the EGF funding is eligible from December 2023. The support is intended to complement national measures and will be managed by existing German authorities responsible for European social funds.
Legislative Timeline
Proposal
26 Feb
commissionCommittee
Parliament
Trilogue
Council
Adopted
Published
Implemented
Closed
Analysis
Germany submitted an application for a financial contribution from the EGF on November 15, 2023, following displacements at Vallourec Deutschland GmbH.
What changes
- A decision is proposed to mobilise the European Globalisation Adjustment Fund (EGF) for EUR 2,984,627 to support displaced workers from Vallourec Deutschland GmbH.
- The EGF will provide a financial contribution of EUR 2,984,627, representing 60% of the total costs for the proposed measures.
- Expenditure on personalised services is eligible from December 1, 2023, and administrative expenditure from January 1, 2023.
Expected impact
- The job displacements are expected to have a significant adverse effect on the local economy, particularly in Mülheim an der Ruhr, where the unemployment rate is high.
- The profiles of the displaced workers, often older with low or outdated qualifications, do not match current job market demands, posing a challenge for up- and re-skilling.
- The proposed measures, including upskilling, guidance, and job search assistance, are considered active labour market policy measures and do not substitute passive social protection.
Limitations
- The document does not contain information on the specific outcomes or success rates of previous EGF applications in similar sectors or regions.
- Details regarding the specific content of the 'social plan' and 'transfer company' agreements beyond their general purpose are not provided.
- The exact date of the adoption of the decision, which impacts the eligibility period for expenditure, is not yet determined.
Voting
No voting data yet. Records appear after plenary roll-call votes.
Legislative Timeline
Commission Proposal
26 Feb 2024
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