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/2011/001 AT/Niederösterreich-Oberösterreich from Austria)
Date: 2011-09-22
Institutions: European Commission
Subjects: Austria, European Globalisation Adjustment Fund, commitment of expenditure, dismissal, economic recession, globalisation, land transport, reintegration into working life, transport staff

EUROPEAN COMMISSION 

Brussels, 22.9.2011 
COM(2011) 579 final 

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/2011/001 AT/Niederösterreich-Oberösterreich 
from Austria) 

{SEC(2011) 1080 final} 

 
 
  
 
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 
management1  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 Fund2. 

On  3  January  2011,  Austria  submitted  application  EGF/2011/001  AT/Niederösterreich-
Oberösterreich  for  a  financial  contribution  from  the  EGF,  following  redundancies  in  706 
enterprises operating in the NACE Revision 2 Division 49 ('Land transport and transport via 
pipelines')3 in the NUTS II regions of Niederösterreich (AT12) and Oberösterreich (AT31) in 
Austria. 

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. 
Member State 
Article 2 
Enterprises concerned 

NUTS II regions 

NACE Revision 2 Division 

Reference period 
Starting date for the personalised services 
Application date 
Redundancies during the reference period 
Redundant workers targeted for support 
Expenditure for personalised services (EUR) 
Expenditure for implementing EGF4 (EUR) 
Expenditure for implementing EGF (%) 
Total budget (EUR) 
EGF contribution (65 %) (EUR) 

EGF/2011/001 
Austria 
(b) 
706 
Niederösterreich (AT12) 
Oberösterreich (AT31)  
49 ('Land transport and transport 
via pipelines') 
1.2.2010 – 31.10.2010 
1.2.2011 
3.1.2011 
2 338 
502 
5 390 800 
215 000 
3,84 
5 605 800 
3 643 770 

1 
2 
3 

4 

OJ C 139, 14.6.2006, p. 1. 
OJ L 406, 30.12.2006, p. 1. 
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). 
In accordance with the third paragraph of Article 3 of Regulation (EC) No 1927/2006. 

EN 

1 

   EN 

 
 
                                                 
1. 

2. 

The  application  was  presented  to  the  Commission  on  3  January  2011  and 
supplemented by additional information up to 9 June 2011. 

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. 

4. 

5. 

In order to establish the link between the redundancies and the global financial and 
economic crisis, Austria argues that the crisis with its impact on European consumer 
behaviour  and  the  reduced  production  of  goods  had  a  particularly  heavy  negative 
impact  on  the  transport  sector  which  has  unfolded  in  a  delayed  manner,  in 
comparison  to  core  industries  of  the  secondary  sector.  The  application  quotes  a 
survey  by  the  International  Road  Transport  Union5  (IRU)  in  74  IRU  member 
countries,  according  to  which,  amid  to  the  crisis,  national  transport  of  goods  had 
fallen  in  the  first  six  months  of  2009  by  an  average  10-20 %  compared  to  the 
previous  year,  and  the  international  transport  business  by  20-30 %.  An  increase  of 
bankruptcies of at least 20 % was also mentioned in the study. 

to 

the  Freight  Association  of 

The  freight  business  in  Austria  suffered  from  a  decrease  of  30-50 %  in  July  2009, 
according 
the  Austrian  Economic  Chamber 
(Fachverband  Güterbeförderungsgewerbe  der  Wirtschaftskammer  Österreich).  For 
lorries  with  an  authorized  total  weight  above  3,5 tons,  the  traffic  decreased  in  the 
first half of 2009 by 17 % compared to the same period of the previous year. These 
downward trends continued in 2010 with the result that many Austrian road transport 
businesses had to lay off workers. 

Particularly affected by these developments are small and very small transport firms 
which often work as subcontractors for large forwarding agents. These are not in a 
position to counter severe crises through management instruments that are available 
to  larger  companies,  such  as  short-time  working  schemes  or  other  measures  to 
enhance cost efficiency. 

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

6. 

7. 

5 
6 

Austria  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. 

The application cites 2 338 redundancies in 706 enterprises operating in the NACE 
Revision 2 Division 49 ('Land transport and transport via pipelines')6 in the NUTS II 

www.iru.org 
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). 

EN 

2 

   EN 

 
                                                 
regions  of  Niederösterreich  (AT12)  and  Oberösterreich  (AT31)  during  the  nine-
month  reference  period  from  1 February 2010  to  31 October 2010.  All  of  these 
redundancies  were  calculated  in  accordance  with  the  second  indent  of  the  second 
paragraph of Article 2 of Regulation (EC) No 1927/2006. 

