Proposal for a DECISION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL on the mobilisation of the European Globalisation Adjustment Fund (EGF/2019/000 TA 2019 - Technical assistance at the initiative of the Commission)
Date: 2019-07-02
Institutions: Directorate-General for Employment, Social Affairs and Inclusion, European Commission
Subjects: European Globalisation Adjustment Fund, commitment of expenditure, dismissal, employment aid, financial aid, general budget (EU), globalisation, payment appropriation, reintegration into working life, technical cooperation

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   EUROPEAN COMMISSION  Brussels, 2.7.2019  COM(2019) 290 final  Proposal for a DECISION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL on the mobilisation of the European Globalisation Adjustment Fund  (EGF/2019/000 TA 2019 - Technical assistance at the initiative of the Commission)   
 
 
EXPLANATORY MEMORANDUM 

The  rules  applicable  to  financial  contributions  from  the  European  Globalisation  Adjustment 
Fund (EGF) are laid down in 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) 1927/20061 (the ‘EGF Regulation’). 

SUMMARY OF THE APPLICATION AND ANALYSIS 

Key data: 

EGF Reference no. 

European Commission 

Administrative expenditure: budget in EUR 

% administrative expenditure (ceiling: 0,5 %) 

EGF/2019/000 

Technical assistance 

610 000 

0,35 % 

In accordance with Article 11(1) of the EGF Regulation, a maximum of 0,5 % of the annual 
maximum amount of the EGF may be made available each year for technical assistance at the 
initiative of the Commission. 

Technical assistance to be funded and breakdown of estimated costs 

1. 

2. 

3. 

4. 

The contribution will be used for expenditure mentioned in Article 11(1) and (4) as 
well as Article 12(2), (3) and (4) of the EGF Regulation, as detailed hereunder. 

Monitoring  and  data  gathering:  The  Commission  will  collect  data  on  applications 
received, funded and wound up, and measures proposed and implemented. This data 
will be made available on the website of the European Commission and compiled in 
appropriate form for the Biennial Report of 2021. Based on the experience of recent 
years, costs for this activity are estimated at EUR 20 000. 

Information: The Commission has set up and maintains a webpage on the European 
Globalisation  Adjustment  Fund2,  as  required  under  Article 12(2)  of  the  EGF 
Regulation.  The  webpage  will  be  regularly  updated  and  expanded,  and  the  new 
elements will be translated into all EU official languages. General awareness of the 
EGF  will  be  increased  and  its  visibility  promoted.  The  EGF  will  be  covered  in 
various  Commission  publications  and  audio-visual  activities  as  provided  for  in 
Article 11(4)  of  the  EGF  Regulation.  Costs  of  all  these  items  are  estimated  to  be 
EUR 20 000. 

Electronic  data  exchange  system:  The  Commission  is  continuing  its  work  on 
developing  standardised  procedures  for  EGF  applications  and  case  management, 
using the functionalities of SFC2014 (System for Fund Management in the European 
Union). This  allows the  simplification of applications under the EGF Regulation,  a 
faster  processing,  and  easier  reporting.  An  interface  between  SFC  and  the 

1 
2 

OJ L 347, 20.12.2013, p. 855. 
http://ec.europa.eu/egf  

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Commission’s  accounting  and  financial  information  system  ABAC  facilitates  the 
financial operations of the EGF. The contribution  of EUR 80 000 is  for the regular 
maintenance and further development of the SFC applications and the integration of 
new reporting tools.  

Administrative and technical support (Expert Group meetings): The Expert Group of 
Contact  Persons  of  the  EGF,  with  one  member  from  each  Member  State,  will  be 
holding  two  meetings  (second  half  of  2019  /  first  half  of  2020).  The  total  costs  of 
these two meetings are estimated at EUR 70 000. 

Administrative and technical support (Networking seminars): In addition, in order to 
promote  networking  among  the  Member  States,  the  Commission  will  organise  two 
seminars  with  the  participation  of  the  implementing  bodies  of  the  EGF  and  social 
partners.  To  the  extent  possible,  these  will  be  scheduled  to  take  place  around  the 
same dates as the two Expert Group meetings and will focus on issues arising from 
the  practical  implementation  of  the  EGF  Regulation.  The  cost  of  these  items  is 
estimated at EUR 120 000. 

Evaluation:  A  public  procurement  for  the  ex-post  evaluation  will  be  launched  in 
2019, with a view to concluding the evaluation by 31 December 2021 (as required by 
Article 20(1)(b)  of  the  EGF  Regulation).  EUR 300 000  will  be  needed  for  this 
purpose. 

