CELEX: 52014PC0376
Language: en
Date: 2014-06-24
Title: 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/2014/001 EL/Nutriart)

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		52014PC0376
		
			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/2014/001 EL/Nutriart) /* COM/2014/0376 final - 2014/ () */
			
				
		
		
			
			   	EXPLANATORY MEMORANDUM
CONTEXT OF THE PROPOSAL
1.           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 1927/2006[1] (the 'EGF Regulation').
2.           The Greek authorities
submitted application EGF/2014/001 EL/Nutriart for a financial contribution
from the EGF, following redundancies in Nutriart S.A and 25 providers and downstream producers:
AR.ZIGAS & SIA and 24 self-employed people whose activity ceased and was
dependent on the primary enterprise in Greece.
3.           After an examination 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: || EGF/2014/001 EL/Nutriart 
 Member State: || Greece 
 Region(s) concerned (NUTS level 2): || Κεντρική Μακεδονία (Central Macedonia) (EL12) Aττική (Attica) (EL30) 
 Date of submission of the application: || 5 February 2014 
 Date of acknowledgement of receipt of the application: || 14 February 2014 
 Date of request for additional information: || 19 February 2014 
 Deadline of provision of the additional information: || 2 April 2014 
 Deadline for the completion of the assessment: || 25 June 2014 
 Intervention criterion: || Article 4(1)(a) of the EGF Regulation 
 Primary enterprise: || Nutriart S.A 
 Sector(s) of economic activity (NACE Rev. 2 division): || Division 10 ('Manufacture of food products')[2] 
 Number of subsidiaries, suppliers and downstream producers: || 25 
 Reference period (four months): || 16 July 2013 – 16 November 2013 
 Number of redundancies or cessations of activity during the reference period (a): || 505 
 Number of redundancies or cessations of activity before or after the reference period (b): || 3 
 Total number of redundancies (a + b): || 508 
 Total estimated number of targeted beneficiaries: || 508 
 Number of targeted young persons not in employment, education or training (NEETs): || 505 
 Expenditure for personalised services (EUR) || 9 950 000 
 Expenditure for implementing EGF[3] (EUR) || 210 000 
 Expenditure for implementing EGF (%) || 2,07 
 Total budget (EUR) || 10 160 000 
 EGF contribution (60 %) (EUR) || 6 096 000 
ASSESSMENT OF THE APPLICATION
Procedure
4.           The Greek authorities submitted
application EGF/2014/001 EL/Nutriart on 5 February 2014, within 12 weeks of the
date on which the intervention criteria set out in paragraphs 6 to 8 below were
met. The Commission acknowledged receipt of the application within two weeks of
the date of submission of the application, on 14 February 2014. The Commission requested
additional information from the Greek authorities on 19 February 2014. The Greek
authorities provided such additional information within six weeks of the date
of the request. The deadline of 12 weeks of the receipt of the complete
application within which the Commission should complete its assessment of the
application's compliance with the conditions for providing a financial
contribution expires on 25 June 2014.
Eligibility of the application
Enterprises and beneficiaries concerned
5.           The application relates to
508 workers made redundant in Nutriart S.A. ('the primary enterprise') and 25 providers and downstream producers: AR.ZIGAS & SIA and 24
self-employed people whose activity ceased and was dependent on the primary
enterprise. The primary enterprise operated in the
economic sector classified under NACE Rev. 2[4]
division 10 'Manufacture of food products'. The enterprises concerned are located in the NUTS[5] level 2 regions of Central
Macedonia (EL12) and Attica (EL30).
 Enterprises and number of dismissals 
 Nutriart S.A. || 481 3 
 AR.ZIGAS & SIA 
 Total No of enterprises: 2 || Total No of dismissals: || 484 
 Total No of self-employed persons whose activity has ceased: || 24 
 Total (workers and self-employed persons): || 508 
Intervention criteria
6.           The Greek authorities submitted
the application under the intervention criterion of Article 4(1)(a) of the
EGF Regulation, which requires at least 500 workers being made redundant or self-employed persons' activity ceasing, over
a reference period of four months, in an enterprise in a Member State,
including workers made redundant or self-employed
persons' activity ceasing in
its suppliers and downstream producers.
