CELEX: 51988PC0455
Language: en
Date: 1988-08-08
Title: Amendment to the Proposal for a COUNCIL REGULATION (EEC) instituting a specific Community programme of accompanying social measures to assist workers in the shipbuilding industry who are made redundant or threatened with redundancy (presented by the Commission pursuant to the third paragraph of Article 149 of the EEC Treaty)

ARCHIVES HISTORIQUES
DE LA COMMISSION
COLLECTION RELIEE DES
DOCUMENTS "COM"
COM (88) 455
Vol. 1988/0164
 ---pagebreak--- Disclaimer
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 ---pagebreak---      COMMISSION OF THE EUROPEAN COMMUNITIES
                                               COM(88 ) 455 final
                                               Brussels , 8 August 1988
                                  Amendment to the
                                   Proposal for a
                             COUNCIL REGULATION ( EEC )
       instituting a specific Community programme of accompanying social
       measures to assist workers in the shipbuilding industry who are
                   made redundant or threatened with redundancy
          ( presented by the Commission pursuant to the third paragraph
                         of Article 149 of the EEC Treaty )
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 ---pagebreak---                                 Explanatory Memorandum
Subject ;   Amendment to the proposal for a Council Regulation ( EEC ) instituting
            a specific Community programme of accompanying social measures to
            assist workers in the shipbuilding industry who are made redundant
            or threatened with redundancy .
REF ;   COM ( 87 ) 275 final of 20 July 1987 .
        Report by Mr Chanterie ( PE A2-26/88 ) adopted by the European Parliament
        on 16 June 1988 .
This modified proposal incorporates the amendments accepted by the Commission
in whole or in part at the debate on shipyards held in plenary session on 13
June 1988 .
They concern :
- the content of the programme contract ;
- eligibiity of expenditure made by the Member Stats as from 1 January 1987
  ( date of entry into force of the Vlth Directive on aid to shipbuilding ) for
  assistance under the Community programme ;
- the replacement of the tiding-over allowance ( former article 4 ( 6)) by a
  retraining allowance in the context of a new eligible measure designed to
  promote the retraining of redundant workers registered as unemployed who
  need to acquire new skills offering substantial prospects of employment by
  means of operations which have a minimum duration of 400 hours under a
  programme not qualifying for assistance from the European Social Fund;
- simplification of the wording of the proposal :       Article 2 concerns the aims
  oF the programme and the programme contract ;        Article 3 concerns eligible
  measures; Article 4 concerns eligible expenditures .
The proposal thus amended is submitted by the Commission pursuant to Article
149 ( 3 ) of the EEC Treaty .
 ---pagebreak---                                   Amended proposai for a
                                    COUNCIL REGULATION
             instituting a specific Community programme of accompanying
           social measures to assist workers in the shipbuilding industry
                who are made redundant or threatened with redundancy .
                         ( Submitted by the Commission pursuant
                         to Article 149 ( 3 ) of the EEC Treaty)
               FORMER TEXT                                     AMENDED TEXT
                                    Preambule unchanged
                              1st to 6th recitals unchanged
                                        7th recital
                                                  Amend as follows :
Whereas when adopting the said                    Whereas when adopting the said
Directive , the Council has also                  Directive , the Council has also
acknowledged        that     additional           acknowledged      that     additional
measures should be adopted in                     measures should be adopted in
order to alleviate the social and                 order to alleviate the social and
regional      consequences     of    the          regional     consequences    of   the
restructuring of the shipbuilding                 restructuring of the shipbuilding
sector ;      for this purpose, the               sector ;     for this purpose , the
Commission     has  submitted    to  the          Commission    has  submitted   to the
Council        and     the      European          Council       and    the     European
Parliament a      communication on the            Parliament    two  communications  on
industrial , social arui regional
aspects of shipbuilding ;
                                                  the     industrial ,
                                                  regional aspects of
                                                                           social   agd
                                                                         shipbuilding ;
                             8th and 9th recitals unchanged
                                       10th recital
                                                  Amend as follows :
Whereas , however , the provisions                Whereas , however , the provisions
relating to assistance from the                   relating to assistance from the
European Social        Fund and the               European Social Fund and the
European Regional Development Fund                European Regional Development Fund
respond only in part to the
                                                  5 ) C0M(86)553 final of 15.10.1986,
5 ) COM ( 86)553 final of 15 October                  and C0M(87)275 final of 20 July
    1986 .                                            1987 .
