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3,582 former Renault workers to receive €24.4 million from EU Globalisation Fund

11/07/2011 3,582 former Renault workers to receive €24.4 million from EU Globalisation Fund

The European Commission has approved an application from France for assistance from the European Globalisation Adjustment Fund (EGF). The € 24 493 525 was requested by the French authorities to help 3,582 workers made redundant by Renault - and seven of its subsidiaries and downstream producers - back into work.

The application will now be sent to the European Parliament and the Council of the European Union (the EU's Budgetary Authority) for decision.

The French application relates to 4,445 workers made redundant by Renault and seven of its suppliers and downstream producers. The dismissals were a consequence of the financial and economic crisis.

The regions most affected by the redundancies are Ile-de-France, Haute-Normandie and Nord-Pas-de-Calais. In Ile-de-France the redundancies mainly took place in the Guyancourt Aubevoie plant, Renault's headquarters. In the Haute-Normandie region, the job losses occurred in Cléon near Rouen and Sandouville, close to Le Havre. Le Havre in particular has suffered dramatic industrial decline with few opportunities for the job-seekers. In Nord-Pas-de-Calais, the redundancies mainly took place in Douai and Maubeuge. Both towns are located in areas with high unemployment (13.8 % and 15.5 %).

The financial assistance from the EGF is targeted at the 3,582 most disadvantaged workers to help them find a job by providing advisory services (guidance on job search, advice on business start-up, etc); training and re-training; support for business creation and allowances.

The total estimated cost of the package is € 37.6 million, of which the European Union will provide EGF assistance of € 24.4 million.