Ten years ago, the European Globalisation adjustment Fund (EGF) began its operations. The fund is a practical demonstration of European solidarity, as it gives financial support to Member States to help workers and companies to adjust in response to changing patterns of trade.
The European Globalisation adjustment Fund was set up specifically to help workers affected by closures of factories or the decline of certain economic sectors. In addition, where regions of high youth unemployment are affected by redundancies eligible for EGF support, Member States can, until the end of 2017 and under certain conditions, include young people not in employment, education or training (NEETs), to be added to the workers targeted for EGF measures. In that sense, the EGF also directly contributes to the creation of a more dynamic and competitive European economy by improving the skills and employability of vulnerable workers and young people.
Commissioner for Employment, Social Affairs, Skills and Labour Mobility, Marianne Thyssen, said: "The European Globalisation adjustment Fund is one of the most concrete expressions of European solidarity and an essential instrument to support workers that lost their job as a result of changing trade patterns. During the last ten years we were able to support more than 140,000 people. It has a clear added-value, as it tops up national support mechanisms for workers involved in mass lay-offs, and funds measures that are tailored to workers’ specific needs to help them move on."
Since its establishment in 2007, the Commission received 148 applications from 21 Member States, totalling almost €600 million of EGF co-funding in support of 138,888 redundant workers and 2,944 persons not in employment, education or training (NEETs).
In order to benefit from financial support of the European Globalisation adjustment Fund, Member States have to make a request. The EU can co-fund up to 60% of the cost of reintegrating workers made redundant into the labour market. More specifically, the EGF co-finances projects including measures such as