 ---pagebreak---                                               - 2 -
specific problems of workers made                     respond only in part to the
redundant     or      threatened       with          specific problems of workers made
redundancy in the shipbuilding                       redundant     or    threatened    with
industry ; whereas the range of                      redundancy in the shipbuilding
measures qualifying for assistance                   industry ; whereas assistance from
from the European Social Fund                        the    European    Social    Fund  for
which   could     be    used    to   assist          workers of over 25 years of age
workers affected by restructuring                    who are affected by a restruc-
is limited in particular by the                      turing process is granted only in
terms of Article 1 of Regulation                     respect    of   vocational training
( EEC ) No 2950 / 83 ;       whereas the             measures ;    whereas the workers
operations backed by the European                    affected by the restructuring of
Regional Development Fund which ,                    traditional in dustries experience
mainly through software measures                     particular difficulties in moving
to assist   small and        medium-sized            to available or newly created jobs
enterprises ,       are     designed      to         and responding to changes Tn the
create   an  environment        favourable           demand for labour ;       whereas the
to the development of new economic                   adoption     of    new    accompanying
activities , are limited to certain                  social     measures    of    potential
geographical        areas ;        whereas ,         direct and immediate advantage to
moreover, the workers affected by                    shipbuilding workers made redun¬
the restructuring of traditional                     dant or threatened with redundancy
industries have difficulty in                        in the European Community is
moving to available jobs and in                      therefore the most appropriate way
responding to changes in the                         of reacting to the urgent and
demand of labour;            whereas the             serious nature of this particular
adoption    of       new     accompanying            problem of the labour market
social measures of            direct    and          pending the implementation of the
immediate       benefit          to     all          reform of the structural Funds ;
shipbuilding           workers         made
redundant     or      threatened       with
redundancy       in      the       European
Community is the most appropriate
way of solving this specific
problem of the labour market ;
                               11th to 13th recitals unchanged
                                       Article 1 unchanged
                                        Articles 2 and 3
                                                     New article 2
                                                     Amend as folTows :
               Article 2                                            Article 2
1 . The Community programme shall                    1 . The Community programme shall
    encourage the absorption into                        encourage the absorption into
    economic life , socio-occupatio-                     economic life of workers made
    nal integration and geogra ¬                         redundant or threatened with
    phical mobility of workers made                      redundancy , as well as faci ¬
    redundant    or    threatened      with              litate    permanent     retirement
    redundancy , as well as facili ¬                     from working life of elderly
    tate the transition to perma ¬                       workers who , from the point of
    nent retirement from working                         view of their national legis-
    life of elderly workers who,
    from the point of view of their
                                                                                            7
 ---pagebreak---                                          - 3 -
    national legislation, are no                    lation , are no longer consi ¬
    longer considered as being in                   dered as being in search of
    search of employment .                          employment .
2 . The Community programme is                  2 . The duration of the Community
    intended to assist shipbuilding                 programme shall be three years
    workers    made    redundant    or              as from 1st January 1988 .
    threatened with redundancy with
    effect from 1st January 1987 .              3 . Assistance under the Community
                                                    programme shall be granted for
3 . The duration of the Community                   measures which form part of a
    programme shall be three years                  programme which is defined at
    as form 1 Janaury 1988 .                        national level and is intended
                                                    to promote employment .
