# EUR-Lex - 52014PC0045 - EN

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# 52014PC0045

**Proposal for a DECISION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL on the mobilisation of the European Globalisation Adjustment Fund in accordance with point 28 of the Interinstitutional Agreement of 17 May 2006 between the European Parliament, the Council and the Commission on budgetary discipline and sound financial management (application EGF/2013/008 ES/Comunidad Valenciana textiles from Spain) /* COM/2014/045 final */**

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EXPLANATORY MEMORANDUM

Point 28 of the Interinstitutional
Agreement of 17 May 2006 between the European Parliament, the Council and the
Commission on budgetary discipline and sound financial management[1] allows for the
mobilisation of the European Globalisation Adjustment Fund (EGF) through a
flexibility mechanism, within the annual ceiling of EUR 500 million over
and above the relevant headings of the financial framework.

The rules applicable to the contributions
from the EGF are laid down in Regulation (EC) No 1927/2006 of the European
Parliament and of the Council of 20 December 2006 on establishing the European
Globalisation Adjustment Fund[2].

On 8 October 2013, Spain submitted application EGF/2013/008 ES/Comunidad
Valenciana textiles for a financial contribution from
the EGF, following redundancies in 198 enterprises
operating in the NACE Revision 2 Division 13 (Manufacture of textiles)[3] in the NUTS II region of Comunidad Valenciana (ES52) in Spain.

After a thorough
examination of this application, the Commission has concluded in accordance
with Article 10 of Regulation (EC) No 1927/2006 that the conditions for a
financial contribution under this Regulation are met.

SUMMARY OF THE APPLICATION AND ANALYSIS

Key data: ||

EGF Reference no. || EGF/2013/008

Member State || Spain

Article 2 || (b)

Enterprises concerned || 198

NUTS II region || Comunidad Valenciana (ES52)

NACE Revision 2 Division || 13 (Manufacture of textiles)

Reference period || 1.11.2012 – 1.8.2013

Starting date for the personalised services || 1.1.2014

Application date || 8.10.2013

Redundancies during the reference period || 560

Redundant workers expected to participate in the measures || 300

Expenditure for personalised services (EUR) || 1 600 000

Expenditure for implementing EGF[4] (EUR) || 80 000

Expenditure for implementing EGF (%) || 4,76

Total budget (EUR) || 1 680 000

EGF contribution (50 %) (EUR) || 840 000

1.           The application was
presented to the Commission on 8 October 2013 and supplemented by additional
information up to 5 November 2013.

2.           The
application meets the conditions for deploying the EGF as set out in Article
2(b) of Regulation (EC) No 1927/2006, and was submitted within the deadline of
10 weeks referred to in Article 5 of that Regulation.

Link between the redundancies and major structural changes in world trade patterns due to globalisation or the global financial and economic crisis

3.           In order to establish the
link between the redundancies and major structural changes in world trade
patterns due to globalisation, Spain argues that since the closure of the World
Trade Organization's (WTO) ten-year, transitional Agreement on Textiles and
Clothing (ATC) at the end of 2004, the European Union market for textiles has
been open to far more global competition[5],
particularly from China and other Far Eastern countries. The graph below shows
that for NACE Division 13 there was a large increase in imports since the
ending of the ATC.

EU
Exports and Imports of textiles[6]
(million euro)

Source:
Eurostat. Comext

4.           Over the period 2004-2012
the EU trade balance in textiles has deteriorated substantially. There was a 17 %
increase in imports of textiles into EU over the period whilst the export of
textiles from the EU to the rest of the world decreased by 3 %. The trade
balance for textiles of the EU decreased from a surplus of EUR 1 107
million in 2004 to a deficit of EUR 3 067 million in 2012.

Textiles mio EUR || 2004 || 2006 || 2008 || 2010 || 2012 || % growth 2004/2012

Imports into EU || 20 585 || 22 637 || 21 574 || 22 789 || 24 098 || 17,07

Exports from EU || 21 692 || 22 609 || 18 890 || 18 695 || 21 031 || -3,05

Balance || 1 107 || -28 || -2 684 || -4 094 || -3 067 ||

5.           Furthermore, whilst the
share in world exports of textiles of the EU decreased from 10 % to 8 %
over the period 2000-2011 the share in world exports of textiles of China increased from 10 % to 32 %[7].