Estimated 
number 

Estimated 
cost per 
item 
(in EUR) 

Total costs 
(in EUR) 

5. 

6. 

7.  

Items 

Monitoring and data gathering 

Various 

Various 

Information activities 

Various 

Various 

Various 

Various 

2 

35 000 

Establishment of electronic data 
exchange system  

Administrative and technical 
support: Meetings of the Expert 
Group of Contact Persons of the 
EGF 

Administrative and technical 
support: Networking seminars on 
the implementation of the EGF 

2 

60 000 

120 000 

20 000 

20 000 

80 000 

70 000 

Evaluation 

1 

300 000 

Total estimated costs 

Financing 

300 000 

610 000 

8. 

The  maximum  annual  budget  available  for  the  EGF  in  2019  is  EUR 150 million  in 
2011  prices  (EUR 175 748 000  in  2019  prices),  as  stated  in  Article 12  of  Council 

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9. 

10. 

Regulation  (EU,  Euratom)  No 1311/2013  of  2 December 2013  laying  down  the 
multiannual financial framework for the years 2014-20203. 

the  EGF  Regulation  states 

Article 11(1)  of 
this  amount 
(EUR 175 748 000 in 2019 prices) can be made available for technical assistance at 
the initiative of the Commission. The amount proposed in this decision corresponds 
to about 0,35 % of the maximum annual budget available for the EGF in 2019. 

that  0,5 %  of 

The  proposed  decision  to  mobilise  the  EGF  will  be  taken  jointly  by  the  European 
Parliament  and  the  Council,  as  laid  down  in  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 management4. 

Related acts 

11. 

At the same time as it presents this proposal for a decision to mobilise the EGF, the 
Commission will present to the European Parliament and to the Council a proposal 
for a transfer to the relevant budgetary line for the amount of EUR 610 000. 

Source of payment appropriations 

12. 

Appropriations  from  the  EGF  budget  line  will  be  used  to  cover  the  amount  of 
EUR 610 000 needed for technical assistance. 

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OJ L 347, 20.12.2013, p. 884. 
OJ C 373, 20.12.2013, p. 1. 

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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  
(EGF/2019/000 TA 2019 - Technical assistance at the initiative of the Commission) 

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  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) 1927/20065, and in particular Article 11(2) 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 management6, and in particular point 13 thereof, 

Having regard to the proposal from the European Commission, 

Whereas: 

(1) 

(2) 

(3) 

(4) 

The  European  Globalisation  Adjustment  Fund  (EGF)  aims  to  provide  support  for 
workers made redundant and self-employed persons whose activities have ceased as a 
result  of  major  structural  changes  in  world  trade  patterns  due  to  globalisation,  as  a 
result of a continuation of the global financial and economic crisis, or as a result of a 
new  global  financial  and  economic  crisis,  and  to  assist  them  with  their  reintegration 
into the labour market. 

The  EGF  is  not  to  exceed  a  maximum  annual  amount  of  EUR 150 million  (2011 
prices),  as 
in  Article 12  of  Council  Regulation  (EU,  Euratom) 
No 1311/20137. 

laid  down 

Regulation  (EU)  No 1309/2013  provides  that  a  maximum  of  0,5 %  of  the  annual 
maximum  amount  of  the  EGF  may  be  used  each  year  for  technical  assistance  at  the 
initiative of the Commission. 

The  EGF  should  be  mobilised  in  order  to  provide  the  sum  of  EUR 610 000  for 
technical assistance at the initiative of the Commission. 

HAVE ADOPTED THIS DECISION:  

Article 1 

For  the  general  budget  of  the  European  Union  for  the  financial  year  2019,  the  European 
Globalisation  Adjustment  Fund  shall  be  mobilised  to  provide  the  sum  of  EUR 610 000  in 
commitment and payment appropriations. 

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6 
7 

OJ L 347, 20.12.2013, p. 855. 
OJ C 373, 20.12.2013, p. 1. 
Council Regulation (EU, EURATOM) No 1311/2013 of 2 December 2013 laying down the multiannual 
financial framework for the years 2014-2020, OJ L 347, 20.12.2013, p. 884. 

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Article 2 

This  Decision  shall  enter  into  force  on  the  third  day  following  that  of  its  publication  in  the 
Official Journal of the European Union. 

Done at Brussels, 

For the European Parliament 
The President 

For the Council 
The President 

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