Proposal for a DECISION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL on the mobilisation of the European Globalisation Adjustment Fund following an application from the Netherlands – EGF/2020/004 NL/KLM
Date: 2021-05-06
Institutions: Directorate-General for Employment, Social Affairs and Inclusion, European Commission
Subjects: European Globalisation Adjustment Fund, Netherlands, North Holland, air transport, commitment of expenditure, dismissal, employment aid, general budget (EU), globalisation, reintegration into working life

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   EUROPEAN COMMISSION  Brussels, 6.5.2021 COM(2021) 226 final 2021/0115 (BUD)  Proposal for a DECISION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL on the mobilisation of the European Globalisation Adjustment Fund following an application from the Netherlands – EGF/2020/004 NL/KLM  
 
EXPLANATORY MEMORANDUM 

CONTEXT OF THE PROPOSAL 

1. 

2. 

3. 

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) 
No 1927/20061 (the ‘EGF Regulation’)2. 

22  December 

On 
application 
the  Netherlands 
EGF/2020/004 NL/KLM  for  a  financial  contribution  from  the  EGF,  following 
redundancies3 in KLM Royal Dutch Airlines in the Netherlands. 

submitted 

2020, 

an 

Following  its  assessment  of  this  application,  the  Commission  has  concluded,  in 
accordance with all applicable provisions of the EGF Regulation, that the conditions 
for awarding a financial contribution from the EGF are met. 

SUMMARY OF THE APPLICATION 

EGF application 

Member State 
Region(s) concerned (NUTS4 level 2) 

EGF/2020/004 NL/KLM 

The Netherlands 
Noord-Holland (NL32) 

Date of submission of the application 

22 December 2020 

Date of acknowledgement of receipt of the 
application 

22 December 2020 

Date of request for additional information 

5 January 2021 

Deadline for provision of the additional 
information 

16 February 2021 

Deadline for the completion of the assessment 

11 May 2021 

Intervention criterion 

Primary enterprise 

Article 4(1)(a) of the EGF Regulation 

KLM Royal Dutch Airlines 

Number of enterprises concerned 

1 

Sector(s) of economic activity 
(NACE Revision 2 Division)5 

Division 51 (Air transport) 

Reference period (four months): 

15 August 2020 - 15 December 2020 

Number of redundancies during the reference 
period (a) 

650 

1 
2 
3 
4 

5 

OJ L 347, 20.12.2013, p. 855. 
Regulation (EU) No 1309/2013 is applicable to all applications received by 31 December 2020. 
Within the meaning of Article 3 of the EGF Regulation. 
Commission  Regulation  (EU)  No 1046/2012  of  8  November  2012  implementing  Regulation  (EC) 
No 1059/2003  of  the  European  Parliament  and  of  the  Council  on  the  establishment  of  a  common 
classification of territorial units for statistics (NUTS) as regards the transmission of the time series for 
the new regional breakdown (OJ L 310, 9.11.2012, p. 34). 
OJ L 393, 30.12.2006, p. 1. 

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Number of redundancies before or after the 
reference period (b) 

Total number of redundancies (a + b) 

Total number of eligible beneficiaries 

Total number of targeted beneficiaries 
Budget for personalised services (EUR) 
Budget for implementing EGF6 (EUR) 
Total budget (EUR) 
EGF contribution (60 %) (EUR) 

1 201 

1 851 

1 851 

1 201 
8 030 750 
334 614 
8 365 364 
5 019 218 

ASSESSMENT OF THE APPLICATION 

Procedure 

4. 

2020, 

submitted 

22  December 

the  Netherlands 

application 
On 
EGF/2020/004 NL/KLM, i.e. within 12 weeks of the date on which the intervention 
criteria  set  out  in  Article 4  of  the  EGF  Regulation  were  met.  The  Commission 
acknowledged receipt of the application on the same date, and requested additional 
information  from  the  Netherlands  on  5  January  2021.  Such  additional  information 
was  provided  within  six  weeks  of  the  request.  The  deadline  of  12  weeks  of  the 
receipt of the complete application within which the Commission should finalise its 
assessment  of  the  application's  compliance  with  the  conditions  for  providing  a 
financial contribution expires on 11 May 2021. 

Eligibility of the application 

Enterprises and beneficiaries concerned 

5. 

The  application  relates  to  1 851  workers  made  redundant  in  KLM  Royal  Dutch 
Airlines. This enterprise operates in the economic sector classified under the NACE 
Revision 2 Division 51 (Air transport). The redundancies made by KLM occurred in 
the NUTS level 2 Province of Noord-Holland (NL32). 