7.           The
reference period of four months is from 16 July 2013 to 16 November 2013.
8.           The
application relates to:
–              
478 workers made redundant[6] in the primary enterprise
during the reference period of four months;
–              
3 workers made redundant in one supplier of the
primary enterprise during the reference period of four months; and
–              
24 self-employed persons[7] whose activity has
ceased during the reference period of four months.
Calculation of redundancies and of
cessation of activity
9.           As regards the 481 workers
made redundant in the primary enterprise and in the supplier, the redundancies
have been calculated as of the date of the de facto termination of the contract
of employment or its expiry.
10.         As regards the 24 self-employed
persons, the date of cessation of the activities has been determined in
accordance with national law and it is the date of cessation in the Tax
Services. 
Eligible beneficiaries
11.         In addition to the workers and self-employed persons already referred to, the eligible beneficiaries include 3 workers
made redundant before the reference period of four months. These workers were
made redundant after the general announcement of the projected redundancies[8] on 21 June 2013. A
clear causal link can be established with the event which triggered the
redundancies during the reference period.
12.         The total number of
eligible beneficiaries is 508.
Link between the redundancies and the global financial and economic crisis addressed in Regulation
(EC) No 546/2009
13.         In order to establish the
link between the redundancies and cessations of activity and the global
financial and economic crisis addressed in Regulation (EC) No 546/2009, Greece argues that the Greek economy is for the sixth consecutive year (2008-2013) in deep
recession. According to ELSTAT, the Greek Statistical Authority, since 2008 the
Greek GDP has decreased by 25 %, public consumption by 21 % and
private consumption by 32,3 % whilst unemployment increased by
20,6 %.
14.         Moreover the decline in GDP
has widened the gap between the Greek per capita GDP and the per capita GDP of
the EU, cancelling the progress towards economic convergence made by Greece in the 1995-2007 period.
15.         Furthermore, to deal with
foreign debt payments, in 2008 the Greek government took unpopular measures
such as increasing tax revenues, streamlining public expenditure and decreasing
public employees' salaries. Wages in the private sector have also been
decreasing in an attempt to increase the competitiveness of the Greek economy.
Since 2008, thousands of enterprises have stopped their activites and closed
down, making their staff redundant and thousands of self-employed persons have
ceased their activities, contributing to the sharp increase of unemployment. An
immediate effect of the reduced income has been a decrease in consumption.
16.         In 2009, the drop of
household consumption in Greece followed the same negative trend as in the
EU-27. In 2010 and 2011, there was a recovery in household consumption at EU-27
level followed by a drop in 2012. Household consumption in Greece has been declining since the beginning of the financial and economic crisis and the
figures have been worsening every year.
Household
consumption
(% change compared with the previous year)
   || 2008 || 2009 || 2010 || 2011 || 2012 
 EU-27 || 0,44 || -1,67 || 1,04 || 0,26 || -0,74 
 Greece || 4,67 || -1,91 || -6,39 || -7,91 || -9,07 
17.         According to the ELSTAT
report on household income and living conditions, 23 % of Greeks were below
the poverty threshold[9]
in 2012.
Events giving rise to the
redundancies and cessation of activity
18.         According to the Greek
authorities, the events giving rise to the redundancies were mainly three: (1) the
decrease of available household income ― due to the increase in the
tax burden, decreasing salaries (of both private and public employees) and
rising unemployment ― resulting in a huge drop of purchasing power; (2) the
delayed payments by most of the Nutriart’s clients; and (3) the drastic
reduction of loans to enterprises and individuals due to the lack of cash in
the Greek banks.
19.         In 2008, Nutriart resulted
from the take-over and merger of three enterprises: Katselis Ch. Sons S.A. (a
manufacturer of bakery products), Elvipet S.A. (specialised in frozen dough
products for catering businesses) and Allatini S.A. (an enterprise established
in 1836 known for its premium quality flours). Since then Nutriart has been
manufacturing bakery products and pastry such as bread from a variety of seeds,
breadsticks, rolls, muffins, palmiers, croissants, etc. for final consumption
and frozen and preserved dough for catering enterprises.
