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/2011/021 NL/Zalco from the Netherlands)
Date: 2012-08-09
Institutions: European Commission
Subjects: European Globalisation Adjustment Fund, Netherlands, Zeeland, collective dismissal, commitment of expenditure, distribution of EU funding, economic recession, general budget (EU), iron and steel product, payment appropriation

EUROPEAN COMMISSION 

Brussels, 9.8.2012  
COM(2012) 450 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/2011/021 NL/Zalco from the Netherlands) 

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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 
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 28 December 2011, the Netherlands submitted application EGF/2011/021 NL/Zalco for a 
financial  contribution  from  the  EGF,  following  redundancies  in  Zalco  Aluminium  Zeeland 
Company  NV  and  in  two  supplier  firms  (ECL  Services  Netherlands  bv  and  Start)  in  the 
Netherlands. 

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 

Primary enterprise 

Suppliers and downstream producers 
Reference period 
Starting date for the personalised services 
Application date 
Redundancies during the reference period 
Redundancies before and after the reference period 
Total eligible redundancies 
Redundant workers expected to participate in the measures 
Expenditure for personalised services (EUR) 
Expenditure for implementing EGF3 (EUR) 
Expenditure for implementing EGF (%) 
Total budget (EUR) 
EGF contribution (65 %) (EUR) 

EGF/2011/021 
Netherlands  
(a) 
Zalco Aluminium Zeeland 
Company NV 
2 
01.12.2011 – 27.12.2011 
02.01.2012 
28.12.2011 
616 
0 
616 
616 
2 185 145 
113 329 
4,93 
2 298 474 
1 494 008 

1. 

The  application  was  presented  to  the  Commission  on  28 December 2011  and 
supplemented by additional information up to 18 June 2012. 

1 
2 
3 

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

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2. 

The application meets the conditions for deploying the EGF as set out in Article 2(a) 
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. 

6. 

7. 

4 

5 
6 

7 
8 
9 

In order to establish the link between the redundancies and the global financial and 
economic crisis, the Netherlands argues that the European aluminium sector suffered 
from  a  sudden  drop  in  consumer  demand  (a  reduction  by  25,7 %  from  average  EU 
aluminium usage between 2008 and 2009)4. 

The Netherlands explains that the production of Zalco Aluminium Zeeland Company 
NV  was  dependent  on  the  construction  and  transport  industry  (which  represented 
63 % of the main end-user market of aluminium products in Europe in 2010)5. The 
majority of Zalco's Aluminium Zeeland Company NV production was produced for 
the rolling and extrusion industry. Almost their entire production of extrusion billets 
was  used  for  the  construction  and  transport  industries,  and  in  particular  in  the 
automotive sector. 

The Netherlands argues that Zalco Aluminium Zeeland Company NV suffered from 
the declining demand - due to the global financial and economic crisis - in these two 
sectors  leading,  after  unsuccessful  attempts  to  overcome  the  difficulties,  to 
bankruptcy at the end of 2011. 

The  Commission  recognised  in  its  Economic  Recovery  Plan6,  that  the  construction 
industry in the EU had seen demand plummet as a result of the crisis. Available data7 
confirms the significant downturn in the construction sector, which fell in the EU-27 
for eight consecutive quarters (Q1/2009 to Q4/2010) compared with the same period 
of  the  previous  years,  mainly  due  to  the  decrease  in  private  investment  in  the 
residential sector. 

The  Commission  has  already  recognised  that,  as  some  60-80 %  (depending  on  the 
Member  State)  of  new  cars  in  Europe  are  purchased  with  the  aid  of  credit,  the 
financial crisis at the origin of the downturn hit the automotive industry particularly 
severely.  According  to  the  European  Automobile  Manufacturers  Association 
(ACEA)8, demand for new motor vehicles in the European Union decreased in 2009 
by  5,8 %  compared  to  2008  and  by  13,4 %  compared  to  the  pre-crisis  year  20079. 
The  EU  thus  followed  the  trend  noted  at  world-wide  level  where  demand  for  new 