               Article 3                        4 . The implementation of the pro¬
                                                    gramme shall be the subject of
1 . Assistance under the Community                  a programme contract between
    programme shall be granted for                  the Commission    and the   Member
    measures which form part of a                   State concerned , the content of
    programme which is defined at                   which is set out    in the Annex
    national level , is designed for                hereto .
    the categories of workers ,
    economic branch ,      groups of            5 . The   Member   States    shall  be
    undertakings or geographical                    responsible for ensuring       the
    areas concerned and is intended                 proper implementation of       the
    to remedy the causes of the                     measures .
    imbalances affecting employment
    and encourage social cohesion .
2 . The implementation of the pro¬
    gramme shall be the subject of
    a programme contract between
    the Commission and     the Member
    State concerned .
3 . The  Member    States   shall   be
    responsible for ensuring       the
    proper implementation of       the
    measures .
                                  Articles 4,5 and 6
                                                New article 3
                                                Amend as folTows :
               Article 4                                       Article 3
1 . Assistance under the Community              Assistance under the Community
    programme may be granted for                programme may be granted for
    measures    to    encourage    the          measures which are designed to :
    absorption of workers into
    economic life and their socio-              1 . promote the      recruitment by
    occupational integration which                  firms , particularly small and
    are designed to promote the                     medium-sized undertakings and
    recruitment by firms , particu¬                 local employment initiatives ,
    larly small and medium-sized                    of  workers   made   redundant  or
 ---pagebreak---                                              - 4 -
    undertakings           and        local            threatened with       redundancy on
    employment       initiatives ,.       of           condition       that     their      new
    workers      made     redundant       or           employment      contract    is   of   a
    threatened with        redundancy on               duration of not       less than one
    condition       that      their      new           year ;
    employment     contract      is   of   a
    duration of not        less   than one         2 . maintain     the    same    level    of
    year .                                             earnings by compensating for
                                                       the wage difference between the
2 . Assistance under the Community                     old and new jobs of newly
    programme may be granted for                       recruited workers on condition
    measures      to     encourage       the           that      the     new      employment
    absorption of          workers into                contracts of such workers are
    economic life and their socio-                     of a duration of not less than
    occupational integration which                     one year ;
    are designed to maintain their
    incomes by compensating for any                3 . help workers made redundant or
    wage difference between the old                    threatened with redundancy to
    and new jobs of newly recruited                    set up a firm or create a new
    workers    on condition       that the             self-employed activity ;
    new    employment      contracts      of
    such workers are of a duration                 4 . promote the use by workers made
    of not less than one year .                        redundant     or   threatened     with
                                                       redundancy of services offered
3 . Assistance under the Community                     directly to them by local
    programme may be granted for                       counselling bodies whose tasks
    measures      to    encourage        the           consist      mainly     in     helping
    absorption of         workers into                 workers to set up a firm ,
    economic life and their socio-                     create self-employed activities
    occupational integration which                     or take part in a local
    are designed to help workers                       employment initiative ;
    made    redundant     or    threatened
    with    redundancy     to   set   up   a       5 . promote employment of workers
    firm    or   create     a  new    self -           made redundant         in projects
    employed activity .                                fulfilling collective needs and
                                                       entailing the creation of jobs
4 . Assistance under the Community                     of  a   minimum    duration    of   one
    programme may be granted for                       year ;
    measures      to     encourage       the
    absorption of         workers into                 promote     the     retraining       of
    economic life and their socio-                     redundant   workers registered as
    occupational integration which                     unemployed who need to acquire
    are designed to promote the use                    new skills offering substantial
    by workers made redundant or                       prospects      of    employment by
    threatened with redundancy of                      means of operations which have
    services offered directly to                       a minimum duration of 400 hours
    them     by     local     counselling              under a programme not quali-
    bodies     whose     tasks      consist            fying for• assistance from the
    mainly in helping workers to                       European Social Fund ;
    set     up    a     firm ,       create
    self-employed        activities       or           encourage       geographical        and
    take part in a local employment                    vocational mobility of workers
    initiative .                                       who    are    made    redundant      or
                                                       threatened with redundancy and
5 . Assistance under the Community                     are obliged to change their
    programme may be granted for                       place of residence to take up a
    measures      to     encourage       the           new job or take part in a
    absorption of         workers into                 training course faci litating
    economic    life   and their socio-                employment in a stable job ;
    occupational integration which
                                                                                    6
 ---pagebreak---                                               - 5 -
    are designed to promote employ¬                   8 . facilitate permanent retirement
    ment in projects fulfilling                           from working life of elderly
    collective needs and entailing                        workers who are made redundant
    the creation of jobs of a                             and , from the point of view of
    minimum duration of one year .                        their national legislation , are
                                                          no longer considered as being
6 . Assistance under the Community                        in search of employment .