Intervention criteria 

6. 

7. 

8. 

The  Netherlands  submitted  the  application  under  the  intervention  criteria  of 
Article 4(1)(a)  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. 

The reference period of four months for the application runs from 15 August 2020 to 
15 December 2020. 

There were 650 workers made redundant in KLM during the reference period. 

Calculation of redundancies and of cessation of activity 

9. 

All redundancies during the reference period have been calculated from the date of 
the employer's individual notice to lay off or to terminate the contract of employment 
of the worker. 

6 

In accordance with Article 7(4) of Regulation (EU) No 1309/2013. 

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Eligible beneficiaries 

10. 

In addition to the workers already referred to, the eligible beneficiaries include 1 201 
workers made redundant before or after the reference period of four months. These 
workers  were  all  made  redundant  after  the  general  announcement  of  the  projected 
redundancies on 21 May 2020. A clear causal link can be established with the event 
which triggered the redundancies during the reference period. 

11. 

The total number of eligible beneficiaries is therefore 1 851. 

Link between the redundancies and a global financial and economic crisis 

12. 

13. 

14. 

15. 

7 
8 

9 

10 

On  11  March  2020,  the  World  Health  Organisation  (WHO)  declared  COVID-19  a 
global pandemic. On 27 May 2020, in its communication ‘The European Union (EU) 
budget powering the recovery plan for Europe’7, the European Commission declared 
that the health crisis  resulted in  an economic crisis,  and set  out a recovery plan for 
the economy. This included the EGF as an emergency tool to assist persons who lost 
their jobs due to the global economic crisis. 

The  pandemic  caused  the  deepest  recession  in  EU  history.  According  to  the 
‘Commission’s Winter 2021 European Economic Forecast’8, EU GDP contracted by 
6,3 % in 2020, and projected to rebound by 3,7 % in 2021 and by 3,9 % in 2022. 

The COVID-19 pandemic has had a significant impact on the aviation industry due 
to  travel  restrictions  and  a  dramatic  decline  in  passenger  air  transport.  The  drop  in 
passenger  numbers  massively  reduced  the  revenues  of  airlines  and  forced  many  of 
them  to  lay  off  employees  or  declare  insolvency.  In  April  2020,  international 
passenger  traffic  dropped  by  98,9 %  compared  to  April  2019  and  64 %  of  global 
aircraft was put into storage, representing the largest contraction in aviation history9. 

In June 2020, passenger demand improved slightly, but remained significantly below 
pre-crisis levels. Total demand (measured in revenue passenger kilometres or RPKs) 
shrank by 86,5 % compared to June 201910. 

Forecast 

2021  Economic 

COM(2020) 442 final. 
Winter 
performance-and-forecasts/economic-forecasts/winter-2021-economic-forecast-challenging-winter-
light-end-tunnel_en  
ATAG. 2020 Aviation Benefits Beyond Borders Report: 
https://aviationbenefits.org/media/167186/abbb2020_full.pdf  
IATA: Air Passenger Market Analysis June 2020: https://www.iata.org/en/iata-
repository/publications/economic-reports/air-passenger-monthly-analysis---june-20202/  

https://ec.europa.eu/info/business-economy-euro/economic-

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Industry-wide revenue passenger kilometres - RPKs (billion per month) 

Air passenger volumes11 

  Actual 

Seasonally adjusted 

16. 

17. 

18. 

Overall,  international  passenger  demand  fell  by  75,6 %  in  2020  compared  to  2019 
levels. The capacity (measured in available seat kilometres) declined by 68,1 % and 
the  passenger  load  factor  (which  measures  the  percentage  of  available  seating 
capacity that is filled with passengers) fell by 19,2 percentage points to 62,8 %12.  

According  to  the  global  passenger  forecast  by  the  International  Air  Transport 
Association,  it will take  3 to  4  years for the aviation industry to  recover  to  its pre-
crisis level13. 

To  date,  the  air  transport  sector  has  been  the  subject  of  three  applications  for  EGF 
support, all based on trade related globalisation14. 

Events giving rise to the redundancies and cessation of activity 

19. 

20. 

21. 

11 
12 
13 
14 

15 

16 

The  events  giving  rise  to  these  redundancies  are  a  result  of  the  unexpected  global 
economic crisis caused by the COVID-19 pandemic. 