6.           In conclusion, the opinion
of the Commission services is that the 560 redundancies in the Comunidad
Valenciana region of Spain can be linked, as required by Article 1 and 2 of
Regulation (EC) No 1927/2006, to major structural changes in world trade patterns,
which have led to a substantial increase of imports into the EU, and a loss of
EU market share in world markets.

7.           To date, the manufacture
of textiles sector has been the subject of 11 EGF applications[8], all of them based on
trade related globalisation.

Demonstration of the number of
redundancies and compliance with the criteria of Article 2(b)

8.           Spain submitted this
application under the intervention criteria of Article 2(b) of Regulation (EC)
No 1927/2006, which requires at least 500 redundancies over a nine-month period
in enterprises operating in the same NACE Revision 2 Division in one region or
two contiguous regions at NUTS II level in a Member State.

9.           The application cites 560
redundancies in 198 enterprises operating in the NACE Revision 2 Division 13 (Manufacture
of textiles) in the NUTS II region of Comunidad Valenciana (ES52) during the nine-month reference period from 1 November 2012 to 1 August 2013. Of these redundancies,
117 were calculated in accordance with the first indent of the second paragraph
of Article 2 of Regulation (EC) No 1927/2006; 284 redundancies were calculated
in accordance with the second indent and further 159 redundancies were
calculated in accordance with the third indent of the same paragraph. The
Commission has received the confirmation required under the third indent of the
second paragraph of Article 2(2) that this is the actual number of redundancies
effected.

Explanation of the unforeseen nature
of those redundancies

10.         The Spanish textile
industry has undergone extensive restructuring and modernisation in response to
the competition pressure that followed the expiry of the World Trade
Organisation Multifibre Arrangement and the Agreement on Textiles and Clothing
which succeeded it. The Spanish authorities argue that the expected smooth
transition reported in various papers[9]
had been disrupted by the unexpected strength of the Euro, leading to a far
more rapid decline in the EU market share than foreseen.