    programme may be granted for
    measures       to     encourage      the
    absorption       of     workers     into
    economic life and their socio-
    occupational integration which
    are designed to maintain, for a
    maximum       period       of     twelve
    months ,      the same level of
    earnings for workers who have
    lost their job and are awaiting
    training or a new job .
                 Article 5
Assistance      under      the    Community
programme      may     be    granted     for
measures        to       encourage       the
geographical mobility intended to
facilitate the movement of workers
who      are    made       redundant      or
threatened with redundancy and are
obliged to change their place of
residence to take up a new job or
take part in a training course as
well     as   of    members       of   their
f ami ly .
                 Article 6
Assistance under the Community
programme may be granted for
measures       to       facilitate       the
transition       to permanent retire¬
ment from working life of elderly
workers     who    are    made     redundant
and, from the point of view of
their national legislation, are no
longer considered as being in
search of employment .
                                         Articles 7 to 14
                                                      New article 4
                                                      Amend as folTows :
 ---pagebreak---                                            - 6 -
                Artide 7                                          Article 4
1 . In  the   case    of   the   measures        1 . In   the    case   of   the    measure
    defined in Article 4 ( 1 ), only                 defined in Article 3 ( 1 ),       only
    expenditure intended to cover                    expenditure intended to cover
    the granting of recruitment aid                  the granting of recruitment aid
    for a period of not more than                    for a period of not more than
    twelve months per person shall                   twelve months per person shall
    qualify for assistance under                     qualify for assistance under
    the Community programme .                        the Community programme .
2 . Assistance under the Community               2 . In   the    case   of   the    measure
    programme may be granted at a                    defined in Article 3 ( 2 ), only
    rate of 15% of the average                       expenditure intended to cover,
    gross    wage      of      industrial            for a period of not more than
    workers in      the Member State                 twelve months per person , the
    concerned .      The    amounts     of           granting of an income allowance
    assistance to be granted per                     designed to ensure the same
    person and per unit of time ,                    level     of     earnings ,      sha l l
    for each Member State , shall be                 qualify for assistance under
    as determined by the Commission                  the Community programme .
    in the decision for the year in
    question taken in accordance                 3 . In   the    case   of   the   measure
    with Article 2 ( 2 ) of Regu­                    defined in Article 3 ( 3 ) only
    lation ( EEC ) No 2950 / 83 .                    expenditure intended to cover ,
                                                     for a period of not more than
                                                     twelve months per person , the
               Article 8                             administrative costs        linked to
                                                     the setting up of a firm and
1 . In  the   case    of   the   measures            the   creation     of  a   new   self -
    defined in Article 4 ( 2 ), only                 employed activity as well as
    expenditure intended to cover                    rental costs but excluding
    the granting of an income                        other operating costs shall
    maintenance     allowance      for   a           qualify for assistance under
    period of not more that twelve                   the Community programme .
    months per person shall qualify
    for    assistance        under     the       4.    In   the   case   of   the  measure
    Community programme .                            defined in Article 3 ( 4 ), only
                                                     expenditure intended to cover,
2 . Within the meaning of this                       for a period of not more than
    Article, " income maintenance"                   twelve months per person , the
    shall   be    understood      as   the           cost     of    services      supplied
    maintenance of the gross wage                    directly to workers by counsel ¬
    and any payments necessary in                    ling bodies shall qualify for
    order to retain any connected                    assistance under the Community
    statutory      and     non-statutory             programme .
