Progress: Procedure completed
| Role | Committee | Rapporteur | Shadows |
|---|---|---|---|
| Lead | BUDG |
THOMAS Isabelle ( S&D)
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| Committee Opinion | EMPL | ||
| Committee Opinion | REGI |
Lead committee dossier:
Subjects
Events
PURPOSE: to mobilise the European Globalisation Adjustment Fund (EGF) in respect of redundancies in the automotive sector in France.
NON-LEGISLATIVE ACT: Decision 2014/817/EU 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/2014/006 FR/PSA from France).
CONTENT: with this Decision, the European Parliament and the Council have decided to mobilise the EGF for an amount of EUR 12 704 605 in commitment and payment appropriations in the framework of the 2014 general budget of the European Union.
This amount shall assist France following redundancies in Peugeot Citroën Automobiles.
Given that this application complies with the requirements for determining the financial contributions as laid down in Regulation (EU) No 1309/2013 ( MFF Regulation 2014-2020 ), the European Parliament and Council have decided to grant the abovementioned amount.
To recall, the 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 , or as a result of a new global financial and economic crisis and to assist them with their reintegration into the labour market.
Regulation (EU, Euratom) No 1311/2013 laying down the multiannual financial framework for the years 2014-2020 provides that the EGF shall not exceed a maximum annual amount of EUR 150 million .
The European Parliament adopted by 579 votes to 81, with 9 abstentions, a resolution on the proposal for a decision of the European Parliament and of the Council on the mobilisation of the European Globalisation Adjustment Fund to the amount of EUR 12 704 605 in commitment and payment appropriations in order to assist France following redundancies in the automotive sector.
Parliament recalled that the Union set up legislative and budgetary instruments to provide additional support to workers who are suffering from the consequences of major structural changes in world trade patterns and to assist their reintegration into the labour market.
Application from France : France submitted application EGF/2014/006 FR/PSA for a financial contribution from the EGF, following 6 120 redundancies in Peugeot Citroën Automobiles ('PSA') operating in the NACE Rev. 2 division 29 ('Manufacture of motor vehicles, trailers and semi-trailers') with redundancies mainly located in the regions of Ile de France (the Aulnay plant) and Bretagne (the Rennes plant), with 2 357 workers targeted for EGF co-funded measures, during the reference period from 1 October 2013 to 31 January 2014.
Parliament therefore asked the institutions to speed up mobilisation of the Fund for the amount requested, agreeing with the Commission that the conditions set out in Article 4(1) (a) of the EGF Regulation are met. In this respect, France is entitled to a financial contribution under the EGF Regulation .
Parliament welcomed the fact that, in order to provide workers with speedy assistance, the French authorities decided to initiate the implementation of the personalised services to the affected workers on 3 June 2013, well ahead of the final decision on granting the EGF support for the proposed coordinated package.
Parliament noted that the French authorities submitted the application for EGF financial contribution on 25 April 2014, and that its assessment was made available by the Commission on 10 September 2014. It welcomed the speedy evaluation of less than five months.
Nature of the redundancies : Parliament stressed that 6 120 redundancies will further aggravate the unemployment situation in the regions of Ile de France and Bretagne, where two of the affected plants are located since the Aulnay plant was the 8th largest employer in the city of Aulnay, and the redundancies reduce the numbers employed in the area by 13.6%. It also noted that, to date, the automotive sector has been the subject of 21 EGF applications, 12 of which were based on trade related globalisation and 9 on the global financial and economic crisis. It deemed it necessary that particular attention be devoted to this sector in the biennial report due in August 2015.
It noted that this is the third application related to the French car industry above EUR 10 million. It stressed the importance of well anticipated adjustments and good identification of skills, offering the possibility of reorientation by putting the competences of workers to the benefit of other sectors.
Coordinated package of personalised services : Parliament stated that the coordinated package of personalised services to be co-funded includes measures for workers made redundant such as reception centre and casework, external experts guidance, thematic workshops, training, training allowances, grants for business creation. It noted that the information provided on the coordinated package of personalised services to be funded from the EGF includes information on complementarity with actions funded by the Structural Funds. It also stressed that the French authorities confirm that the eligible actions do not receive assistance from other Union financial instruments.
It welcomed the estimated high number of the participants to receive grants for business creation; notes that the amount of these grants remains under the cap of EUR 15 000, as set out in the EGF Regulation. It called for the timely assessment of this specific action in order to evaluate the results of such incentives, possibly in the next biennial report or at the latest in the final report.
New EGF : Parliament recalled that, in line with Article 7 of the EGF Regulation, the design of the coordinated package of personalised services should anticipate future labour market perspectives and required skills and should be compatible with the shift towards a resource-efficient and sustainable economy.
Lastly, it stressed that, in accordance with Article 9 of the EGF Regulation, it shall be ensured that the EGF assistance is limited to what is necessary to provide solidarity and temporary one-off support for targeted beneficiaries, and will not furthermore replace actions which are the responsibility of companies by virtue of national law or collective agreements.
PURPOSE: to mobilise the European Globalisation Adjustment Fund (EGF) to assist France which is dealing with redundancies in its car industry.
PROPOSED ACT: Decision of the European Parliament and of the Council.
