European Parliament resolution of 21 October 2014 on the 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 13 of the Interinstitutional Agreement of 2 December 2013 between the European Parliament, the Council and the Commission on budgetary discipline, on cooperation in budgetary matters and on sound financial management (application EGF/2013/012 BE/Ford Genk from Belgium) (COM(2014)0532 — C8-0126/2014 — 2014/2065(BUD))
Date: 2014-10-21
Institutions: Committee on Budgets, Committee on Employment and Social Affairs, Committee on Regional Development, European Parliament
Subjects: Belgium, European Globalisation Adjustment Fund, Province of Limbourg, collective dismissal, commitment of expenditure, employment aid, financial aid, general budget (EU), motor vehicle industry, reintegration into working life








C_2016274EN.01003601.xml










27.7.2016   


EN


Official Journal of the European Union


C 274/36





P8_TA(2014)0031
Mobilisation of the European Globalisation Adjustment Fund: application EGF/2013/012 BE/Ford Genk — Belgium
European Parliament resolution of 21 October 2014 on the 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 13 of the Interinstitutional Agreement of 2 December 2013 between the European Parliament, the Council and the Commission on budgetary discipline, on cooperation in budgetary matters and on sound financial management (application EGF/2013/012 BE/Ford Genk from Belgium) (COM(2014)0532 — C8-0126/2014 — 2014/2065(BUD))
(2016/C 274/07)

The European Parliament,






—


having regard to the Commission proposal to the European Parliament and the Council (COM(2014)0532 — C8-0126/2014),










—


having regard to Regulation (EC) No 1927/2006 of the European Parliament and of the Council of 20 December 2006 on establishing the European Globalisation Adjustment Fund (1) (EGF Regulation),










—


having regard to Council Regulation (EU, Euratom) No 1311/2013 of 2 December 2013 laying down the multiannual financial framework for the years 2014-2020 (2), and in particular Article 12 thereof,










—


having regard to the Interinstitutional Agreement of 2 December 2013 between the European Parliament, the Council and the Commission on budgetary discipline, on cooperation in budgetary matters and on sound financial management (3) (IIA of 2 December 2013), and in particular point 13 thereof,










—


having regard to trilogue procedure provided for in point 13 of the IIA of 2 December 2013,










—


having regard to the letter of the Committee on Employment and Social Affairs,










—


having regard to the letter of the Committee on Regional Development,










—


having regard to the report of the Committee on Budgets (A8-0015/2014),










A.


whereas the Union has set up legislative and budgetary instruments to provide additional support to workers who are suffering from the consequences of major structural changes in world trade patterns and to assist their reintegration into the labour market,










B.


whereas the Union’s financial assistance to workers made redundant should be dynamic and made available as quickly and efficiently as possible, in accordance with the Joint Declaration of the European Parliament, the Council and the Commission adopted during the conciliation meeting on 17 July 2008, and having due regard for the IIA of 2 December 2013 in respect of the adoption of decisions to mobilise the European Globalisation Adjustment Fund (EGF),










C.


whereas Belgium submitted application EGF/2013/012 BE/Ford Genk for a financial contribution from the EGF, following 512 redundancies, with 479 persons expected to participate in the measures, in the assembly plant of Ford-Werke GmbH (4) located in Genk (‘Ford Genk’) and in 10 suppliers of Ford Genk in Belgium during the reference period from 1 July 2013 to 1 November 2013,










D.


whereas the application fulfils the eligibility criteria laid down in the EGF Regulation,












1.


Notes that the conditions set out in Article 2(a) of the EGF Regulation are partially met as regards the minimum number of redundancies during the reference period as there are less than 500 redundancies; considers that an application for a contribution from the EGF may be considered admissible when redundancies have a serious impact on employment and the local economy; takes into account two other waves of redundancies, that are expected to occur in 2014 (approximately 4 340 redundancies at Ford Genk and 2 820 redundancies at its suppliers located in the same geographical area); considers that they will have a serious impact on the whole Flemish region with an estimated loss of more than 11 000 jobs; recalls that implementation of specific measures in favour of first group of redundant workers as rapidly as possible increases the possibilities for them to find new employment and to give all redundant workers the same opportunity; agrees therefore with the Commission that Belgium is entitled to a financial contribution under the EGF Regulation;












2.