Statistics  based  on  Eurostat  (PRODCOM  and  COMEXT  data)  quoted  in  the  final  report 
"Competitiveness  of  the  EU  Non-ferrous  Metals  Industries"  -  Framework  Contract  "Sector 
Competitiveness  Studies"  -  European  Commission,  Directorate-General  Enterprise  and  Industry  -  5 
April 2011. 
European Aluminium Association (www.alueurope.eu). 
Communication  from  the  Commission  to  the  European  Council  on  A  European  Economic  Recovery 
Plan, COM(2008) 800 final of 26.11.2008. 
Eurostat: newsrelease euroindicators - Construction output. 
http://www.acea.be. 
ACEA  -  Statistics  "new  vehicle  registrations  by  manufacturer  and  by  vehicle  category  (Enlarged 
Europe)" - 2007 to 2009. 

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motor vehicles dropped by 5,6 % in 2009 compared to 200810. Faced with this drop 
in  demand,  manufacturers  of  motor  vehicles  reduced  their  production  even  more 
drastically.  In  2009  the  production  of  motor  vehicles  in  the  EU  decreased  by  17 % 
compared to 2008 and by 23 % compared to 200711. This downward trend continued 
in  2010.  The  production  of  motor  vehicles  in  the  EU  in  the  first  three  quarters  of 
2010 was 14,6 % below that of the same period in 200812. 

The arguments presented in previous cases13 concerning the automotive industry and 
in which the redundancies were a direct result of the crisis remain valid.  

The  Netherlands  also  underlines  the  negative  impact  of  the  severe  slow-down  of 
aluminium production (a reduction by 21 % from average EU aluminium production 
between 2008 and 2009)4 on Zalco's Aluminium Zeeland Company NV revenues. 

The  Dutch  authorities  finally  add  in  this  context  that  the  Court  in  Middelburg 
pronounced  Zalco  Aluminium  Zeeland  Company  NV  as  bankrupt  on 
13 December 2011. 

8. 

9. 

10. 

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

11. 

12. 

The Netherlands submitted this application under the intervention criteria of Article 
2(a)  of  Regulation  (EC)  No  1927/2006,  which  requires  at  least  500  redundancies 
over  a  four-month  period  in  an  enterprise  in  a  Member  State,  including  workers 
made redundant in its suppliers and downstream producers. 

The  application  cites  616  redundancies  in  total  (478  redundancies  in  Zalco 
Aluminium  Zeeland  Company  NV,  18  redundancies  in  its  supplier  ECL  Services 
Netherlands  bv  and  120  in  Start)  during  the  short  reference  period  from  1 to 
27 December 2011.  These  redundancies  were  calculated  as  follows:  for  Zalco 
Aluminium Zeeland Company NV using the third indent of the second paragraph of 
Article 2 of Regulation (EC) No 1927/2006, for ECL Services Netherlands bv using 
the first indent and for Start using the second indent. 

Explanation of the unforeseen nature of those redundancies 

13. 

14. 

10 
11 
12 
13 

The Dutch authorities argue that the international context was not favourable to the 
Zalco  Aluminium  Zeeland  Company  NV  and  had  impacted  on  its  revenues  in  an 
unexpected way. 

Zalco  Aluminium  Zeeland  Company  NV  had  already  unsuccessfully  attempted  to 
reduce  the  impact  of  the  global  financial  and  economic  crisis  by  adapting  its 
production  process  during  its  last  three  years  (shutting  down  256  of  their  592 

ACEA - The automobile industry pocket guide (2010). 
ACEA - Economic Report European Union (March 2010). 
ACEA - Economic Report European Union (July 2011). 
EGF/2010/002 Cataluña Automoción, COM(2010)453 final; EGF/2010/004 Wielkopolskie, 
COM(2010)616 final; EGF/2010/031 GM Belgium COM(2011)212 final; EGF/2011/003 Arnsberg and 
Düsseldorf COM(2011)447 final; and EGF/2011/005 PT/Norte-Centro Automotive COM(2011)664 
final. 

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industrial  furnaces  in  2009  and  subsequently  re-opening  192  furnaces  in  the  first 
quarter of 2011). 

15. 

Zalco  Aluminium  Zeeland  Company  NV  suffered  from  rising  energy  costs  (in 
particular  between  April  2010  and  October  2011).  The  closure  of  nuclear  plants  in 
Germany following the nuclear disaster in Japan also contributed to further increase 
Zalco's  Aluminium  Zeeland  Company  NV  production  costs  (42 %  of  which  were 
energy costs).  