The Netherlands reports that KLM has been hit hard by the impact of the COVID-19 
pandemic.  Before  the  pandemic,  the  financial  performance  of  KLM  increased 
steadily between 2015 and 2019. In 2015, KLM registered a revenue of EUR 9 905 
million,  whereas  by  2019  this  had increased  to  EUR 11 075  million.  The  net  profit 
for  the  financial  year  2019  amounted  to  EUR 449  million  compared  to  EUR 54 
million for 201515. 

However,  the  crisis  has  undermined  KLM’s  good  results  of  recent  years.  In  mid-
March 2020, KLM operations have largely come to a standstill while their operating 
costs have remained at the same level16. 

Ibid. 
IATA : https://www.iata.org/en/pressroom/pr/2021-02-03-02/  
IATA:  https://www.iata.org/en/pressroom/pr/2020-07-28-02/  
EGF/2017/009  FR/Air  France,  COM(2018)  230;  EGF/2013/014  FR  Air  France,  COM(2014) 701  and 
EGF/2015/004 IT Alitalia, COM(2015) 397. 
KLM  annual  report  2019:  https://www.klm.com/travel/nl_nl/images/KLM-Jaarverslag-2019_tcm541-
1063986.pdf  
Letter of 24 April 2020 to the House of Representatives from Minister of Finance Wopke Hoekstra and 
Minister of Infrastructure and Water Management Cora van Nieuwenhuizen on possible support 

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22. 

23. 

24. 

25. 

KLM carried 11,2 million passengers in 2020, a massive drop of 68 % compared to 
the  year  before.  The  passenger  load  factor  fell  to  52,2 %  compared  to  89,4 %  in 
201917. 

In 2020, KLM’s revenues fell by 53,8 % to EUR 5 120 million, compared to a year 
before.  Due  to  the  sharp  drop  in  revenues,  KLM  accumulated  an  operating  loss  of 
EUR 1 154 million in 2020, compared to a profit of EUR 714 million in 201918. 

On  31  July  2020,  KLM  management  announced  a  restructuring  plan  in  order  to 
reduce  costs.  This  led  to  the  workforce  being  reduced  by  around  5 000  full-time 
equivalents (from 33 000 to 28 000 full-time equivalents)19. 

KLM  management  forecasts  a  return  to  pre-crisis  flight  movements  by  2024.  The 
degree and speed of the recovery  will depend on a number of factors including the 
development of the virus, economic recovery and customer travel behaviour20. 

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

26. 

27. 

28. 

29. 

30. 

17 
18 
19 
20 

21 

22 

23 

24 

The redundancies in KLM have a serious impact on the national economy. KLM is 
the Netherlands' second-largest private employer with over 33 000 employees21. 

KLM  operates  from  Amsterdam  Airport  Schiphol  and  has  its  headquarters  in 
Amstelveen,  meaning  that  many  KLM  employees  live  in  the  Province  of  Noord-
Holland. 

The  unemployment  rate  in  Noord-Holland  increased  by  1,5  percentage  points  to 
4,8 % in the fourth quarter of 2020 compared to the same quarter of 2019. Compared 
to  the  neighbouring  provinces,  Noord-Holland  had  the  highest  unemployment  rate 
compared with 4,2 % in Flevoland and 4,5 % in South-Holland22. 

The Netherlands argues that Greater Amsterdam (a sub-region of the Noord-Holland 
Province)  is  among  the  regions  most  affected  by  redundancies.  This  is  because  the 
economic crisis hit hardest the sectors that are heavily concentrated in this area, such 
as aviation, hospitality, culture, sports and recreation23. 

According to data collected in June 2020 by the Dutch Employee Insurance Agency 
(UWV),  34 %  of  employees  in  the  Greater-Amsterdam  sub-region  work  in  sectors 
which  experienced  a  large  or  very  large  reduction  in  employment,  while  the 
nationwide figure was around 32 %24. 

measures for Air France-KLM: https://www.government.nl/documents/parliamentary-
documents/2020/04/24/letter-on-possible-support-measures-for-air-france-klm  
https://www.airfranceklm.com/sites/default/files/q4_2020_press_release_en_final.pdf  
https://www.airfranceklm.com/sites/default/files/q4_2020_press_release_en_final.pdf  
KLM newsroom: https://news.klm.com/klm-adapts-organisation-further-due-to-covid-19-crisis/  
Aviation24: https://www.aviation24.be/airlines/air-france-klm-group/klm-royal-dutch-airlines/cuts-
staff-to-cope-with-coronavirus-pandemic/  
KLM  annual  report  2019:  https://www.klm.com/travel/nl_nl/images/KLM-Jaarverslag-2019_tcm541-
1063986.pdf  
Statistics Netherlands (CBS): 
https://opendata.cbs.nl/statline/#/CBS/nl/dataset/83523NED/table?dl=4B4E7  
The Dutch Employee Insurance Agency (UWV) report: https://www.uwv.nl/overuwv/Images/regionale-
verschillen-impact-corona-werkgelegenheid.pdf  
Ibid. 