Notes that the Belgian authorities submitted the application for EGF financial contribution on 23 December 2013, the application was supplemented by additional information until 12 June 2014, and that its assessment was made available by the Commission on 22 August 2014; welcomes the prompt assessment within less than 8 months; underlines the importance of the introduction of an assessment period at a maximum of 20 weeks in the new EGF Regulation (Regulation (EU) No 1309/2013) (5);












3.


Considers that the redundancies in the assembly plant of Ford-Werke GmbH and in 10 suppliers of Ford Genk are linked to major structural changes in world trade patterns due to globalisation and a rapid decline of the EU’s market share in the sector of the production of passenger cars at worldwide level and a consistent decline in sales of new cars in the Union;












4.


Notes that Ford Genk has been the largest employer in the province of Limburg and that 512 redundancies in question and two more waves of expected redundancies due to closure of Ford Genk will have a serious impact on the local labour market which is characterised by a high level of unemployment, lower qualification levels and skills levels, and by a less developed supply of education services; notes that according to a study referred to by the Belgian authorities (6), for every 100 jobs expected to be lost at Ford Genk, there would be 65 jobs lost at its direct and indirect suppliers in Limburg and an additional 72 jobs lost at its suppliers located elsewhere in the Flemish Region;












5.


Notes that the automotive industry has been the subject of 17 decisions on the mobilisation of the EGF since the start of the EGF in 2007 (7); in particular, the decline of the EU’s market share in the production of the passenger cars has been referred to in eight previous EGF decisions (8); calls for an assessment of the effects of the EGF interventions specifically linked to the redundancies in the automotive sector on the basis of these applications and the ones expected until the end of the year;












6.


Welcomes the fact that, in order to provide workers with speedy assistance, the Belgian authorities decided to initiate the implementation of the personalised services to the affected workers on 1 July 2013, well ahead of the final decision on granting the EGF support for the proposed coordinated package;












7.


Notes that the coordinated package of personalised services to be co-funded includes following measures for the reintegration of 479 redundant workers into employment (grouped by category): (1) job-search assistance (key account manager, social intervention advisor, information on vocational education and training options, active job-oriented guidance), and (2) training and re-training (vocational training course, employment through individual vocational training, application training);












8.


Welcomes the fact that in order to address the issue, the Flemish Government established a specific taskforce bringing together all relevant stakeholders, with the Commission's services associated in its work;












9.


Welcomes the fact that the social partners represented in the Socioeconomic Council of the Limburg Region (SERR Limburg) were not only consulted, but also participated in a Monitoring Committee specifically set up for the EGF application; notes furthermore that the EGF application has been discussed with the social partners as part of the regular reporting on the implementation of the Limburg Strategic Action Plan which was set up to address the regional impact of the closure of Ford Genk;












10.


Recalls the importance of improving the employability of all workers by means of adapted training and the recognition of skills and competences gained throughout a worker's professional career; expects the training on offer in the coordinated package to be adapted not only to the needs of the dismissed workers but also to the actual business environment; notes at the same time that the training and re-training measures should recognise and also build upon the specific skills and competences that the affected workers have acquired in the automotive and its supplying industry;












11.


Notes that the information provided on the coordinated package of personalised services to be funded from the EGF includes information on complementarity with actions funded by the Structural Funds; stresses that the Belgian authorities confirm that the eligible actions do not receive assistance from other Union financial instruments; reiterates its call to the Commission to present a comparative evaluation of those data in its annual reports in order to ensure full respect of the existing regulations and that no duplication of Union-funded services can occur;












12.