Identification of the dismissing
enterprises and workers targeted for assistance

11.         The application relates to 560
redundancies in the following 198 enterprises.

Enterprises and number of dismissals

A.C. CUERDAS SL || 1 || INNOVIA COPTALIA, S.A. || 1

ABASIC, S.L.U. || 1 || IRPA SA || 1

ACABADOS DE TEJIDOS INNOVADORES S.L.U. || 1 || IZPIEL SA || 1

ACAPERSA || 1 || J.P. CARDENAL 1953 S.L. || 1

ADELA ROY,S.L. || 1 || JARRES, S.L. || 3

ADOLFO DOMINGUEZ SA || 3 || JOAQUIN GARCIA ROMAN || 1

ALCOCERTEX, S.L. || 3 || JOAQUIN REINA, S.A. || 16

ALGINET TEXTIL SA || 3 || JOHNSON  CONTROLS  IBERICA,S.A. || 2

ALHAMBRA INTERNACIONAL S.A. || 6 || JOSE BARTUAL CASTELLETS S.L || 4

ALTERCO  S.A. || 2 || JOSE ROYO S.L. || 1

ALYSA S.L || 1 || JOSEP AVELINO DEVIS || 1

ANA MARI GOMEZ VAQUERO || 1 || JUAN FORNES FORNES SA || 1

ANTONIO BORONAT SUCH || 1 || JUAN JOSE BARBER MATAIX || 1

ANTONIO JORGE GUILLEM PICO S.L. || 1 || JUAN LUIS PEREZ VILAPLANA || 1

ANTONIO MIGUEL QLCARAZ TEXTIL SL || 1 || LARA TEXTIL HIPER S.L. || 1

APARISI &CIA || 5 || LECOUIR EXP IMP SL || 1

ARBORA & AUSONIA, S.L.U. || 3 || LIZZO DESIGN SL || 1

ARMANDO FERRE || 2 || LUIS HERNANDEZ LOPEZ || 2

ATEVAL || 1 || LYONTEX, S.L. || 2

ATHOS FABRICS, S.L. || 1 || MANTEROL, S.A. || 9

ATIKA GRAVATS I DISSENY TEXTIL, S.L. || 1 || MANUEL GARCIA GUTIERREZ || 1

ATRIUM RETAIL SERVICES S.L. || 1 || MANUEL REVERT Y CIA, S.A || 1

ATTRACTION GROUP 2002 S.L. || 1 || MAPA SPONTEX IBERICA S.A || 2

BELENGUER ROBA BETA S.L || 1 || MARIA DEL MAR CORDERO GARCIA || 1

BENICAS GRUP S.L. || 2 || MARIA ESTELA AÑO SENAR || 1

BETIS TEXTIL, S.A. || 1 || MARINA CASTRO GARCIA || 1

BIARPRINT, S.L. || 1 || MEPABAN SA || 1

BON ESTIL, S.L. || 1 || MIDUSO S.L. || 1

BORDADOS MILENIUM EXPORT S.L. || 2 || MIGUEL JUAN TORREGROSA TOLEDO || 1

BORDADOS SOLER SANTAMARIA SLL || 1 || MINIT SPAIN, S.A. || 1

BOSCH DE LA FLOR CONFECCIONISTAS S.L || 1 || MODELAIN TEXTIL, S.L. || 1

CALZADOS NAVARRO,S.L. || 1 || MONTE KINABALU SL || 2

CAMBRASS || 1 || MURO PAPEL S.A. || 1

CARPETFIL ALFOMBRAS S.L.U. || 2 || NAVARRO QUATTRO MODA, S.L. || 1

CASTILLA RIENDA S.L || 1 || ORCHESTRA S.L || 1

CLEYSOR, S.L. || 1 || OYSHIO ESPAÑA SA || 1

COLCHONES MIVIS, S.L. || 2 || OYSHIO ESPAÑA SA || 1

COLORPINT FASHION S.L. || 2 || OYSHO SAU || 1

COLORTEX 1967, S.L. || 68 || P. TOTEL, S.L. || 1

COLORTEX, S.A. || 16 || PABEL BOCAIRENT SL || 1

COMERCIAL INDUSTRIAL DE MANUFACTURADOS TEXTILES S.L. || 1 || PAU COLOMER S.L. || 10

COMERCIAL TIFANYS, S.L. || 1 || PEPE JEANS FOOTWEAR, S.L. || 1

COMERSAN S.A. || 1 || PRODUCTOS DAMEL , SL. || 1

CONFECCIONES ENRICH S.L. || 1 || PROTEC TEXTIL SL || 1

CONFECCIONES MACOLSA, S.L. || 1 || PULL & BEAR  ESPAÑA SA || 5

CONFECCIONES SULFY,S.L. || 1 || PUNTO FA SL || 3

CORSETERIA LEVANTINA, SL || 1 || RAFAEL CATALA, S.A. || 19

CORTEFIEL SA || 1 || RAMDOM TEX S.L. || 2

COSEFIL S.L. || 2 || RED NASSAU, S.L. || 1

CREACIONES FAMISAX, S.L. || 1 || REIG MARTI, S.A. || 42

CREVI MODA CONFECCIÓN S.L. || 6 || ROTATEX S.L. || 1

DEBORA AUSONIA || 2 || ROYO GARMENTS, S.L. || 10

DISCOMEL, S.L. || 1 || SANPERE LOGÍSTICA S.L. || 1

DISFRIMUR S.L || 1 || SIXTY SPAIN RETAIL, S.L.U. || 1

DISTRIBUCIONES DIRECTAS 2004 SL || 1 || SOCIEDAD TEXTIL LONIA SA || 3

DORIAN TEXTIL, S.L. || 2 || SOLARMANES, S.L. || 1

DUSEN, S.A. || 1 || SONNENGLANZ S.L. || 1

ELIS MANOMATIC,S.A. || 1 || STRADIVARIUS  ESPAÑA SA || 2

ELISA ANDRES CARBONELL, S.L. || 4 || T. L. HONDURAS SL || 1