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Targeted beneficiaries and proposed actions 

Targeted beneficiaries 

31. 

Out  of  the  1 851  eligible  persons,  the  estimated  number  of  redundant  workers 
expected to participate in EGF measures is 1 201. The breakdown of these redundant 
workers by sex, citizenship and age group is as follows: 

Sex: 

Category 

Men: 

Women: 

Number of  
targeted beneficiaries 

933  (77,69 %) 

268  (22,31 %) 

Citizenship:  EU citizens: 

1 180  (98,25 %) 

non-EU citizens: 

Age group: 

15-24 years: 

25-29 years: 

30-54 years: 

55-64 years: 

over 64 years: 

21 

35 

92 

(1,75 %) 

(2,91 %) 

(7,66 %) 

697  (58,04 %) 

353  (29,39 %) 

24 

(2,00 %) 

Eligibility of the proposed actions 

32. 

The  personalised  services  to  be  provided  to  redundant  workers  consist  of  the 
following actions:  

– 

– 

– 

– 

Professional  orientation.  During  this  phase  the  participants  will  receive 
information about the support process, orientation and job search assistance. It 
also  includes  individual  self-confidence  coaching  to  help  workers  to  move  to 
new jobs. 

Support  to  find  work  in  dedicated  sectors.  This  measure  will  provide 
professional  assistance  to  move  to  sectors  with  labour  shortages,  such  as 
education, healthcare, logistics, technologies and information management. For 
instance,  people  with  a  technical  background  (i.e.  KLM  engineering  and 
maintenance)  could  be  reskilled,  enabling  them  to  take  a  job  in  a  technology 
related sector. 

Training,  coaching  and/or  education.  This  will  include  measures  to  develop 
skills needed in a new field of employment. 

Financial  advice.  This  measure  will  provide  individual  assessment  and 
financial advice to ensure that an affected employee has a clear view on his/her 
financial  situation  and  the  outlook  to  make  the  right  decision.  In  this 
assessment,  the  financial  service  expert  will  take  into  account  personal 
circumstances,  how  a  change  in  job  affects  income,  housing  situation  (i.e. 
ability to fulfil mortgage obligations, rental fees, effect of possible relocation), 
and the effects of specific measures from collective labour agreements and of 
changing national fiscal regulations. 

33. 

The  proposed  actions,  here  described,  constitute  active  labour  market  measures 
within the eligible actions set out in Article 7 of the EGF Regulation. These actions 
do not substitute passive social protection measures. 

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34. 

The Netherlands has provided the required information on actions that are mandatory 
for  the  enterprise  concerned  by  virtue  of  national  law  or  pursuant  to  collective 
agreements. They have confirmed that a financial contribution from the EGF will not 
replace such actions. 

Estimated budget 

35. 

The  estimated 
personalised  services  of  EUR 8 030 750  and  expenditure 
management, 
EUR 334 614. 

total  costs  are  EUR 8 365 364,  comprising  expenditure  for 
for  preparatory, 
information  and  publicity,  control  and  reporting  activities  of 

36. 

The total financial contribution requested from the EGF is EUR 5 019 218 (60 % of 
total costs). 

Actions 

Estimated 
number of 
participants 

Estimated cost 
per participant 
(EUR) 

Estimated total 
costs 
(EUR)  

Personalised services (Actions under Article 7(1)(a) and (c) of the EGF Regulation) 

Professional orientation 

Support to find work in dedicated sectors 

901 

300 

3 750 

3 378 750 

5 000 

1 500 000 

Training, coaching and/or education 

1 201 

2 000 

2 402 000 

Financial advice 

600 

1 250 

750 000 

Sub-total (a): 
Percentage of the package of personalised 
services  

– 

8 030 750 

(100 %) 

Allowances and incentives (Actions under Article 7(1)(b) of the EGF Regulation) 

0 

0 

Sub-total (b): 
Percentage of the package of personalised 
services: 

 Actions under Article 7(4) of the EGF Regulation 

1. Preparatory activities 

2. Management 

3. Information and publicity 

4. Control and reporting 

– 

– 

– 

– 

– 

0 

0 

(0 %) 

0 

83 654 

83 654 

167 306 

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Sub-total (c): 
Percentage of the total costs : 

Total costs (a + b + c): 

EGF contribution (60 % of total costs) 

Period of eligibility of expenditure 

– 

– 

– 

334 614 

(4 %) 

8 365 364 

5 019 218 

37. 