Requests the institutions involved to make the necessary efforts to improve procedural arrangements in order to accelerate the mobilisation of the EGF; appreciates the improved procedure put in place by the Commission, following Parliament's request for the accelerated release of grants, aimed at presenting to the European Parliament and the Council the Commission's assessment on the eligibility of an EGF application together with the proposal to mobilise the EGF; underlines that further improvements in the procedure have been integrated into Regulation (EU) No 1309/2013 and that greater efficiency, transparency and visibility of the EGF will be achieved;












13.


Stresses that, in accordance with Article 6 of the EGF Regulation, it shall be ensured that the EGF supports the reintegration of individual redundant workers into stable employment; stresses, furthermore, that EGF assistance can co-finance only active labour market measures which lead to durable, long-term employment; reiterates that assistance from the EGF must not replace actions which are the responsibility of companies by virtue of national law or collective agreements nor measures restructuring companies or sectors;












14.


Welcomes the adoption of Regulation (EU) No 1309/2013 which reflects the agreement reached between the European Parliament and the Council to reintroduce the crisis mobilisation criterion, to increase Union financial contribution to 60 % of the total estimated cost of proposed measures, to increase efficiency for the treatment of EGF applications in the Commission and by the European Parliament and the Council by shortening time for assessment and approval, to widen eligible actions and beneficiaries by introducing self-employed persons and young people and to finance incentives for setting up own businesses;












15.


Approves the decision annexed to this resolution;












16.


Instructs its President to sign the decision with the President of the Council and arrange for its publication in the Official Journal of the European Union;












17.


Instructs its President to forward this resolution, including its annex, to the Council and the Commission.






(1)  OJ L 406, 30.12.2006, p. 1.

(2)  OJ L 347, 20.12.2013, p. 884.

(3)  OJ C 373, 20.12.2013, p. 1.

(4)  Ford-Werke GmbH, a subsidiary of Ford of Europe AG, has its registered seat in Cologne (Germany). It operates the Ford production plants in Cologne and Saarlouis (Germany) and Genk (Belgium).

(5)  Regulation (EU) No 1309/2013 of the European Parliament and of the Council of 17 December 2013 on the European Globalisation Adjustment Fund (2014-2020) and repealing Regulation (EC) No 1927/2006 (OJ L 347, 20.12.2013, p. 855).

(6)  Peeters, L., Vancauteren, M., ‘Studie van de economische impact van de sluiting van Ford Genk’, Universiteit Hasselt, November 2013, available at http://www.uhasselt.be/documents/kizok/impactstudie.pdf.

(7)  See EGF database, available at http://ec.europa.eu/social/main.jsp?catId=582.

(8)  See Commission proposals on cases EGF/2007/001 FR/Peugeot suppliers (COM(2007)0415 of 12.7.2007), EGF/2007/010 PT/Lisboa-Alentejo (COM(2008)0094 of 20.2.2008), EGF/2008/002 ES/Delphi (COM(2008)0547 of 9.9.2008), EGF/2008/004 ES/Castilla y León/Aragón (COM(2009)0150 of 26.3.2009), EGF/2009/013 DE/Karmann (COM(2010)0007 of 22.1.2010), EGF/2012/004 ES/Grupo Santana (COM(2014)0116 of 5.3.2014), EGF/2012/005 SE/Saab (COM(2012)0622 of 19.10.2012), EGF/2012/008 IT/De Tomaso automobili (COM(2013)0469 of 28.6.2013).



ANNEX


DECISION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL


on the mobilisation of the European Globalisation Adjustment Fund in accordance with Point 13 of the Interinstitutional Agreement of 2 December 2013 between the European Parliament, the Council and the Commission on budgetary discipline, on cooperation in budgetary matters and on sound financial management (application EGF/2013/012 BE/Ford Genk from Belgium)


(The text of this annex is not reproduced here since it corresponds to the final act, Decision 2014/813/EU.)