European Parliament resolution of 14 March 2018 on the proposal for a decision of the European Parliament and of the Council on the mobilisation of the European Globalisation Adjustment Fund (application from Germany – EGF/2017/008 DE/Goodyear) (COM(2018)0061 – C8-0031/2018 – 2018/2025(BUD))
Date: 2018-03-14
Institutions: Committee on Budgets, Committee on Employment and Social Affairs, Committee on Regional Development, European Parliament
Subjects: Baden-Württemberg, European Globalisation Adjustment Fund, Germany, dismissal, employment aid, financial aid, general budget (EU), globalisation, reintegration into working life, rubber industry








C_2019162EN.01014001.xml










10.5.2019   


EN


Official Journal of the European Union


C 162/140






P8_TA(2018)0074
Mobilisation of the European Globalisation Adjustment Fund: application EGF/2017/008 DE/Goodyear
European Parliament resolution of 14 March 2018 on the proposal for a decision of the European Parliament and of the Council on the mobilisation of the European Globalisation Adjustment Fund (application from Germany – EGF/2017/008 DE/Goodyear) (COM(2018)0061 – C8-0031/2018 – 2018/2025(BUD))
(2019/C 162/24)

The European Parliament,







—


having regard to the Commission proposal to the European Parliament and the Council (COM(2018)0061 – C8-0031/2018),










—


having regard to 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 (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 the 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 (A8-0061/2018),










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 or of the global financial and economic crisis, 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;










C.


whereas Germany submitted application EGF/2017/008 DE/Goodyear for a financial contribution from the EGF, following 646 redundancies in the economic sector classified under the NACE Revision 2 Division 22 (Manufacture of rubber and plastic products) in the NUTS level 2 region of Regierungsbezirk Karlsruhe (DE12) in Germany;










D.


whereas the application is based on the intervention criteria of point (a) of Article 4(1) of the EGF Regulation, which requires at least 500 workers being made redundant over a reference period of four months in an enterprise in a Member State, including workers made redundant by suppliers and downstream producers and/or self-employed persons whose activity has ceased;












1.


Agrees with the Commission that the conditions set out in Article 4(1) of the EGF Regulation are met and that Germany is entitled to a financial contribution of EUR 2 165 231 under that Regulation, which represents 60 % of the total cost of EUR 3 608 719;












2.


Notes that the German authorities submitted the application on 6 October 2017, and that, following the provision of additional information by Germany, the Commission finalised its assessment on 9 February 2018 and notified it to Parliament on the same day;












3.


Notes that the global tyre market share of Asian manufacturers from China, Taiwan and Singapore rose from 4 % in 2001 to 20 % in 2013;












4.


Notes that Germany started providing the personalised services to the targeted beneficiaries on 1 January 2018. The expenditure on those actions will therefore be eligible for a financial contribution from the EGF;












5.


Notes that Germany argues that the redundancies are linked to major structural changes in world trade patterns due to globalisation and its negative impact on B-segment car tyre production in the Union;












6.


Recalls that the redundancies that occurred in Goodyear are expected to have a significant adverse effect on the local economy, and that the impact of the layoffs is linked to the difficulties of redeployment due to the scarcity of jobs, to the low educational background of the dismissed workers, to their specific vocational skills developed in a sector now in decline, and to the high number of job seekers;












7.


Is aware of the fall in Union automotive output and market shares in the wake of globalisation; acknowledges that, as a result, significant overcapacity has built up in the B tyre segment at Goodyear, forcing the company to close one of its European plants, which was the largest employer in the region; notes that the EGF could also facilitate the cross border movement of workers from shrinking sectors located in some Member States to expanding sectors in other Member States;












8.


Notes that the application relates to 646 workers made redundant at Goodyear, the majority of them being between 30 and 54 years old; points also to the fact that a significant percentage of the redundant workers are between 55 and 64 years old with skills specific to the manufacturing sector; further notes that around 300 of the redundant workers are unskilled and have a migratory background and are without a formal qualification, such as a vocational training, which puts them at a disadvantage on the regional job market; emphasises that the Waghäusel region, where the Philippsburg plant is located, is facing structural changes; in view of this, acknowledges the importance of active labour market measures co-funded by the EGF for improving the chances of reintegration in the labour market of these groups;












9.


Notes that Germany is planning six types of actions for the redundant workers covered by this application: (i) upskilling measures, (ii) peer groups / workshops, (iii) a business start-up advisory service, (iv) job search, (v) follow-up mentoring / securing employment, (vi) training allowance;












10.


Notes that the income support measures will account for the maximum 35 % of the overall package of personalised measures set out in the EGF Regulation and that those actions are conditional on the active participation of the targeted beneficiaries in job-search or training activities;












11.


Welcomes the consultations with stakeholders including representatives of the redundant workers, social partners and regional authorities as well as the workers’ council, trade union and management that took place while drawing up the co-ordinated package of personalised services;












12.


Welcomes the decision of the public employment service to take into account both future labour market needs and the qualifications of the workers concerned when designing a qualification and skills strategy;












13.


Recalls that in accordance with Article 7 of the EGF Regulation, the design of the coordinated package of personalised services should anticipate future labour market perspectives and required skills and should be compatible with the shift towards a resource-efficient and sustainable economy; welcomes the assurance that the measures organised are in line with Germany’s sustainability strategy, and that the body setting up the two transfer companies holds a sustainability certification.












14.


Notes that the German authorities have provided assurances that the proposed actions will not receive financial support from other Union funds or financial instruments, that any double financing will be prevented and that they will be complementary with actions funded by the Structural Funds;












15.


Acknowledges Germany’s confirmation that a financial contribution from the EGF will not replace actions the enterprise concerned is required to take by virtue of national law or pursuant to collective agreements, or measures for restructuring companies or sectors;












16.


Calls on the Commission to urge national authorities to provide more details, in future proposals, on the sectors which have growth prospects and are therefore likely to hire people, as well as to gather substantiated data on the impact of the EGF funding, including on the quality, duration and sustainability of new jobs, on the number and percentage of self-employed persons and start-ups, and the reintegration rate achieved through the EGF;












17.


Recalls its appeal to the Commission to assure public access to all the documents related to EGF cases;












18.


Approves the decision annexed to this resolution;












19.


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;












20.


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






(1)  1
OJ L 347, 20.12.2013, p. 855.

(2)  2
OJ L 347, 20.12.2013, p. 884.

(3)  3
OJ C 373, 20.12.2013, p. 1.




ANNEX
DECISION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL
on the mobilisation of the European Globalisation Adjustment Fund following an application from Germany – EGF/2017/008 DE/Goodyear

(The text of this annex is not reproduced here since it corresponds to the final act, Decision (EU) 2018/513.)