Zalco's Aluminium Zeeland Company NV energy price (Euro / Mwh). 

Identification of the dismissing enterprises and workers targeted for assistance 

16. 

The  application  relates  to  616  redundancies:  478  in  Zalco  Aluminium  Zeeland 
Company NV, 18 in its supplier ECL Services Netherlands bv and 120 in its supplier 
Start. All of these workers are expected to participate in the measures. 

17. 

The break-down of the 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
593
23
616
0
25
387
115
89

Percent 
96,27 
3,73 
100,00 
0,00 
4,06 
62,82 
18,67 
14,45 

18. 

There  are  27  workers  with  longstanding  health-related  issues  or  disabilities  among 
the targeted workers. 

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19. 

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

Category 
Manager 
Professional 
Technicians 
Clerical support workers 
Service and sales workers 
Plant and machine operators and assemblers 
Elementary occupations 

Number
13
32
273
8
5
262
23

Percent 
2,11 
5,19 
44,32 
1,30 
0,81 
42,53 
3,73 

20. 

In accordance with Article 7 of Regulation (EC) No 1927/2006, the Netherlands 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 and, in particular, in access to the EGF. 

Description of the territory concerned and its authorities and stakeholders 

21. 

22. 

The  territory  concerned  by  the  redundancies  is  within  the  NUTS  II  region  of 
Zeeland,  a  province  in  the  southwest  of  the  Netherlands.  Zeeland  borders  on  the 
Dutch provinces of South Holland and North Brabant and the Belgian provinces of 
West  Flanders,  East  Flanders  and  Antwerp.  Zeeland  has  381 730  inhabitants  (30 
September  2011).  Zeeland  can  be  regarded  as  a  small  labour  market:  its  peripheral 
location within the Netherlands, its situation as a border region with huge areas under 
water, and the relative vastness of Zeeland with its island structure, results in rather 
limited access and mobility. 

The  main  stakeholders  are  the  employment  agency  (UWV Werkbedrijf),  knowledge 
institutions (ROC Zeeland and Hogeschool Zeeland), the employers' organisation for 
large enterprises (BZW: Brabants Zeeuwse Werkgevers), the employers' organisation 
for small and medium sized enterprises (MKB Zeeland), the following trade unions: 
FNV  Bondgenoten,  CNV  Vakmensen,  the  association  of  Zeeuwse  municipalities 
(Vereniging 
funds 
(Opleidingsfondsen), and the Province of Zeeland (Provincie Zeeland).  

Zeeuwse  Gemeente), 

Institutes 

training 

the 

for 

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

23. 

24. 

25. 

The  dismissed  workers  live  in  relatively  small  towns  (up  to  about  50 000 
inhabitants), so that the redundancies will have a noticeable local impact. 

The  consequence  on  the  regional  labour  market  will  be  a  considerable  increase  in 
unemployment  because  the  number  of  vacancies  is  already  limited  and  expected  to 
keep  on  decreasing.  There  are  many  job  seekers  in  the  region,  compared  with  the 
numbers  of  open  positions  (in  November  2011,  a  total  of  7 342  persons  were 
unemployed while there were only 585 vacancies in Zeeland). 

The social partners expect that other workers in upstream or downstream companies 
may be dismissed as a direct result of the Zalco Aluminium Zeeland Company NV 
bankruptcy. 

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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 

26. 

The following measures are proposed, all of which combine to form a co-ordinated 
package of personalised services aimed at re-integrating the workers into the labour 
market: 

–  Individual Process Guidance (Personal Intake). This activity started with a general 
meeting on bankruptcy, followed by 14 workshops of a general nature accessible 
to  all  dismissed  workers  in  January  2012  the  purpose  of  which  were  to  draw  a 
personal educational and skills profile of the workers and providing a certification 
of their skills. Advice on deploying education or training is part of the individual 
process guidance in order to encourage the job seeker to become more competent 
on the labour market. The availability and potential use of the other instruments in 
the  Mobiliteitscentrum’s  service  are  also  discussed  during  this  measure,  for 
instance, workshops such as job application training, self-reliant entrepreneurship, 
learning-working advice etc. The guidance will be recorded by means of an initial 
intake  form  and  a  digital  report  at  the  end  of  the  measure  which  will  provide 
useful insight for the job seeker as well as the guidance staff. 