20.         Due to the drop of
purchasing power of the Greek households following the decline of the Greek
economy since the beginning of the economic and financial crisis, demand for
products other than basic staples plummeted. In particular the demand for sweet
bread products and pastry declined by 41 % in 2013 compared to 2008. This
decline in demand had a direct impact on the turnover of Nutriart which dropped
from EUR 79,25 million in 2010 to EUR 38,32 million in 2011 and further
to EUR 20,23 in 2012. In 2013 (January to May) the turnover of the
enterprise was just EUR 5,49 million.
21.         Another consequence of the
recession of the Greek economy was the increasing delays in payments. Most of Nutriart's
clients put off the maturity date of the bills from 120 to 240 days which resulted
in a shortage of cash flow in Nutriart.
22.         To remedy the cash flow
shortage Nutriart unsuccessfully sought financial help from banks,
unsuccessfully. According to the Bank of Greece, the annual growth rate for
loans granted to households and enterprises (excluding financial undertakings)
has been negative since 2010 due to cash shortfall in the Greek banks. 
23.         The reduction in turnover
which resulted from the drop in consumption, combined with the delays in
payments and the unpaid bills, together with the tightening of loans made
unworkable the attempts of Nutriart to find a solution and ended in the
enterprise filing for bankruptcy and the subsequent redundancies.
Expected impact of the redundancies
as regards the local, regional or national economy and employment
24.         The redundancies occurred
in Attica (60 %) and Central Macedonia (40 %). The Greek authorities
argue that the redundancies in Nutriart will further aggravate the unemployment
situation, which already deteriorated as a result of the economic and financial
crisis and seems to be particularly fragile in both regions. In Q4 2013, the
unemployment rate in Attica was 28,2 % whilst in Central Macedonia it was
30,3 %[10].
Furthermore, there is a lack of job offers in both territories if compared with
the high number of job seekers. As a result, more than 70 % of the
unemployed persons have been unemployed for more than 12 months. In Central Macedonia the situation of young job-seekers is particularly dramatic, since the youth
unemployment rate is 60,4 %.
25.         As a result of the
bankruptcies of enterprises, like that of Nutriart S.A., in the secondary
economic sector the Greek economy is in a 'disinvestment' process (i.e. it is
losing its productive capacities). According to the OECD, gross fixed capital[11] decreased by 20 %
in the period 2008-2013. The redundancies in Nutriart will increase the number
of job seekers in the territory while the lost of productive capacities related
to the enterprise's bankrupcy will reduce the number of jobs available. Thus
the redundancies can be seen to have a serious negative effect on the regional
and local economy.
26.         Moreover, Attica accounts
for 43 % of the Greek GDP; therefore the impact of the closure of
enterprises based in this region reaches the whole Greek economy.
Targeted beneficiaries and proposed
actions
Targeted beneficiaries
27.         The breakdown of targeted
workers and self-employed persons by sex, nationality and age group is as
follows:
 Category || Number of targeted beneficiaries 
 Sex: || Men: || 337 || (66,34 %) 
   || Women: || 171 || (33,66 %) 
 Nationality: || EU nationals: || 501 || (98,62 %) 
   || non-EU nationals: || 7 || (1,38 %) 
 Age group: || 15-24 years old: || 1 || (0,20 %) 
   || 25-29 years old: || 27 || (5,31 %) 
   || 30-54 years old: || 439 || (86,42 %) 
   || 55-64 years old: || 41 || (8,07 %) 
   || over 64 years old: || 0 || (0,00 %) 
28.         The estimated number of
targeted workers and self-employed persons expected to participate in the
measures is 508. 
29.         The Greek authorities will
provide personalised services co-financed by the EGF to up to 505 young people
not in employment, education or training (NEETs) under the age of 30 on the
date of submission of the application, given that all of the redundancies referred
to in paragraph 8 occur in the NUTS level 2 regions of Central Macedonia (EL12)
and Attica (EL30), which are eligible under the Youth Employment Initiative.
30.         The total estimated number
of targeted beneficiaries expected to participate in the measures, including
NEETs, is therefore 1 013.
Eligibility of the proposed actions
31.         The personalised services
which are to be provided to workers made redundant, self-employed persons whose
activity has ceased and NEETs consist of the following actions which combine to
form a co-ordinated package of personalised services. 