ELISA MENUTS SL || 2 || T.M.V., S.L. || 2

ENCONADOS Y TORCIDOS S.A. || 1 || TAMODERVA S.L || 1

ESADE, S.L. || 1 || TAPICERIAS, S.A. || 3

ESCRIG, S.L. || 2 || TAPIZADOS AROCA, C.B. || 1

EURORED SL || 1 || TEIBOR S.L || 1

EXCLUSIVAS SIRVENT, S.L. || 1 || TEJIDOS Y BORDADOS S.L. || 1

EXPORT PABLO ́S || 1 || TELAKASA HOGAR, S.L. || 1

EZETI SL || 1 || TEX - COY S.L. || 1

FAUSTINO SALCEDO, S.L. || 1 || TEX ATHENEA SL || 5

FERNANDO JOSE PUYOL NADAL || 1 || TEXIL SAMA || 1

FETEXSA || 2 || TEXTIL DAIMIELEÑA S.A || 1

FIBRESVAL, S.L. || 2 || TEXTIL GRECA,S.L. || 1

FINANCIERA PRONOVIAS, S.A. || 2 || TEXTILES ANTILO, S.L. || 1

FRAG COMERCIO INTERNACIONAL, S.L. || 2 || TEXTILES ATHENEA, S.A. || 1

FRANCHISING CALZEDONIA ESPAÑA S.A. || 1 || TEXTILES EURO BLANKETS, S.L. || 4

FRANCISCO FERRER MARIN, S.L. || 1 || TEXTILES PASTOR S.L. || 1

FUNKY FISH SPAIN, S.L. || 1 || TEXTILES SAN JORGE SL || 1

GALIANA NOVA, S.L. || 6 || TEXTILIN, S.L. || 1

GAMES STORES IBERIA SL || 2 || THV, SL BLANCO FASHION, SL (SALERA) || 1

GENERAL DE INNOVACION TEXTIL || 1 || TOLDOS LEVANTE S.L || 2

GENEROS DE PUNTO GARCIA, S.L. || 1 || TUSSY XXI SL || 1

GIL MAS, S.A. || 10 || TUTTO PICCOLO S.A. || 3

GONZAGA EXPORT, S.L || 2 || UBESOL, S.L. || 3

GREGORI GALINDO FCO JOSE S.L.N.E. || 1 || UBESOL, S.L. || 1

GRUPO ANTOLIN AUTOTRIM S.A.U || 1 || UBIOTEX, S.L. || 1

GRUPO BONATEL S.L.U. || 1 || UNION COMPOSITES S.L. || 1

GRUPO TAVEX S.A. || 11 || VALENCIA MENKES S.A || 1

HENNES Y MAURITZ S.L. || 1 || VALMEXIN S.L || 1

HIJOS DE SILVIO COLOMINA SL || 5 || VANICO S.A. || 1

HILADOS BENAMER S.L. || 18 || VERDE VELENO SL || 3

HILATURAS EL RAVALET, SL || 11 || VICENTA SIFRE GALLART, SL || 1

HILATURAS FERRE S.A. || 1 || VIDAL Y SANZ S.A. || 5

HILATURAS MARSANS S.L. || 1 || VISOR FALL NERS, S.L. || 1

HOGARLLEGO, S.L. || 1 || VIVES Y MARI S.L. || 7

ID P&C PATRONAJE Y CREACION S.L. || 10 || VORTUMNA S.L. || 1

INDUFIBRAS || 2 || XIRIVELLA AVINYO TAPISSEROS, S.L. || 18

INDUSTRIAL DEL TORCIDO S.A. || 1 || YAHYA JEBBOURI || 1

INDUSTRIAL NEOTEC SL || 1 || ZARA ESPAÑA S.A. || 4

INDUTER S.L. || 2 || ZARA HOME ESPAÑA, S.A. || 1

INNOVACIONES TEXTILES PLA S.L. || 5 || ZIPPY COMERCIO Y DISTRIBUCION, SA || 1

Total enterprises: 198 || Total dismissals: 560 ||

12.         All the redundant workers
will be offered the possibility to participate in the measures. However, the
Spanish authorities, based on their previous experience in managing EGF cases,
estimate that about 300 workers will opt to participate in the EGF measures.

13.         The break-down of the
dismissed workers is as follows:

Category || Number || Percent

Men || 317 || 56,61

Women || 243 || 43,39

EU citizens || 550 || 98,21

Non EU citizens || 10 || 1,79

15-24 years old || 10 || 1,79

25-39 years old || 225 || 40,18

40-54 years old || 213 || 38,03

55-59 years old || 59 || 10,54

> 60 years old || 53 || 9,46

14.         In terms of occupational
categories, the break-down is as follows:

Category || Number || Percent

Managers || 1 || 0,18

Technicians || 60 || 10,71

Craft and related trade workers || 455 || 81,25

Plant and machine operators || 10 || 1,79

Elementary occupations || 34 || 6,07

15.         In accordance with Article
7 of Regulation (EC) No 1927/2006, Spain has confirmed that a policy of
equality between women and men as well as non-discrimination has been applied,
and will continue to apply, during the various stages of the implementation of
and, in particular, in access to the EGF.