–  Occupational  guidance/assessments:  This  measure  will  map  the  knowledge  and 
skills  of  the  redundant  workers  against  the  labour  market  needs  using  the 
Accreditation of Prior Learning (APL) procedure14. An APL procedure results in 
an  'experience  certificate',  stating  a  person’s  knowledge  and  his/her  capabilities. 
This  knowledge  and  experience  is  compared  with  a  national  standard  as  is  used 
for the Intermediate Vocational Education, Higher Vocational Education or by the 
industry. This measure will help the workers find suitable new jobs based on the 
acquired certificates. 

–  Training  and  re-training:  After  the  guidance  and  assessment,  the  services  will 
prepare educational advice for further actions. This advice is central to drawing up 
an  Individual  Development  Plan  (IDP)  per  worker.  During  the  IDP  training,  a 
focus on a new job can be recommended for which education or re-training may 
be  necessary.  The  majority  of  the  training  courses  will  involve  operator  and 
foreman  training  at  an  Intermediate  Vocational  Education  level  3  qualification 
which  is  the  highest  available  training  course  in  the  industrial  sector.  The  re-
training  activities  will  be  mainly  offered  as  courses  and  can  take  between  one 
week and six months. Each participant receives a certificate on completion. 

–  Outplacement services: These services can be deployed individually as well as in 
groups. The outplacement support includes profiling and job search assistance and 
will  be  tailored  to  the  requirements  of  the  individual  participants  fitting  his/her 
competences and skills while taking into account the current labour market needs. 

–  Entrepreneurship promotion: The core idea of this measure is to create a support 
programme in order to help the redundant workers to become entrepreneurs. The 
Netherlands considers that this requires a new view on entrepreneurship with the 
need  to  incorporate  issues  like  the  current  economic  crisis,  climate  change, 

14 

http://www.kenniscentrumevc.nl/  

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exploitation  of  natural  resources,  social  diversity  and  Corporate  Social 
Responsibility. The programme itself is a structured set of business activities with 
a  supportive  set  of  people  and  tools  aimed  at  the  successful  launch  of  a  new 
venture.  The  course  will  include  small  weekly  assignments.  Each  week  will 
provide two hours of lecturing and coaching. A coach or advisor can be a business 
person  (or  an  employee  of  the  Chamber  of  Commerce)  who  will  function  as  a 
mentor for the worker or as an expert available as a resource.  

–  Measures  to  stimulate  older  workers:  These  measures  will  help  the  workers  to 
cultivate a sense of self-respect, appreciation and usefulness in the labour market. 
During workshops and training, practical examples of private, local, regional and 
national  initiatives  and  learning  possibilities  will  be  linked  to  the  specific 
requirements and profile of older workers. These examples will generate practical 
insights and can help the participants understand their strenghts and the challenges 
on the current labour market. The workers will have to learn how to deal with new 
assignments,  based  on  their  experience,  for  instance  as  trainer  or  tutor,  and  act 
accordingly. Possibly, an additional program will be set up at which a trainer or 
coach  will  implement  individual  guidance  and  coaching  towards  a  new  working 
environment. 

27. 

28. 

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. 

The personalised services presented by the Dutch authorities are active labour market 
measures  within  the  eligible  actions  defined  by  Article  3  of  Regulation  (EC)  No 
1927/2006.  The  Dutch  authorities  estimate  the  total  costs  at  EUR 2 298 474,  of 
which  the  expenditure  for  personalised  services  at  EUR 2 185 145  and  the 
expenditure for implementing the EGF at EUR 113 329 (4,93 % of the total amount). 
The total contribution requested from the EGF is EUR 1 494 008 (65 % of the total 
costs). 

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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) 

Personal intake 

Occupational guidance/assessments 

Training and re-training 

Outplacement services 

Entrepreneurship promotion 

Measures to stimulate older workers 

Sub total personalised services 

616

150

250

75

30

100

13915 

2 153 

85 800

322 950

4 108 

1 027 000

4 217 

1 844 

3 778 

316 275

55 320

377 800

2 185 145

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) 

0

28 332

28 332

56 665

113 329

2 298 474

1 494 008

29. 