–              
Occupational guidance: This accompanying measure, which will be offered to all
participants, covers the following stages:   
1 Information addressed to NEETs. Unlike what happens with the 508
targeted workers, who are already identified (NUTRIART former workers,
suppliers and downstream producers) the group of targeted NEETs is still to be
defined. Among other criteria for selecting the targeted NEETs, the Greek
authorities will use expressions of interest. For this purpose they intend to launch
information campaigns aimed specifically at the NEETs.  
2 Intake and registration. The first measure provided to all
participants (workers and NEETs) includes information on available services and
training programmes and on skills and training requirements.
3 Skills assessment and personal and occupational paper. This is
intended to help workers and NEETs to identify their own skills and the
opportunities related to their own interests and to establish a realistic
career plan. The skills assessment involves intensive and personalised
counselling, structured as a pathway consisting of various stages in which the
worker and the counsellor work on an issue (e.g. opportunities, interests,
analysis of the motivations and expectations, barriers, etc.). Following these
assessments, a personal and occupational paper is put together, setting out a
summary of the participant's skills, his/her individual project and an action
plan.       
4 Job-search support and career guidance. This includes: (1) training
in horizontal issues such as development of social skills, adjustment to new
situations, decision making; (2) job-search assistance including
information on available jobs, active research of the local and regional employment
opportunities, job-search techniques and training on drafting of CVs and cover
letters and how to prepare a job interview; (3) career guidance : the
counsellors will provide vocational guidance to the dismissed workers and will steer
them towards specific job offers.   
5 Guidance towards employment. The counsellors will also accompany
the workers and NEETs during the implementation of their training pathways and
individual plans of reintegration into employment.    
6 Monitoring. This provides a follow up of the participants during the six months
that follow the end of the implementation of the measures. 
–              
Training, retraining and vocational training. This measure consists in providing vocational training courses to
workers and NEETs which correspond to their needs, as identified during the
occupational consultancy activity, and in areas and sectors with good
developments prospects and that correspond to recognised needs in the labour
market. The training courses could also be complemented with internships. 
–              
Specific counselling services towards
entrepreneurship and development of an incubator. This
will consist in specific counselling services towards entrepreneurship focused
in businesses 'less traditional' and the development of an 'incubator'. The incubator
is a structure which will provide a more specific and comprehensive range of
counselling by promoting one or various clusters of new businesses which are
interlinked allowing the participants' networking and thus act jointly in the
business environment (solving problems more effectively jointly, sharing their
experiences and good practices, etc.). This structure is designed to support
those entrepreneurs whose businesses being less traditional can benefit more
from the use of new technologies; from more innovative approaches etc.
The participants interested in setting up a business will receive general
support and counselling towards entrepreneurship in the framework of the
occupational guidance measure. It is estimated that about 150 of the participants
in the sessions of guidance in view of starting a business will have their own
idea of business mature enough to allow a business start-up, however not all of
them will be proposed the services of the incubator, since the incubator is
intended for innovative business.
–              
Contribution to business start-up: The workers or NEETs who set up their own businesses will receive
up to EUR 15 000 as a contribution to cover setting-up costs. In Greece, one of the major difficulties that entrepreneurs face when starting up a business
is access to funding. Banks, due to the shortage of cash, turn down the
majority of loan requests. This measure aims to promote entrepreneurship
through this financial support.
–              
Job-search allowance. To cover the expenses incurred when participating in the
occupational guidance measure, the beneficiaries will receive EUR 50 per
day of participation. While in training the allowance will be EUR 7,5 per
hour.
–              
Mobility allowance. Those workers or NEETs who accept a job involving a change of residence
will receive a lump sum of EUR 2 000 to cover the necessary
expenditure.
32.         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.
33.         The Greek authorities have confirmed
that none of these actions are the responsibility of enterprises by virtue of
national law or collective agreements.
Estimated budget
34.         The estimated total costs are
EUR 10 160 000, comprising expenditure for personalised services
of EUR 9 950 000 and expenditure for preparatory, management, information and
publicity, control and reporting activities of EUR 210 000.