Description of the territory
concerned and its authorities and stakeholders

16.         The territory concerned by
the redundancies is the NUTS II region of Comunidad Valenciana. Of all Spanish
enterprises 11,5 % are based in this region. The manufacturing sector
represents 26 % of total employment here, while the service sector
represents 60 %, construction 10 % and the primary sector 4 %.
The business model in Comunidad Valenciana is characterised by a high
proportion of small and medium-sized enterprises specialised mainly in the
manufacture of furniture, shoes, textiles, ceramics and toys. These industries
are concentrated in districts around a limited number of municipalities.

17.         The main stakeholders are
the Generalitat Valenciana (the autonomous government of Comunidad Valenciana)
and in particular the SERVEF (public labour offices of the autonomous
government); the employers' association Asociación de empresarios textiles
de la Comunidad Valenciana-ATEVAL[10];
and the trade unions UGT-PV and CCOO-PV.

Expected impact of the redundancies
as regards local, regional or national employment

18.         Employment in Comunidad
Valenciana has been severely affected by the crisis. The unemployment rate in
the region increased rapidly, rising from 9,61 % (Q1 2008) to 29,19 %
(Q1 2013). The employment situation in the affected region seems
particularly fragile, given the impact of the crisis on traditional sectors
such as toys,  ceramics, footwear and construction, as well as textiles, which
are very important for the region's economy.

Unemployment
rate in Comunidad Valenciana

Source:
Encuesta de Población Activa (EPA)[11]

19.         The Spanish authorities
argue that the redundancies in the textile sector in Comunidad Valenciana will
further aggravate the unemployment situation, since the region and in particular
the NUTS 3 region Alicante is highly dependent on this sector. Of all workers
in the manufacturing industry in Alicante, 8,24 % are textile workers.

20.         In March 2010[12] Spain submitted an application for a financial contribution from the EGF for workers made
redundant in the textile sector in Comunidad Valenciana. The current
application covers further redundancies in the same sector and territories.
Furthermore, following redundancies in Comunidad Valenciana in sectors other
than NACE Revision 2 Division 13 Manufacture of textiles, Spain submitted applications for financial contributions from the EGF in September 2009[13] (ceramics), March 2010[14] (natural stone), July[15] and December 2011[16] (construction and
footwear, respectively) and 2013[17]
(building materials).

Co-ordinated package of personalised
services to be funded and a breakdown of its estimated costs, including its
complementarity with actions funded by the Structural Funds

21.         All the following measures
combine to form a co-ordinated package of personalised services which aims at
re-integrating the redundant workers into employment:

– 
Welcome and information sessions: This is the first measure to be offered to all redundant workers
and includes: (1) general information sessions and individual information
sessions on skills and training requirements; on available counselling and
training programmes; and on allowances and incentives; (2) enrolment
procedure.

– 
Profiling, occupational guidance and
counselling: This involves the profiling of the
participant workers and the design of the customised reintegration pathway, as
well as counselling and follow-up of the personalised support throughout the
implementation period.

– 
Training: The
training measure will include a variety of training courses: (1) Training
in transversal skills. The training offer will include workshops on
job-search techniques, training in personal skills (such as emotional
intelligence, managing change, etc.), in information and communication
technologies (ICT), and in foreign languages. (2) Vocational
training. The vocational training will focus on sectors where opportunities
exist or will arise, such as for nursing assistants in geriatrics, or jobs
which require vocational licensing such as food handling, passenger transport
CPC[18],
private security guard, pesticide handler, etc. (3) On-the-job
training. This vocational training activity will be designed to cater for
the identified needs of local enterprises. The distinguishing feature of this
training activity is that the class room training will be complemented by
on-the-job training. (4) Training towards entrepreneurship.
Specific training activities will be provided for workers who wish to establish
an enterprise. It is estimated that 200 workers will participate in these
training activities.

– 
Support towards entrepreneurship. This measure seeks to assist redundant workers who envisage
creating their own businesses. The support is organised in two phases: (1) Counselling
on projects and initiatives. This aims to develop, produce and guide viable
business or self-employment projects. The tutors will also try to find openings
for self-employment within and outside the workers' place of residence and
propose them to the participants in the measure. (2) Accompaniment towards
business creation. This will consist of personalized tutoring during the whole
process of starting the business (development of a business idea, feasibility
analysis, and assistance for preparing a business plan) and support regarding tax,
legal and administrative requirements. It is estimated that 70 workers will
participate in the first phase and 40 workers in the second phase.

– 
Intensive job-search assistance. This will involve an intensive employment search, including search
for local and regional employment opportunities and job-matching. A website
will be created to provide the workers with online tools which can help them
with their individual job search. Tutors will accompany the workers through the
selection processes. Individual tutoring sessions will follow to help the
workers reintegrated into employment to settle into their new jobs.