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

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

30. 

15 

The Netherlands started the personalised services to the affected workers included in 
the  co-ordinated  package  proposed  for  co-financing  to  the  EGF  on  2 January 2012. 

The  real  estimated  cost  per  worker  provided  by  the  MS  is  EUR 139,2857.  In  order  to  simplify  the 
presentation in the table this figure has been rounded down, without modifying the total estimated cost 
for the measure as calculated by the MS. 

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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 

31. 

32. 

The  proposed  application  was  discussed  on  15  December  2011  with  the  social 
partners referred to in point 22 above.  

in 

The  social  partners  will  also  participate 
the  Mobility  Centre  Zalco 
(Mobiliteitscentrum  Zalco  -  MCZ)  which  is  a  collective  initiative  of  the  parties 
involved  in  the  Zeeland  job  market:  workers'  organisations  (FNV,  CNV,  Union), 
employers'  organisations  (Brabant  Zeeland  Employers  Association  and  SMB),  the 
Zeeland  municipalities  (represented  by  one  municipality  per  region),  the  training 
institutes  (Regional  Training  Institutes  and  the  Zeeland  College),  the  Institute  for 
Employee Benefits Schemes and the Province of Zeeland. The Province of Zeeland 
is in contact at the management and official level with the social partners about the 
organisation of the MCZ. 

33. 

The Dutch 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 

34. 

As regards the criteria contained in Article 6 of Regulation (EC) No 1927/2006, the 
Dutch 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  

35. 

The Netherlands has notified the Commission that the financial contribution will be 
managed  and  controlled  by  the  same  bodies  that  manage  and  control  the  ESF.  The 
Netherlands has formulated a scheme published on 15 July 2009 including the major 
conditions from the EGF Regulation. For the Zalco application, an agreement will be 
drawn up between the Province of Zeeland and the Minister of SZW (Sociale Zaken 
en Werkgelegenheid) on the basis of which the Province of Zeeland will be obliged 
to keep clearly organised and verifiable administrative records. These will be audited 
by the Ministry Agency (Agentschap SZW).  

Financing 

36. 

On the basis of the application from the Netherlands, the proposed contribution from 
the EGF to the coordinated package of personalised services (including expenditure 

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37. 

38. 

39. 

to  implement  EGF)  is  EUR 1 494 008,  representing  65 %  of  the  total  cost.  The 
Commission's proposed allocation under the Fund is based on the information made 
available by the Netherlands. 

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. 

40. 

The  Commission  presents  separately  a  transfer  request  in  order  to  enter  in  the 
2012 budget  specific  commitment  appropriations,  as  required  in  Point  28  of  the 
Interinstitutional Agreement of 17 May 2006. 

Source of payment appropriations  

41. 

Appropriations  from  the  EGF  budget  line  will  be  used  to  cover  the  amount  of 
EUR 1 494 008 needed for the present application. 

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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/2011/021 NL/Zalco from the Netherlands) 

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 
management16, 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  Fund17, 
and in particular Article 12(3) thereof, 

Having regard to the proposal from the European Commission18, 

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 
30 December 2011 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. 

The  Netherlands  submitted  an  application  to  mobilise  the  EGF,  in  respect  of 
redundancies  in  the  enterprise  Zalco  Aluminium  Zeeland  Company  NV  and  in  two 
supplier  firms  (ECL  Services  Netherlands  bv  and  Start),  on  28 December 2011  and 
supplemented  it  by  additional  information  up  to  18 June 2012.  This  application 

16 
17 
18 

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

EN 

12 

   EN 

 
 
                                                 
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 1 494 008. 

(5) 

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

HAVE ADOPTED THIS DECISION: 

Article 1 

For  the  general  budget  of  the  European  Union  for  the  financial  year  2012,  the  European 
Globalisation  Adjustment  Fund  (EGF)  shall  be  mobilised  to  provide  the  sum  of 
EUR 1 494 008 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 
The President 

For the Council 
The President 

EN 

13 

   EN