Mobilisation of the European Globalisation Adjustment Fund for Displaced Workers following an application from Belgium — EGF/2024/002 BE/Limburg machinery and paper
This decision mobilises the European Globalisation Adjustment Fund (EGF) to provide financial support to workers in Belgium who lost their jobs due to major economic changes. The fund will assist 632 workers made redundant from Sappi Lanaken (paper production) and Purmo Group Belgium (machinery production) in the Limburg region. The support package includes personalised services like career guidance, training, and job search assistance, aiming to help these workers reintegrate into the labour market. Belgium will receive EUR 704,135 from the EGF, covering 60% of the total costs for these reintegration measures, which began in late 2023.
Analysis
Belgium submitted application EGF/2024/002 BE/Limburg machinery and paper for a financial contribution from the European Globalisation Adjustment Fund (EGF), following 681 redundancies in the economic sectors of Manufacture of paper and paper products and Manufacture of machinery and equipment in the region of Provincie Limburg.
What changes
- The resolution approves the decision to mobilise the European Globalisation Adjustment Fund (EGF) following an application from Belgium.
- A financial contribution of EUR 704 135 is allocated to Belgium from the EGF.
Expected impact
- The profiles of the displaced workers, with one third aged 55 years or more and 30% with low education, present severe barriers on the labour market, requiring additional tailored support for their transition to employment.
- The COVID-19 pandemic and the Russian war of aggression against Ukraine have reduced economic competitiveness and negatively impacted economic growth in Belgium.
- Declining demand for graphics products due to increased digitalisation has led to overcapacity in the European woodfree coated paper industry, contributing to the closure of Sappi Lanaken.
Limitations
- The specific text of the final decision (Decision (EU) 2025/47) is not reproduced in the provided document.
- Details regarding the specific content of the 'employment unit' established by the companies are not fully elaborated.
- The exact nature of the 'additional tailored support' mentioned in Paragraph 5 is not specified beyond the general categories of personalised services.
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