How is the programme designed to deliver results?

Challenge

Globalisation and technological change are likely to increase further the interconnectedness and interdependence of world economies. Labour reallocation is an integral and inevitable part of such economic change. These trends risk further tilting the already unequal distribution of the benefits from globalisation, causing a significant impact on the people and regions adversely affected.

Ensuring a fair distribution of the benefits of change calls for offering assistance to displaced workers. When the number of displaced workers is particularly large, providing assistance may go beyond the means of the individual Member State, requiring EU-level action. In particular, EU intervention through the EGF generates European added value by increasing the number, variety and intensity of services offered to even more dismissed workers and for a longer period of time than would be possible without EGF funding.

Mission

The EGF aims at supporting socioeconomic transformations that are the result of globalisation and of technological advance as well as of environmental changes by helping displaced workers and self-employed persons whose activity has ceased to adapt to structural change.

The EGF is an emergency fund that operates reactively to assist displaced workers affected by major restructuring events. It is guided by—and helps implement—the principles defined under the European Pillar of Social Rights (including equal opportunities and access to the labour market, fair working conditions, and social protection and inclusion) and enhances social and economic cohesion among regions and Member States. It adds to existing mainstream restructuring assistance programmes and services for labour market actors, without replacing existing resources.

Objectives

The EGF’s objectives are to demonstrate solidarity and promote decent and sustainable employment by offering assistance in the case of major restructuring events.

Budget

  • EUR 1 467.4 millionTotal financial programming 2021-2027
2021 2022 2023 2024 2025 2026 2027
197.4 201.3 205.4 209.5 213.7 217.9 222.3

In EUR million.

Actions

The EGF co-finances coordinated packages of personalised services designed to facilitate the re‑integration of the targeted beneficiaries, in particular the most disadvantaged among them, into employment or self-employment. Its main focus is on active labour market measures (e.g. training and retraining, job‑search assistance, outplacement assistance, aid for self-employment or business start‑ups). Assistance is granted for a limited period.

Delivery mode

EGF is implemented under shared management. DG EMPL is in the lead for the Commission.

Performance framework: more information

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Where are we in the implementation?

You will find information on the programme implementation in this webpage.

It will be updated when the programme will have started on an annual basis alongside the publication of the draft budget and the discharge.

Next publication (estimation): June 2022.

Predecessor programmes 2014-2020

The EGF builds on its predecessor under the 2014‑2020 MFF. In particular, it remains outside the budgetary ceiling of the MFF given the non-programmable nature of its mandate. The maximum amount for the period 2021–2027 is set at almost EUR 1.467 billion in current prices.

For the 2021-2027 MFF, the EGF was redesigned to ensure greater inclusiveness and flexibility to better respond to current and future economic challenges, such as automation and digitalisation, the transition to low carbon economy, etc. Therefore, its scope is broadened to any type of significant restructuring event regardless of the cause, and the eligibility threshold has been lowered from 500 to 200 displaced workers.

2014-2020 European Globalisation Adjustment Fund

  • EUR 1 142.2 millionCeiling for 2014-2020

Consumption from the ceilings (2014-2020)

  Total %
Commitments EUR 159.7 million
14%
 
Payments EUR 159.1 million
14%
 

This graph includes implementation based on voted budget and carried-over appropriations, as well as implementation based on recoveries and repaid advances.

 

Key monitoring indicators

  Baseline Progress Target Results Assessment
Redundant workers reintegrated into employment following EGF-supported measures (1)  
>100%
50% 59% of redundant workers reintegrated compared to a target of 50% On track

(1) Cumulative results for 2014-2020.

% of target achieved by the end of 2020

 

 

Concrete examples of achievements

  • 55applications were received (excluding those withdrawn or rejected) between 2014 and 2020.
  • 55 168workers were targeted between 2014 and 2020.
  • 4 099young people not in employment, education or training were targeted between 2014 and 2020.
  • EUR 175 220 016in contributions from the EGF were requested by 12 Member States between 2014 and 2020.
  • 60%of beneficiaries, on average, found employment following intervention by the EGF between 2014 and 2020.
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Programme Performance Overview

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