– 
Incentives. There
will be four types of incentives: (1) Job-search incentive. The
workers will be granted a lump sum of EUR 300 for carrying out their own
personalised package of measures completely. (2) Contribution to
commuting expenses and contribution for carers of dependent persons. Due
to the lack of suitable public transport between the localities in the region,
the participants will have to use their own vehicles to commute from their
places of residence to the location where the measures will take place. The commuters
will receive EUR 10 per day of participation in the EGF measures as a
contribution to their commuting expenses. Workers with dependent persons
(children, elderly or disabled persons) will receive EUR 15 per day of
participation as a contribution towards the expenses incurred for carers of
dependent persons. This aims to cover the additional costs faced by the workers
with caring responsibilities in order to avail themselves of training or other
measures. It is estimated that 90 workers will receive these two incentives. (3) Outplacement
incentives. A wage subsidy of EUR 350 per month for a maximum of two months
will be paid to workers who return to employment as employees or as
self-employed workers. Part-time employees will receive the wage subsidy
proportionately prorated. The subsidy is designed to encourage quick
reintegration into the labour market. It is estimated that 130 workers will
receive this incentive. (4) Support for setting up a business. The
workers who start their own businesses will receive up to EUR 3 000
to cover setting-up costs. It is estimated that 20 workers will receive this
incentive.

22.         The expenditure for
implementing the EGF, which is included in the application in accordance with
Article 3 of Regulation (EC) No 1927/2006, covers management and
control activities as well as information and publicity.

23.         The personalised services
presented by the Spanish authorities are active labour market measures within
the eligible actions defined by Article 3 of Regulation (EC) No 1927/2006. The Spanish
authorities estimate the total costs at EUR 1 680 000, of which
the expenditure for personalised services at EUR 1 600 000 and
the expenditure for implementing the EGF at EUR 80 000 (4,76 %
of the total amount). The total contribution requested from the EGF is EUR 840 000
(50 % of the total costs).

Actions || Estimated number of workers targeted || Estimated cost per worker targeted (EUR) (*) || Total costs (EGF and national cofinancing) (EUR) (**)

Personalised services (first paragraph of Article 3 of Regulation (EC) No 1927/2006)

Welcome and information sessions (Acogida) || 300 || 200 || 60 000

Profiling, occupational guidance and counselling (Orientación) || 300 || 750 || 225 000

Training (Formación) || 200 || 3 370 || 674 000

Support towards entrepreneurship (Servicios de emprendedurismo) || 70 || 1 857 || 130 000

Intensive job-search assistance (Servicios de inserción) || 300 || 780 || 234 000

Incentives (Incentivos) || 300 || 923 || 277 000

Sub total personalised services || || 1 600 000

Expenditure for implementing EGF (third paragraph of Article 3 of Regulation (EC) No 1927/2006)

Management || || 70 000

Information and publicity || || 5 000

Control activities || || 5 000

Sub total expenditure for implementing EGF || || 80 000

Total estimated costs || || 1 680 000

EGF contribution (50 % of total costs) || || 840 000

(*) To avoid decimals, the
estimated costs per worker have been rounded. However the rounding has no
impact on the total cost of each measure which remains as in the application
submitted by Spain.

(**) Totals
do not tally due to roundings.

24.         Spain confirms that the
measures described above are complementary with actions funded by the
Structural Funds and that all double financing will be prevented.

25.         The main objectives of the
2007-13 ESF operational programmes for the Comunidad Valenciana are promoting
workers' lifelong learning and decreasing the risk of early school leaving,
focusing in particular on the most vulnerable people or people at risk of
social exclusion, mainly young workers, or those over 45 years old, women and
disabled people, while the EGF measures will be focused on former textiles workers
without applying any restriction related to age, education, etc.

26.         Continuous follow-up of ESF
and EGF actions pursuing similar purposes and the workers concerned will prevent
any overlap between ESF and EGF measures.

Date(s) on which the personalised
services to the affected workers were started or are planned to start

27.         Spain started the
personalised services to the affected workers included in the co-ordinated
package proposed for co-financing to the EGF on 1 January 2014. This date
therefore represents the beginning of the period of eligibility for any
assistance that might be awarded from the EGF.