Explanation of the unforeseen nature of those redundancies 

8. 

The  Austrian  authorities  argue  that  the  global  crisis  with  its  impact  on  all  major 
industrial  sectors,  which  reflected  directly  on  the  transport  sector,  could  not  be 
foreseen. The economic recovery did not come in as speedily as hoped for, and the 
heavy delayed impact on the transport sector with the substantial number of lay-offs 
came as a surprise. 

Identification of the dismissing enterprises and workers targeted for assistance 

9. 

10. 

11. 

The application relates to 2 338 redundancies in 706 enterprises during a nine-month 
reference period out of which 502 workers (21,5 %) are targeted for assistance.  

Targeted are those workers who could not find new work quickly because of lacking 
qualifications.  According  to  the  Austrian  authorities,  the  remaining  dismissed 
workers managed to re-integrate the labour market again. For the targeted workers a 
'foundation-like  measure'  ('Stiftungsähnliche  Maßnahme'7)  was  set  up,  a  structure 
similar to the Austrian labour foundations, which aims to improve the position of job 
seekers, and in particular those with lower chances on the labour market, such as the 
long-term unemployed or the lower-skilled. 

list 

full 

The 
application  EGF/2011/001 
covered 
AT/Niederösterreich-Oberösterreich  from  Austria  is  mentioned  in  the  Commission 
Staff Working Paper accompanying this Proposal8. 

enterprises 

by 

of 

12. 

The break-down of the targeted workers is as follows: 

Category 
Men 
Women 
EU citizens 
Non EU citizens 
15-24 years old 
25-54 years old 
55-64 years old 
> 64 years old 

Number
431
71
396
106
77
387
38
0

Percent 
85,9 
14,1 
78,9 
21,1 
15,3 
77,1 
7,6 
0,0 

13. 

There  are  51  workers  with  longstanding  health-related  issues  or  disabilities  among 
the targeted workers. 

7 

8 

'Stiftungsähnliche  Maßnahmen'  are  based  on  the  Austrian  Arbeitsmarktförderungsgesetz  (AMFG; 
Labour Market Promotion Act). 
SEC(2011)1080. 

EN 

3 

   EN 

 
                                                 
14. 

15. 

In terms of occupational categories, all the targeted workers are lorry drivers. 

In  accordance  with  Article  7  of  Regulation  (EC)  No  1927/2006,  Austria  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. 

17. 

The  territories  concerned  by  the  redundancies  are  the  Land  of  Niederösterreich 
(AT12)  and  the  Land  of  Oberösterreich  (AT31),  two  of  Austria's  nine  federal 
provinces.  Both  provinces  belong  to  Austria's  industrial  regions,  together  with 
Steiermark  and  Vorarlberg.  Niederösterreich  is  Austria's  largest  federal  province 
surrounding Vienna, the Austrian capital. It shares a border with the Czech Republic 
and  Slovakia,  and  its  provincial  capital  is  Sankt  Pölten.  Oberösterreich,  Austria's 
third largest province in terms of population, shares a border with Germany and the 
Czech Republic, and its provincial capital is Linz. 

The  main  stakeholders  are  the  provincial  governments  of  Niederösterreich  and 
Oberösterreich, the regional public employment services (regionale Geschäftsstellen 
des  Arbeitsmarktservice/AMS)  of  both  provinces,  and  for  the  social  partners  the 
Austrian  Chamber  of  Labour  (Arbeiterkammer  Österreich;  worker  side)  and  the 
Austrian Economic Chamber (Wirtschaftskammer Österreich; employer side). 

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

18. 

19. 

20. 

Austria argues that the dismissal of 2 338 lorry drivers over a period of nine months 
is  an  alarming  signal  for  the  labour  markets  of  the  two  concerned  provinces  as  the 
labour  market  does  not  offer  sufficient  employment  options  for  the  dismissed  lorry 
drivers.  A  transfer  of  this  specific  group  of  people  to  other  sectors  can  only  be 
envisaged by recurring to substantial re-training measures. 