35.         The
total financial contribution requested from the EGF is EUR 6 096 000
(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) 
 Occupational guidance (Occupational consultancy) || 1 013 || 1 246 || 1 262 500 
 Training, retraining and vocational training || 1 013 || 2 962 || 3 000 000 
 Specific counselling services towards entrepreneurship and development of an incubator || 70 || 2 500 || 175 000 
 Contribution to business start-up (Self-employment subsidy) || 150 || 15 000 || 2 250 000 
 Sub-total (a): || – || 6 687 500; 
 (67,21 %) 
 Allowances and incentives (Actions under Article 7(1)(b) of the EGF Regulation) 
 Job-search allowances || 1 013 || 3 023 || 3 062 500 
 Mobility allowance || 100 || 2 000 || 200 000 
 Sub-total(b): || – || 3 262 500; 
 (32,79 %) 
 Preparatory, management, information and publicity, and control activities: 
 1. Preparatory activities || – || 40 000 
 2. Management || – || 40 000 
 3. Information and publicity || – || 100 000 
 4. Control and reporting || – || 30 000 
 Sub-total (c): || – || 210 000; 
 (2,07 %) 
 Total costs (a + b + c): || – || 10 160 000 
 EGF contribution (60 % of total costs) || – || 6 096 000 
(*) To
avoid decimals, the estimated costs per worker have been rounded. However the
rounding has no impact on the total cost of each measure which remains as in
the application submitted by Greece.
(**) Totals
do not tally due to roundings.
36.         The costs of the actions
identified in the table above as actions under Article 7(1)(b) of the EGF
Regulation do not exceed 35 % of the total costs for the coordinated
package of personalised services. The Greek authorities confirmed that these actions
are conditional on the active participation of the targeted beneficiaries in
job-search or training activities.
37.         The Greek authorities
confirmed that the costs of investments for self-employment, business start-ups
and employee take-overs will not exceed EUR 15 000 per beneficiary. 
Period of eligibility of expenditure
38.         The Greek authorities
started providing the personalised services to the targeted beneficiaries on 30
April 2014. The expenditure on the actions referred to in point 31 shall
therefore be eligible for a financial contribution from the EGF from 30 April
2014 to 30 April 2016. 
39.         The Greek authorities
started incurring the administrative expenditure to implement the EGF on 31
March 2014. The expenditure for preparatory, management, information and
publicity, control and reporting activities shall therefore be eligible for a
financial contribution from the EGF from 31 March 2014 to 31 October 2016.
Complementarity with actions funded
by national or Union funds
40.         The Greek authorities have
indicated that the financial contribution from the EGF will not replace actions
that are mandatory for the enterprises concerned by virtue of national law or
pursuant to collective agreements. 
41.         The source of national
pre-financing or co-funding is the Public Investment Programme of the Ministry
of Development.
42.         The Greek authorities have
indicated that the measures described above receiving a financial contribution
from the EGF will not also receive financial contribution from other Union
financial instruments.
Procedures for consulting the targeted
beneficiaries or their representatives or the social partners as well as local
and regional authorities
43.         The Greek authorities have
indicated that the co-ordinated package of personalised services has been drawn
up in consultation with the representatives of the targeted beneficiaries and
the trade union GSEE[12]
and the Helenic Condederation of Enterprises. In December 2013 the proposed
application was discussed at several meetings with the social partners which were
consulted on various issues related to the contents of the integrated package
of measures.
Management and control systems
44.         The application contains a
detailed description of the management and control system which specifies the
responsibilities of the bodies involved. Greece has notified the Commission
that the financial contribution will be managed and controlled by the same
bodies that manage and control the European Social Fund (ESF) funding in Greece. ESF Actions Coordination and Monitoring Authority (EYSEKT) will act as managing
authority and the EDEL (Fiscal Audit Committee) as control authority.
Commitments provided by the Member State concerned
45.         The Greek authorities have 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;
–              
Nutriart SA has complied with its legal
obligations governing the redundancies and has provided for its workers
accordingly;
–              
Nutriart SA filed for bankruptcy and the
relevant court's decision is expected by the autumn of 2014; Nutriart does not
intend to resume operations afterwards;
–              
the proposed actions will provide support for
individual workers and will not be used for restructuring companies or sectors;
–              
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.         The EGF shall not exceed a
maximum annual amount of EUR 150 million (2011 prices), as laid down in
Article 12 of Council Regulation (EU, Euratom) No 1311/2013 of
2 December 2013 laying down the multiannual financial framework for the
years 2014-2020[13].