    entitlements enjoyed by the
    worker in question for a normal              5 . In   the    case   of   the   measure
    wage period in his former job .                  defined in Article 3 ( 5 ), only
                                                     expenditure intended to cover,
3 . Assistance under the Community                   for a period of not more than
    programme shall be granted at a                  twelve months per person , the
    rate of 15% of the average                       granting of recruitment aid for
    gross    wage       of     industrial            projects aimed at the creation
    workers in      the Member State                 of jobs and fulfilling collec ¬
    concerned .      The    amounts     of           tive needs shall qualify for
    assistance to be granted per                     assistance under the Community
    person and per unit of time ,                    programme ; the said jobs must
    for each Member State , shall be                 be stable or likely to provide
    as determined by the Commission                  additional training or expe-
                                                                                              %
 ---pagebreak---                                              - 7
    in the decision for the year in                  rience    with      a    vocational
    question taken in accordance                     content giving access to the
    with      Article        2     (2)    of         labour market and facilitating
    Regulation ( EEC ) No 2950/ 83 .                 employment in a stable job .
                                                 6 . In  the   case    of   the   measure
                 Article 9                           defined in Article 3 ( 6 ), only
                                                     expenditure intended to cover,
In    the    case     of    the    measures          for a maximum period of twelve
defined in Article 4 ( 3), only                      months     per      person ,      the
expenditure intended to cover, for                   granting     of     a    retraining
a period of not more than twelve                     allowance designed to ensure
months        per        person ,        the         the same level of earnings for
administrative costs linked to the                   redundant workers registered
setting up of          a   firm     and the          with an official employment
creation of       a new self-employed                office and calculated on the
activity as well as rental costs                     basis of the difference between
but excluding other operating                        unemployment benefit and the
costs shall qualify for assistance                   former level of earnings , shall
under the Community programme .                      be eligible for assistance
                                                     under the Community programme .
                Article 10                       7 . In  the   case    of   the   measure
                                                     defined in Article 3 ( 7 ), only
In    the    case     of    the     measures         expenditure intended to cover
defined in Article 4 ( 4 ), only                     the granting of a mobility
expenditure intended to cover , for                  premium     intended     to    cover
a period of not more than twelve                     travel    expenses ,       including
months per person , the cost of                      those    of     dependents ,      and
services supplied directly to                        removal     expenses     shall     be
workers by counselling bodies                        eligible for assistance under
shall qualify for assistance under                   the Community programme on
the Community programme .                            condition     that     the    worker
                                                     concerned can furnish proof of
                                                     his     new       employment       or
                Article 11                           participation in a training
                                                     course facilitating employment
1 . In   the    case   of    the    measures         in a stable job and Fas made
    defined in Article 4 ( 5 ), only                 appli cation      within      twelve
    expenditure intended to cover ,                  months following the date of
    for a period of not more than                    his redundancy or the end of
    twelve months per person, the                    his employment        contract in
    granting of recruitment aid for                  shipbui Iding .
    projects aimed at the creation
    of     jobs        and       fulfilling      8 . In  the   case    of   the   measure
    collective needs shall qualify                   defined in Article 3 ( 8 ), only
    for     assistance         under     the         expenditure intended to cover
    Community programme ; the said                   the granting of an allowance
    jobs must be stable or likely                    for the permanent retirement
    to provide additional training                   from working life of elderly
    or experience with a vocational                  redundant workers who, from the
    content giving access to the                     point of view of their national
    labour market and facilitating                   legislation, are no longer in
    employment in a stable job .                     search of employment , regard¬
                                                     less of whether they have
2 . Assistance under the Community                   entered early retirement , or
    programme shall be granted at a                  are in receipt of a ti ding-over
    rate of 15% of the average                       allowance    in   the   form   of   a
    gross      wage      of      industrial          bridging     allowance       supple-
    workers     in   the    Membeer    State
                                                                                     9
 ---pagebreak---                                              - 8 -
    concerned .       The     amounts     of           menting unemployment        benefit ,
    assistance to be granted per                       shall   qualify    for   assistance
    person and per unit of time ,                      under the Community programme .