38. 

The  Netherlands  started  providing  the  personalised  services  to  the  targeted 
beneficiaries  on  1  February  2021.  The  expenditure  on  the  actions  will  therefore  be 
eligible  for  a  financial  contribution  from  the  EGF  from  1  February  2021  to  1 
February 2023. 

The  Netherlands  started  incurring  the  administrative  expenditure  to  implement  the 
EGF on 1 February 2021. The expenditure for preparatory, management, information 
and  publicity,  control  and  reporting  activities  shall  therefore  be  eligible  for  a 
financial contribution from the EGF from 1 February 2021 to 1 August 2023.  

Complementarity with actions funded by national or Union funds 

39. 

40. 

The source of national pre-financing or co-funding is KLM. 

The  Netherlands  has  confirmed  that  the  measures  described  above  receiving  a 
financial contribution from the EGF will not also receive financial contributions from 
other European Union financial instruments25. 

Procedures  for  consulting  the  targeted  beneficiaries  or  their  representatives  or  the  social 
partners as well as local and regional authorities 

41. 

42. 

The Netherlands has indicated that the co-ordinated package of personalised services 
has been put together in consultation with stakeholders and social partners. A works 
council was set up to ensure that these services are coordinated.  

The  preparation  activities  included  meetings  with  the  works  council  and  the  trade 
unions,  namely  Christelijk  Nationaal  Vakverbond  (CNV),  De  Unie,  Nederlandse 
Vereniging  voor  Luchtvaart  (NVLT),  Vereniging  Nederlands  Cabinepersoneel 
(VNC),  Vereniging  van  KLM  Professionals  (VKP),  and  Federatie  Nederlandse 
Vakbeweging (FNV). 

Management and control systems 

43. 

The application contains a description of the management and control system which 
specifies the responsibilities of the bodies involved. The Netherlands has notified the 
Commission  that  the  financial  contribution  will  be  managed  and  controlled  by  the 
same  bodies  involved  in  managing  the  European  Social  Fund.  Management  and 
control  tasks  are  performed  by  the  Implementation  of  Policy  part  of  the  Service, 
Collaboration and Implementation department (SZV; Ministry of Social Affairs and 
Employment). 

44. 

Regarding  the  role  of  the  certifying  authority,  this  is  taken  up  by  the  Netherlands 
Enterprise  Agency  (RVO),  which  operates  under  the  Ministry  of  Economic  Affairs 

25 

EN 

On 13 July 2020, the European Commission has approved, under EU State aid rules, a EUR 3.4 billion 
Dutch State aid measure consisting of a State guarantee on loans and a subordinated State loan to KLM 
to  provide  urgent 
the  coronavirus  outbreak. 
to 
https://ec.europa.eu/commission/presscorner/detail/en/ip_20_1333  

the  context  of 

the  company 

liquidity 

in 

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and  Climate  Policy.  Regarding  auditing,  the  responsible  body  is  the  Central 
Government Audit Service of the Ministry of Finance.  

Commitments provided by the Member State concerned 

45. 

The Netherlands has provided all necessary assurances regarding the following:  

– 

– 

– 

– 

– 

– 

the principles of equality of treatment and non-discrimination will be respected 
in the access to the proposed actions and their implementation, 

the  requirements  laid  down  in  national  and  EU  legislation  concerning 
collective redundancies have been complied with, 

KLM,  which  has  continued  its  activities  after  the  lay-offs,  has  complied  with 
its  legal  obligations  governing  the  redundancies  and  provided  for  its  workers 
accordingly, 

the proposed actions will not receive financial support from other Union funds 
or financial instruments and any double financing will be prevented, 

the  proposed  actions  will  be  complementary  with  actions  funded  by  the 
Structural Funds, 

the  financial  contribution  from  the  EGF  will  comply  with  the  procedural  and 
material Union rules on State aid. 

BUDGETARY IMPLICATION 

Budgetary proposal 

46. 

47. 

48. 