Procedures for consulting the social
partners

28.         The proposed application
was discussed at several meetings with the social partners referred to under
point 18 above. During the meetings held on 19 April, 8 and 29 July, 26 August
and 16 September 2013 the social partners were consulted on various issues such
as the contents of the integrated package of measures; the allocation of roles
and distribution of tasks; and the scheduling of actions. In the meeting of 8
July the social partners agreed on contributing 10 % of the national
co-funding of total costs of the measures described above.

29.         The Spanish authorities
confirmed that the requirements laid down in national and EU legislation
concerning collective redundancies have been complied with.

Information on actions that are
mandatory by virtue of national law or pursuant to collective agreements

30.         As regards the criteria
contained in Article 6 of Regulation (EC) No 1927/2006, the Spanish authorities
in their application:

· confirmed that the financial contribution from the EGF does not
replace measures which are the responsibility of companies by virtue of
national law or collective agreements;

· demonstrated that the actions provide support for individual workers
and are not to be used for restructuring companies or sectors;

· confirmed that the eligible actions referred to above do not receive
assistance from other EU financial instruments.

Management and control systems

31.         Spain has notified the
Commission that the financial contribution will be managed and controlled by
the same bodies that manage and control the ESF. The Directorate-General for
European Projects and Funds of the Regional Ministry of Finance and Government
of the Comunidad Valenciana[19]
will be the intermediate body for the managing authority.

Financing

32.         On the basis of the
application from Spain, the proposed contribution from the EGF to the
coordinated package of personalised services (including expenditure to
implement EGF) is EUR 840 000, representing 50 % of the total
cost. The Commission's proposed allocation under the Fund is based on the
information made available by Spain.

33.         Considering the maximum
possible amount of a financial contribution from the EGF under Article 10(1) of
Regulation (EC) No 1927/2006, as well as the scope for reallocating
appropriations, the Commission proposes to mobilise the EGF for the total
amount referred to above, to be allocated under heading 1a of the financial
framework.

34.         The proposed amount of financial
contribution will leave more than 25 % of the maximum annual amount
earmarked for the EGF available for allocations during the last four months of
the year, as required by Article 12(6) of Regulation (EC) No 1927/2006.

35.         By presenting this proposal
to mobilise the EGF, the Commission initiates the simplified trialogue
procedure, as required by Point 28 of the Interinstitutional Agreement of 17 May
2006, with a view to securing the agreement of the two arms of the budgetary
authority on the need to use the EGF and the amount required. The Commission
invites the first of the two arms of the budgetary authority that reaches
agreement on the draft mobilisation proposal, at appropriate political level,
to inform the other arm and the Commission of its intentions. In case of
disagreement by either of the two arms of the budgetary authority, a formal
trialogue meeting will be convened.

36.         The Commission presents separately
a transfer request in order to enter in the 2014 budget specific commitment
appropriations, as required in Point 28 of the Interinstitutional Agreement of
17 May 2006.

Source of payment appropriations

37.         Appropriations allocated to
the EGF budget line in the 2014 budget will be used to cover the amount of
EUR 840 000 needed for the present application.

Proposal for a

DECISION OF THE EUROPEAN PARLIAMENT
AND OF THE COUNCIL

on the mobilisation of the European
Globalisation Adjustment Fund in accordance with point 28 of the
Interinstitutional Agreement of 17 May 2006 between the European Parliament,
the Council and the Commission on budgetary discipline and sound financial
management (application EGF/2013/008 ES/Comunidad Valenciana textiles from
Spain)

THE EUROPEAN PARLIAMENT AND THE
COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty on the
Functioning of the European Union,

Having regard to the Interinstitutional
Agreement of 17 May 2006 between the European Parliament, the Council and the
Commission on budgetary discipline and sound financial management[20], and in particular
point 28 thereof,

Having regard to Regulation (EC) No
1927/2006 of the European Parliament and of the Council of 20 December 2006
establishing the European Globalisation Adjustment Fund[21], and in particular
Article 12(3) thereof,

Having regard to the proposal from the European
Commission[22],

Whereas:

(1)       The European Globalisation
Adjustment Fund (EGF) was established to provide additional support for workers
made redundant as a result of major structural changes in world trade patterns due
to globalisation and to assist them with their reintegration into the labour
market.

(2)       The Interinstitutional
Agreement of 17 May 2006 allows the mobilisation of the EGF within the annual
ceiling of EUR 500 million.