47.         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 6 096 000, representing 60 % of the total costs of the proposed actions, in order to provide a financial
contribution for the application.
48.         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 management[14].
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 6 096 000.
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.
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/2014/001 EL/Nutriart)
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 1927/2006[15],
and in particular Article 15(4) thereof,
Having regard to the proposal from the
European Commission,
Acting in accordance with the procedure
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 management[16],
Whereas:
(1)       The European Globalisation
Adjustment Fund (EGF) was established 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 addressed
in Regulation (EC) No 546/2009[17],
or as a result of a new global financial and economic crisis and to assist them
with their reintegration into the labour market.
(2)       The EGF shall not exceed a
maximum annual amount of EUR 150 million (2011 prices), as laid down in
Article 12 of Council Regulation (EU, Euratom) No 1311/2013 laying
down the multiannual financial framework for the years 2014-2020[18].
(3)       Greece submitted an
application to mobilise the EGF, in respect of redundancies in the enterprise Nutriart S.A and 25 providers and downstream producers: AR.ZIGAS
& SIA and 24 self-employed people whose activity ceased and was dependent
on the primary enterprise, on 5 February 2014 and
supplemented it by additional information as provided by Article 8.3 of
Regulation (EU) No 1309/2013. This 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.
(4)       According to Article
6 (2) of Regulation (EU) No 1309/2013, Greece has decided to provide
personalised services co-financed by the EGF also to NEETs.
(5)       The EGF should, therefore,
be mobilised in order to provide a financial contribution of an amount of EUR 6 096 000 for the application submitted by Greece,
HAVE ADOPTED THIS DECISION: 
Article 1
For the general budget of the European
Union for the financial year 2014, the EGF shall be mobilised to provide the
sum of EUR 6 096 000 in commitment and payment appropriations.
Article 2
This decision
shall be published in the Official Journal of the European Union.
Done at Brussels,
For the European Parliament                        For
the Council
The President                                                 The
President
[1]               OJ L 347, 20.12.2013, p. 855.
[2]               Regulation (EC) No 1893/2006 of the European
Parliament and of the Council of 20 December 2006 establishing the statistical classification
of economic activities NACE Revision 2 and amending Council Regulation (EEC) No
3037/90 as well as certain EC regulations on specific statistical domains (OJ L
393, 30.12.2006, p. 1).
[3]               In accordance with the third paragraph of Article 3
of Regulation (EC) No 1927/2006.
[4]               Regulation (EC) No 1893/2006 of the European
Parliament and of the Council of 20 December 2006 establishing the
statistical classification of economic activities NACE Revision 2 and amending
Council Regulation (EEC) No 3037/90 as well as certain EC Regulations on
specific statistical domains (OJ L 393, 30.12.2006, p. 1).
[5]               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).
[6]               Within the meaning of Article 3(a) of the EGF
Regulation.
[7]               Within the meaning of Article 3(b) of the EGF
Regulation.
[8]               Nutriart S.A. filed for bankruptcy on 21 June 2013.
[9]               In Greece, the poverty line
is EUR 5 508 per year per person (for individuals) and EUR 11 986
for households comprising two adults and two children up to 14 years old.
[10]             Source:
ELSTAT. Q4 2013 Labour Force Survey 
[11]             Gross fixed capital formation (GFCF) is defined in the
national accounts as acquisition less disposals of produced fixed assets, i.e.
assets intended for use in the production of other goods and services for a
period of more than a year.
[12]             Greek Confederation of Greek Workers (GSEE)
[13]             OJ L 347, 20.12.2013, p. 884.
[14]             OJ C 373, 20.12.2013, p. 1.
[15]             OJ L 347, 20.12.2013, p. 855.
[16]             OJ C 373, 20.12.2013, p. 1.
[17]             OJ L 167, 29.6.2009, p.26.
[18]             OJ L 347, 20.12.2013, p. 884.