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Commission proposes €3.9 million from Globalisation Fund to help former tobacco workers in Austria

07/03/2013 Commission proposes €3.9 million from Globalisation Fund to help former tobacco workers in Austria

The European Commission has proposed to provide Austria with €3.9 million from the European Globalisation Adjustment Fund (EGF) to help 270 workers made redundant by Austria Tabak GmbH and by 14 suppliers and downstream producers with their re-integration into the labour market.

The proposal now goes to the European Parliament and the EU's Council of Ministers for their approval.

Austria applied for support from the EGF for 320 former workers of Austria Tabak GmbH, a manufacturer of cigarette and tobacco products, and 14 suppliers and downstream producers. Among the redundant workers, 270 are expected to participate in the EGF co-financed measures.

The package is designed to help the workers by offering them career advice, job search assistance, job mentoring, various types of training and qualification measures, including vocational training in higher technical and vocational schools (berufsbildende höhere Schulen), apprenticeships/internships in enterprises, practical on-the-job training, intensive support for workers aged over 50 as well as training and subsistence allowances during the training and active job search.

The total estimated cost of the package is approximately €6 million, of which the EGF would provide €3.9 million.