The 2009 unemployment rate in the two concerned regions remained below  or  just 
above  the  national  average  (Oberösterreich  4,9 %  and  Niederösterreich  7,3 % 
compared to 7,2 % nation-wide). However, both provinces registered in 2009 a sharp 
increase  of  unemployment  compared 
in 
Niederösterreich  and  +39,7 %  in  Oberösterreich,  in  comparison  to  a  lower  increase 
of  +22,6 %  for  Austria  as  a  whole  (average  figures  for  the  year,  according  to 
Austrian Economic Chamber, Statistik Austria and AMS Oberösterreich). 

the  previous  year:  +24,5 % 

to 

More  than  half  (54,5 %)  of  the  2 338  redundancies  which  are  the  subject  of  this 
application  occurred  in  Niederösterreich  (1 274  workers  in  384  companies)  and 
45,5 %  of  the  redundancies  (1 064  workers  in  322  companies)  occurred  in 
Oberösterreich.  Niederösterreich  is  also  affected  by  another  mass  redundancy  case, 
for  which  an  EGF  application  was  submitted  to  the  Commission:  EGF/2010/007 
AT/Steiermark and Niederösterreich (704 redundancies in the metal sector in 2009). 

EN 

4 

   EN 

 
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. 

22. 

The  following  types  of  measures  are  proposed,  all  of  which  combine  to  form  a 
coordinated package of personalised services aimed at re-integrating the 502 targeted 
workers  into  the  labour  market.  They  will  be  provided  to  the  workers  through  a 
'foundation-like'  structure  which  was  established  in  January  2011  after  approval  by 
the  Bundesministerium  für  Arbeit,  Soziales  und  Konsumentenschutz  (federal 
ministry).  Responsible  for  the  delivery  of  the  personalised  measures  are  FAB9  in 
Oberösterreich and AGAN10 in Niederösterreich, organisations which are specialised 
the  sustainable 
in  offering  support 
qualification of workers. 

towards  professional  re-integration  and 

The  measures  for  the  502  targeted  workers  are  agreed  with  and  controlled  by  the 
public  employment  services  ('AMS,  Arbeitsmarktservice')  of  Niederösterreich  and 
Oberösterreich  which  assess  the  meaningfulness  of  each  measure  for  the  labour 
market  and  which  monitor 
rules 
('Projektordnung')  and  applicable  sets  of  laws.  The  development  of  the  workers  is 
monitored to ensure that the plans agreed in the initial phases of the programme are 
pursued.  In  line  with  §18  of  Arbeitslosenversicherungsgesetz  (ALVG)  and 
depending  on  each  person's  former  work  time  pattern,  the  workers  must  involve 
themselves full-time (learning times included). Appropriate monitoring mechanisms 
(time lists) are put in place by the implementing bodies. 

the  compliance  with 

the  established 

–  Information and admission to the 'foundation-like' structure: General information 
through specific channels and in cooperation with the two AMS and the delivering 
bodies  FAB  and  AGAN  (trainer/worker  ratio  1:10  or  individual  sessions  where 
needed) and possibility for the workers to apply for admission to the 'foundation-
like' structure. 

–  Occupational  orientation:  This  includes  the  development  of  career  perspectives 
and  an  individual  occupational  pathway  plan  signed  by  the  parties  which  forms 
the basis for the workers' subsequent activities within the foundation-like structure 
(trainer/worker  ratio  1:12  or  individual  sessions  where  needed).  The  duration  is 
limited  to  six  weeks  with  the  possibility  of  extending  it  to  a  maximum  of  12 
weeks  in  particular  cases.  Basic  information  on  entrepreneurship  and  one-week 
internships in enterprises (as tasters) are also included in the programme. 

–  Individual  training:  This  can  cover  the  upskilling  of  the  workers'  existing 
knowledge  as  well  as  vocational  training  to  prepare  a  change  of  career.  The 
meaningfulness  of  the  training  for  the  labour  market  and  the  profiles  of  vacant 
posts  are  taken into  consideration. Those who wish to continue to work as lorry 
drivers can improve their skills in line with Directive 2003/59/EC, the objective of 
which  is  the  establishment  of  a  Community-wide  standard  for  initial  driver 
qualification  and  periodic  training  in  areas  such  as  health,  vehicle  and 
environmental safety, rational driving, logistics. 

9 
10 

www.fab.at 
www.agannoe.at 

EN 

5 

   EN 

 
                                                 
A part of the vocational training will not need to be co-financed by the EGF because 
it is delivered free of charge within the Austrian educational system. Those interested 
in  creating  an  own  business  have  the  possibility  to  join  the  Enterprise  Foundation 
Programme  (Unternehmensgründungsprogramm  für  Arbeitslose,  UGP)  of  the 
Arbeitsmarktservice which is financed outside the EGF. Before entering this specific 
programme of the AMS, the worker's participation in the EGF project is ended. 