    for each Member State , shall be
    as determined by the Commission                9 . Within the meaning of this
    in the decision for the year in                    Article ,    " the same level of
    question taken in accordance                       earnings " shall be understood
    with      Article       2      (2)    of           as the maintenance of at least
    Regulation ( EEC ) 2950 / 83 .                     80% of the gross wage plus any
                                                       payments necessary in order to
                                                       retain any connected statutory
                Article 12                             and non-statutory entitlements
                                                       enjoyed by a worker in respect
1 . In   the   case    of   the    measures            of a normal wage period in his
    defined in Article 4 ( 6 ), only                   former job .
    expenditure intended to cover,
    for a maximum period of twelve                 10 . Assistance under the Community
    months per person,                 of a            programme to the expenditures
    tiding-over allowance designed                     defined in paragraphs 1 , 2 , 5
    to   ensure    the    same    level   of           and 6 above shall be granted at
    earnings for redundant workers                     a rate of 15% of the average
    registered with an official                        gross     wage     of    industrial
    employment office and calcu¬                       workers in      the Member State
    lated    on    the    basis     of   the           concerned .       The amounts of
    difference between unemployment                    assistance to be granted per
    benefit and the former level of                    person and per unit of time ,
    earnings , shall be eligible for                   for each Member State , shall be
    assistance under the Community                     as determined by the Commission
    programme .                                        in the decision for the year in
                                                       question taking in accordance
2 . Within the meaning of this                         with Article 2 ( 2 ) of Regu­
    Article ,     " the same level of                  lation ( EEC ) No 2950 / 83 .
    earnings " shall be understood
    as  the   maintenance      of    80%  of
    the    gross      wage      plus     any
    payments necessary in order to
    retain any connected statutory
    and non-statutory entitlements
    enjoyed by a worker in respect
    of a normal wage period in his
    former job .
3 . Assistance under the Community
    programme shall be granted at a
    rate of 15% of the average
    gross      wage     of      industrial
    workers in       the Member State
    concerned .       The     amounts     of
    assistance to be granted per
    person and per unit of time ,
    for each Member State , shall be
    as determined by the Commission
    in the decision for the year in
    question taken in accordance
    with     Article        2     (2)     of
    Régulation ( EEC ) No 2950 / 83 .
 ---pagebreak---                                                - 9 -
                Article 13
In    the    case    of    the     measures
defined in Article 5 ,        only expen¬
diture     intended      to    cover    the
granting of       a mobility premium
intended to cover travel expenses ,
including those of dependents , and
removal expenses shall be eligible
for assistance under the Community
programme on condition that the
worker concerned can furnish proof
of his new employment or partici ¬
pation in a training course and
has made application for the said
allowance      within     twelve     months
following       the     date      of    his
redundancy      or the end of his
employment       contract       in    ship¬
building .
                Article 14
In    the    case    of    the     measures
defined in Article 6,         only expen¬
diture     intended     to     cover    the
granting of an allowance for the
permanent retirement from working
life of elderly redundant workers
who , from the point of view of
their national legislation, are no
longer in search of employment ,
regardless of whether they have
entered early retirement , or are
in     receipt of a tiding-over
allowance      in    the    form     of   a
bridging allowance supplementing
unemployment         benefit ,        shall
qualify for assistance under the
Community programme .
                                            Article 15
                                                       New article 5
                                                       Amend as folTows :
                Article 15                                           Article 5
1 . Assistance under the Community                     1 . Assistance under the Community
    programme       towards        eligible                programme    towards   eligible
    expenditure shall be calculated                        expenditure shall be calculated
    on the basis of an amount per                          on the basis of an amount per
    worker .                                               worker .
 ---pagebreak---                                         - 10 -
    The said amount may not exceed :               The said amount may not exceed :
    - 2 500 ECU per worker in the                  - 2 500 ECU per worker in the
       case of the measures defined                    case of the measures defined
       in Article 4;                                   in Article 3 ( 1 ) to ( 6 );
    - 1 500 ECU per worker in the                  - 1 500 ECU per worker in the
       case of the measures defined                    case   of the     measure defined
       in Article 5 >                                  in Article 3 ( 7 );
    - 5 000 ECU per worker in the                  - 5 000 ECU per worker in the
      case of the measures defined                     case of the measure         defined
       in Article 6 .                                  in Article 3 ( 8 ).