(3)       Spain submitted an
application to mobilise the EGF, in respect of redundancies in 198 enterprises
operating in the NACE Revision 2 Division 13 (Manufacture of textiles) in the
NUTS II region of Comunidad Valenciana (ES52), on 8 October 2013 and supplemented it by additional information up to 5 November 2013. This application complies with the requirements for
determining the financial contributions as laid down in Article 10 of
Regulation (EC) No 1927/2006. The Commission, therefore,
proposes to mobilise an amount of EUR 840 000.

(4)       The EGF should, therefore,
be mobilised in order to provide a financial contribution for the application
submitted by Spain,

HAVE ADOPTED THIS DECISION:

Article 1

For the general budget of the European
Union for the financial year 2014, the European Globalisation Adjustment Fund
(EGF) shall be mobilised to provide the sum of EUR 840 000 in commitment
and payment appropriations.

Article 2

This Decision shall be published in the Official
Journal of the European Union.

Done at Brussels,

For the European Parliament                        For
the Council

The President                                                 The
President

[1]               OJ C 139, 14.6.2006, p. 1.

[2]               OJ L 406, 30.12.2006, p. 1.

[3]               Regulation (EC) No 1893/2006 of the European
Parliament and of the Council of 20 December 2006 establishing the statistical
classification of economic activities NACE Revision 2 and amending Council
Regulation (EEC) No 3037/90 as well as certain EC regulations on specific
statistical domains (OJ L 393, 30.12.2006, p. 1).

[4]               In accordance with the third paragraph of Article 3
of Regulation (EC) No 1927/2006.

[5]               The Agreement on Textiles and Clothing (ATC) and all
restrictions thereunder terminated on January 1, 2005. The expiry of the
ten-year transition period of ATC implementation means that trade in textile
and clothing products is no longer subject to quotas under a special regime
outside normal WTO/GATT rules but is now governed by the general rules and
disciplines embodied in the multilateral trading system.

[6]               SITC 26 (Textile fibres -other than wool tops and
other combed wool- and their wastes -not manufactured into yarn or fabric-) and
SITC 65 (Textile yarn, fabrics, made-up articles, n.e.s., and related
products).

[7]               WTO International Trade Statistics 2012.

[8]               EGF/2007/005 IT Sardegna, COM(2008) 609;
EGF/2007/006 IT Piemonte, COM(2008) 609; EGF/2007/007 IT Lombardia,
COM(2008) 609; EGF/2008/001 IT Toscana, COM(2008) 609; EGF/2009/003 LT
Alytaus Textile, COM(2008) 547; EGF/2009/005 ES Cataluña,
COM(2009) 371; EGF/2009/001 PT Norte-Centro, COM(2009) 371;
EGF/2009/004 BE Oost en West Vlaanderen Textiel, COM(2009) 515;
EGF/2009/005 BE Limburg Textiel, COM(2009) 515, EGF/2010/009 ES Comunidad
Valenciana, COM(2010) 613 and EGF/2013/008 Comunidad Valenciana (the
current case).

[9]               COM(2003) 649 final: The future of the textiles and
clothing sector in the enlarged European Union WTO Secretariat Discussion Paper
N° 5: The Global Textile and Clothing Industry post the Agreementon Textiles
and Clothing (2004)

[10]             Association of Textile Entrepreneurs in Comunidad
Valenciana.

[11]             EPA (Labour Force Survey)
http://www.datosmacro.com/paro-epa/ccaa/valencia?sector=Tasa-de-paro&sc=EPA-.

[12]             EGF/2010/009 ES Comunidad Valenciana, COM(2010) 613.

[13]             EGF/2009/014 ES Comunidad Valenciana ceramics. COM(2010) 216.

[14]             EGF/2010/005 ES Comunidad Valenciana cutting, shaping
and finishing of stone. COM (2010) 617.

[15]             EGF/2011/006 ES Comunidad Valenciana construction.
COM(2012) 053.

[16]             EGF/2011/020 ES Comunidad Valenciana footwear.
COM(2012) 204.

[17]             EGF/2013/004 ES Comunidad Valenciana building
materials. COM(2013) 635

[18]             Certificate of Professional Competence (CPC) is the
certificate attesting that certain professional drivers passed the courses and
tests required by Directive 2003/59/EC.

[19]             Dirección General de Proyectos y Fondos Europeos de
la Consellería de Hacienda y Administraciones Públicas de la Generalitat
Valenciana

[20]             OJ C 139, 14.6.2006, p. 1.

[21]             OJ L 406, 30.12.2006, p. 1.

[22]             OJ C [...], [...], p. [...].