–  Corporate Internships (Betriebliche Praktika): This covers four different types of 
internships,  with  different  durations,  rights  and  obligations  for  enterprises  and 
workers which need to be agreed by the AMS before being stipulated in contracts. 

–  Active job search: This is provided by the implementing bodies FAB and AGAN 
in  cooperation  with  the  respective  AMS.  The  active  job  search  can  either  start 
directly  after  the  orientation  phase  or  on  completion  of  the  individual  training 
measures. The normal duration of this measure is limited to 14 weeks, renewable 
to 28 weeks in particular cases (e.g. for participants aged over 50). Reasonable job 
offers  from  the  AMS  must  be  accepted  by  the  participants  during  the  active  job 
search phase. 

–  Training allowance: This allowance is paid to workers who engage to participate 
in  training  which  exceeds  three  months.  It  is  an  incentive  for  them  to  engage  in 
longer training measures and permits them to cover costs such as travel expenses 
or the cost of learning materials. 

–  Subsistence  allowance  while  on  training  and  on  job  search  measures11:  This 
allowance  will  be  paid  only  for  the  duration  of  the  workers'  participation  in  the 
training and active re-integration measures within the 'foundation-like' structure. It 
permits a serious full-time involvement of each dismissed worker in the measures. 
The  costs  per  worker/month  amount  to  EUR 1 270.  Unemployment  benefits  are 
interrupted during the period these subsistence allowances are granted. 

The expenditure for implementing the EGF, which is included in the application in 
accordance  with  Article  3  of  Regulation  (EC)  No  1927/2006,  covers  preparatory, 
information and publicity as well as control activities and the management costs of 
the two implementing bodies (FAB and AGAN). The management costs have been 
calculated  as  a  flat-rate  and  cover  the  whole  24-month  implementation  period 
(EUR 5 625 per month to cover the costs of both entities). All partners involved in 
the measures are committed to communicating the EGF support. 

The  personalised  services  presented  by  the  Austrian  authorities  are  active  labour 
market measures within the eligible actions defined by Article 3 of Regulation (EC) 
No 1927/2006. The Austrian authorities estimate the total costs of these services at 
EUR 5 390 800  and  the  expenditure  for  implementing  the  EGF  at  EUR 215 000 
(3,8 %  of  the  total  amount).  The  total  contribution  requested  from  the  EGF  is 
EUR 3 643 770 (65 % of the total costs). 

23. 

24. 

11 

Based on §18 of Arbeitslosenversicherungsgesetz (ALVG). 

EN 

6 

   EN 

 
                                                 
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) 

Information and admission to the 'foundation-
like' structure 

Occupational orientation 

Active job search assistance ('Aktive 
Arbeitssuche') 

Individual training ('Individuelle 
Qualifizierungen') 

Corporate Internships ('Betriebliche Praktika') 

Training allowance if more than 3 months in 
training ('Ausbildungsbedingte 
Zuschussleistung bei mehr als 3 Monaten 
Ausbildung')  

Subsistence allowance while on training and 
on job search measures (4 months) 

Subsistence allowance while on training and 
on job search measures (8 months) 

502

450

300

300

50

450

400 

200 800

1 200 

540 000

700 

210 000

1 750 

525 000

600 

167 

30 000

75 000
(rounded)

150

5 080 

762 000

300

10 160 

3 048 000

Sub total personalised services 

5 390 800

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

Preparatory activities 

Management 

Information and publicity 

Control activities 

Sub total expenditure for implementing EGF 

Total estimated costs 

EGF contribution (65 % of total costs) 

15 000

135 000

20 000

45 000

215 000

5 605 800

3 643 770

EN 

7 

   EN 

 
 
 
 
 
 
 
 
 
 
25. 

Austria  confirmed  that  the  measures  described  above  are  complementary  with 
actions  funded  by  the  Structural  Funds.  The  Austrian  ESF  Operational  Programme 
under  objective  2  focuses  on  the  long-term  unemployed,  whereas  the  EGF  aims  to 
help  workers  immediately  after  their  lay-offs.  Hence,  there  is  no  overlapping 
between  the  two  funds.  Furthermore,  Austria  has  put  in  place  certification  of  costs 
procedures to exclude any risk of double financing. 

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

26. 