2 . Assistance under the Community             2 . Assistance under the Community
    programme      towards     eligible            programme         towards      eligible
    expenditure in respect of the                  expenditure in respect of the
    measures defined     in Article   4            measures defined in Article 3
    is limited to 2 500 ECU per                    C1 ) to ( 6 ) is limited to 2 500
    worker regardless of whether                   ECU per worker regardless of
    the worker participates in one                 whether the worker participates
    or more    measures to    encourage            in    one    or    more    measures   to
    the absorption of workers into                 encourage        the    absorption    of
    economic life and their socio-                 workers into economic life .
    occupational integration .
                                               3 . Assistance under the Community
3 . Assistance under the Community                 programme         towards      eligible
    programme      towards     eligible            expenditure in respect of the
    expenditure in respect of the                  measure     defined      in  Article   3
    measures defined     in Article   5            ( 7 ) may be     added together with
    may be added together with                     assistance       under the Community
    assistance under the Community                 programme         towards      eligible
    programme      towards     eligible            expenditure       in respect of the
    expenditure in respect of the                  measures defined         in Article    3
    measures defined in Article 4 .                ( 1 ) to ( 6 ).
4 . Assistance under the Community             4 . Assistance under the Community
    programme shall not be granted                 programme shall not be granted
    in respect of expenditure which                in respect of expenditure which
    may be classed as eligible and                 may be classed as eligible and
    priority      expenditure ,     for            priority         expenditure ,      for
    assistance from the European                   assistance from the European
    Social Fund .                                  Social Fund .
5 . Assistance under the Community             5 . Assistance under the Community
    programme to cover eligible                    programme to cover eligible
    expenditure may not exceed the                 expenditure may not exceed the
    amount of the financial contri ¬               amount        of      the     financial
    bution    made    by   the   public            contribution made by the public
    authorities of the Member State                authorities of the Member State
    concerned .                                    concerned .
6 . For the purpose of granting                6 . For the purpose of granting
    assistance under the Community                 assistance under the Community
    programme , the Commission shall               programme , the Commission shall
    give    its     consideration    to            give      its      consideration     to
    expenditure made by the Member                 expenditure made by the Member
    State within the twelve months                 State      with     effect     from    1
    preceding the date on which the                January 1987 .
    application for assistance is
    received by the Commission .
                                                                                        SU
 ---pagebreak--- Artide 16
          Article 16 becomes Article 6
          Text unchanged             ""
Artide 17
          Article 17 becomes Article 7
          Text unchanged
Artide 18
          Article 18 becomes Article 8
          Text unchanged
 ---pagebreak---  - 12 -
ANNEX
        Insert in Annex the following text
                      ANNEX
        The   programme       contract     shall
        contain an indication of at least
        the following :
        a)  Staff reduction programmes for
            1987 / 90      resulting        from
            complete or partial shutdowns
            or changed activities ,           the
            number of jobs lost since 1
            January 1987 and the shipyards
            in question,
        b)  the nature of the accompanying
            social measures that have been
            developed    or     planned ,     the
            number of workers affected and
            the time-scale,
        c)  the programme budget         with   a
            clear     indication       of     the
            different sources of national
            and Community funding ,
        d)  a description of the autho¬
            rities or bodies responsible
            for implementing the different
            parts of the programme ,
        e)  the amount of assistance from
            the Community programme ,
        f)  an annual        report on the
            progress of the programme ,
        g)  the following procedure for
            payment :    when requests for
            payment are made , supporting
            documents     for    the   payments
            including information on the
            workers benefiting from the
            payments ,      the nature and
            duration of the       schemes from
            which they have benefited and
            the amounts they have actually
            received must be submitted to
            the Commission .