The  EGF  shall  not  exceed  a  maximum  annual  amount  of  EUR 186 million  (2018 
prices), as laid down in Article 8(1) of Council Regulation (EU, Euratom) 2020/2093 
of 17 December 2020 laying down the multiannual financial framework for the years 
2021-202726. 

Having examined the application in respect of the conditions set out in Article 13(1) 
of  the  EGF  Regulation,  and  having  taken  into  account  the  number  of  targeted 
beneficiaries, the proposed actions and the estimated costs, the Commission proposes 
to mobilise the EGF for the amount of EUR 5 019 218, representing 60 % of the total 
costs  of  the  proposed  actions,  in  order  to  provide  a  financial  contribution  for  the 
application. 

The  proposed  decision  to  mobilise  the  EGF  will  be  taken  jointly  by  the  European 
Parliament  and  the  Council,  as  laid  down  in  point  9  of  the  Interinstitutional 
Agreement of 16 December 2020 between the European Parliament, the Council of 
the  European  Union  and  the  European  Commission  on  budgetary  discipline,  on 
cooperation in budgetary matters and on sound financial management, as well as on 
new  own  resources,  including  a  roadmap  towards  the  introduction  of  new  own 
resources27. 

Related acts 

49. 

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 5 019 218. 

26 
27 

OJ L 433I, 22.12.2020, p. 15. 
OJ L 433I, 22.12.2020, p. 29. 

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50. 

At the same time as it adopts this proposal  for a  decision to  mobilise the EGF, the 
Commission  will  adopt  a  decision  on  a  financial  contribution,  by  means  of  an 
implementing  act,  which  will  enter  into  force  on  the  date  at  which  the  European 
Parliament and the Council adopt the proposed decision to mobilise the EGF. 

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2021/0115 (BUD) 

Proposal for a 

DECISION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL 

on the mobilisation of the European Globalisation Adjustment Fund following an 
application from the Netherlands – EGF/2020/004 NL/KLM 

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) No 1927/200628, and in particular Article 15(4) thereof, 

Having  regard  to  the  Interinstitutional  Agreement  of  16  December  2020  between  the 
European Parliament, the Council of the European Union and the European Commission on 
budgetary  discipline,  on  cooperation  in  budgetary  matters  and  on  sound  financial 
management, as well as on new own resources, including a roadmap towards the introduction 
of new own resources29, and in particular point 9 thereof, 

Having regard to the proposal from the European Commission, 

Whereas: 

(1) 

(2) 

(3) 

(4) 

(5) 

28 
29 
30 

The  European  Globalisation  Adjustment  Fund  (EGF)  aims  to  provide  support  for 
workers  made  redundant  and  self-employed  persons  whose  activity  has  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 186  million  (2018 
prices), 
(EU, 
as 
Euratom) 2020/209330. 

of  Council  Regulation 

in  Article 8(1) 

down 

laid 

On 22 December 2020, the Netherlands submitted an application to mobilise the EGF, 
in  respect  of  redundancies  in  KLM  Royal  Dutch  Airlines  in  the  Netherlands.  It  was 
supplemented  by  additional  information  provided  in  accordance  with  Article 8(3)  of 
Regulation  (EU) No 1309/2013.  That  application complies with  the requirements for 
determining  a  financial  contribution  from  the  EGF  as  laid  down  in  Article 13  of 
Regulation (EU) No 1309/2013. 

The EGF should, therefore, be mobilised in order to provide a financial contribution of 
EUR 5 019 218 in respect of the application submitted by the Netherlands. 

In  order  to  minimise  the  time  taken  to  mobilise  the  EGF,  this  decision  should  apply 
from the date of its adoption, 

OJ L 347, 20.12.2013, p. 855. 
OJ L 433I, 22.12.2020, p. 29. 
Council  Regulation  (EU,  Euratom) 2020/2093  of  17  December  2020  laying  down  the  multiannual 
financial framework for the years 2021-2027 (OJ L 433I, 22.12.2020, p. 11). 

EN 

11 

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HAVE ADOPTED THIS DECISION:  

Article 1 

For the general budget of the Union for the financial year 2021, the European Globalisation 
Adjustment Fund shall be mobilised to provide the amount of EUR 5 019 218 in commitment 
and payment appropriations. 

Article 2 

This Decision shall enter into force on the day of its publication in the Official Journal of the 
European Union. It shall apply from [the date of its adoption]. 

Done at Brussels, 

For the European Parliament 
The President 

For the Council 
The President 

  

Date to be inserted by the Parliament before the publication in OJ. 

EN 

12 

  EN