Austria started the personalised services to the affected workers included in the co-
ordinated  package  proposed  for  co-financing  to  the  EGF  on  1  February  2011.  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 

27. 

28. 

The  social  partners  were  informed  about  the  planned  EGF  application  through  the 
regional public employment services (AMS) from June 2010 onwards. The Austrian 
Chamber of Labour (Arbeiterkammer Österreich, representing the workers) and the 
Austrian  Economic  Chamber  (Wirtschaftskammer  Österreich,  representing  the 
employers) were kept abreast of the latest developments in January 2011. 

The Austrian authorities confirmed that the requirements laid down in national and 
EU  legislation  concerning  collective  redundancies  have  been  complied  with.  Given 
the small size of the concerned transport companies, only few of them were obliged 
to 
the  Austrian 
redundancies 
to 
(§45a  of  Arbeitsmarktförderungs-
'Frühwarnsystem'/early  warning 
gesetz/AMFG). 

according 

announce 

planned 

system 

the 

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

29. 

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

•  demonstrated  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  

30. 

Austria has notified the Commission that the national co-financing will be provided 
by  the  public  employment  services  (AMS)  of  Nieder-  and  Oberösterreich  and  the 
Bundesministerium für Arbeit, Soziales und Konsumentenschutz (federal ministry). 

EN 

8 

   EN 

 
Financing 

31. 

32. 

33. 

34. 

On the basis of the application from Austria, the proposed contribution from the EGF 
to  the  coordinated  package  of  personalised  services  (including  expenditure  to 
implement  EGF)  is  EUR 3 643 770,  representing  65 %  of  the  total  cost.  The 
Commission's proposed allocation under the Fund is based on the information made 
available by Austria. 

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. 

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. 

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. 

35. 

The Commission presents separately a transfer request in order to enter in the 2011 
budget  specific  commitment  appropriations,  as  required  in  Point  28  of  the 
Interinstitutional Agreement of 17 May 2006. 

Source of payment appropriations  

36. 

Amending budget 3/2011 increased EGF budget line 04.0501 by EUR 50 000 000 in 
payment appropriations. Appropriations from this budget line will be used to cover 
the  amount  of  EUR 3 643 770  needed  for  the  present  application.  An  amount  of 
EUR 9 009 960 remains available on the EGF Budget line 04.0501 after adoption by 
the  two  arms  of  the  Budgetary  Authority  of  the  cases  submitted  to  the  Budgetary 
Authority to date. 

EN 

9 

   EN 

 
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/2011/001 AT/Niederösterreich-Oberösterreich 
from Austria) 

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 
management12, 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  Fund13, 
and in particular Article 12(3) thereof, 

Having regard to the proposal from the European Commission14, 

Whereas: 

(1) 

(2) 

(3) 

(4) 

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. 

The scope of the EGF was broadened for applications submitted from 1 May 2009 to 
include support for workers made  redundant  as a direct result of the global financial 
and economic crisis. 

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

Austria  submitted  an  application  to  mobilise  the  EGF,  in  respect  of  redundancies  in 
706  enterprises  operating  in  the  NACE  Revision  2  Division  49  ('Land  transport  and 
transport  via  pipelines')  in  the  NUTS  II  regions  of  Niederösterreich  (AT12)  and 

12 
13 
14 

OJ C 139, 14.6.2006, p. 1. 
OJ L 406, 30.12.2006, p. 1. 
OJ C […], […], p. […]. 

EN 

10 

   EN 

 
 
                                                 
Oberösterreich  (AT31),  on  3 January 2011  and  supplemented  it  by  additional 
information  up  to  9  June  2011.  This  application  complies  with  the  requirements  for 
determining 
in  Article  10  of 
Regulation (EC) No 1927/2006.  The  Commission,  therefore,  proposes  to  mobilise  an 
amount of EUR 3 643 770. 

financial  contributions  as 

laid  down 

the 

(5) 

The EGF should, therefore, be mobilised in order to provide a financial contribution 
for the application submitted by Austria. 

HAVE ADOPTED THIS DECISION: 

Article 1 

For  the  general  budget  of  the  European  Union  for  the  financial  year  2011,  the  European 
Globalisation  Adjustment  Fund  (EGF)  shall  be  mobilised  to  provide  the  sum  of 
EUR 3 643 770 in commitment and payment appropriations. 

Article 2 

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

Done at [Brussels/Strasbourg], 

For the European Parliament 
The President 

For the Council 
The President 

EN 

11 

   EN