CONTENT: Article 12 of Council Regulation (EU, Euratom) No 1311/2013 laying down the multiannual financial framework for the years 2014-2020 provides that the EGF shall not exceed a maximum annual amount of EUR 150 million (2011 prices).
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 on the European Globalisation Adjustment Fund (2014-2020) and repealing Regulation (EC) No 1927/2006 (the 'EGF Regulation').
The Commission examined the application for mobilisation of the EGF to assist France and concluded the following :
France : EGF/2014/006 FR/PSA : the French authorities submitted application EGF/2014/006 FR/PSA for a financial contribution from the EGF, following redundancies in Peugeot Citroën Automobiles ('PSA') in France. They submitted the application within 12 weeks of the date on which the intervention criteria were met, which expired on 11 September 2014.
In order to establish the link between the redundancies and major structural changes in world trade patterns due to globalisation, France argued that between the years 2000 and 2012, world production of vehicles grew by 25 million units or 44 %. Despite the effects of the global financial and economic crisis, production growth at global level continued (and still continues) at above 3 % per annum.
Within this continued growth, production in the USA declined by 11 %, that in Western Europe by 25 % and that in Japan by 2 %. At the same time, production in South Korea, China, Turkey, Indonesia, Iran, Malaysia, Thailand and South America grew significantly and now constitutes 47 % of world vehicle production (up from 15 % in 2000).
France stresses that, on the demand side, the EU is now a mature market with relatively slow growth, while the share of the BRIC countries in total worldwide demand has increased from 8.4 % in 2000 to 33.5 % in 2010. EU based manufacturers are not well placed to benefit from this growth in demand. Even within the EU, third country manufacturers are taking an ever increasing market share.
To date, the automotive sector has been the subject of 21 EGF applications, 12 of which based on trade related globalisation and 9 on the global financial and economic crisis.
The application relates to 6 120 workers made redundant in PSA. This enterprise operates in the economic sector classified under NACE Rev. 2 division 29 ('Manufacture of motor vehicles, trailers and semi-trailers'). The redundancies are mainly located around the Aulnay plant (being closed) in the NUTS level 2 region of the Ile de France and the Rennes plant in Brittany.
The French application : the French authorities 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 or self-employed persons' activity ceasing, over a reference period of four months in an enterprise in a Member State, including workers made redundant in its suppliers and downstream producers.
Whilst the application contains some deficiencies (lack of information on the sources of national pre-financing or co-funding and the fact that the French authorities have stated that, apart from the measures which the dismissing enterprise is obliged to provide, the only other measures in support of the redundant workers will be those provided with the support of the EGF), the Commission could assess the application from France . 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.
The Commission proposes to mobilise the EGF for the amount of EUR 12 704 605 to make a contribution to the package of personalised services.
BUDGETARY IMPLICATIONS: 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 12 704 605, 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 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.
At the same time, 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 12 704 605.
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.
Documents
- Final act published in Official Journal: Decision 2014/817
- Final act published in Official Journal: OJ L 333 20.11.2014, p. 0021
- Results of vote in Parliament: Results of vote in Parliament
- Decision by Parliament: T8-0033/2014
- Budgetary report tabled for plenary, 1st reading: A8-0016/2014
- Budgetary report tabled for plenary: A8-0016/2014
- Amendments tabled in committee: PE539.671
- Committee draft report: PE539.592
- Non-legislative basic document published: COM(2014)0560
- Non-legislative basic document published: EUR-Lex
- Committee draft report: PE539.592
- Amendments tabled in committee: PE539.671
- Budgetary report tabled for plenary, 1st reading: A8-0016/2014
Activities
- Jonathan ARNOTT
Plenary Speeches (1)
- Hugues BAYET
Plenary Speeches (1)
- José BLANCO LÓPEZ
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- Gianluca BUONANNO
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- Alain CADEC
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- Nicola CAPUTO
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- Alberto CIRIO
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- Therese COMODINI CACHIA
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- Javier COUSO PERMUY
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- Rachida DATI
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- Gérard DEPREZ
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- Pablo ECHENIQUE
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- Lorenzo FONTANA
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- Ashley FOX
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- Tania GONZÁLEZ PEÑAS
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- Nathalie GRIESBECK
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- Pablo IGLESIAS
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- Marc JOULAUD
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- Ivan JAKOVČIĆ
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- Philippe JUVIN
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- Afzal KHAN
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- Jérôme LAVRILLEUX
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- Patrick LE HYARIC
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- Giovanni LA VIA
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- Paloma LÓPEZ BERMEJO
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- Ivana MALETIĆ
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- Andrejs MAMIKINS
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- Barbara MATERA
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- David MARTIN
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- Jean-Luc MÉLENCHON
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- Giulia MOI
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- Marlene MIZZI
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- Sophie MONTEL
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- Renaud MUSELIER
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- Franz OBERMAYR
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- Florian PHILIPPOT
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- Andrej PLENKOVIĆ
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- Salvatore Domenico POGLIESE
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- Marcus PRETZELL
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- Franck PROUST
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- Christine REVAULT D'ALLONNES BONNEFOY
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- Robert ROCHEFORT
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- Claude ROLIN
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- Tokia SAÏFI
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- Matteo SALVINI
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- Lola SÁNCHEZ CALDENTEY
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- Maria Lidia SENRA RODRÍGUEZ
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- Siôn SIMON
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- Beatrix von STORCH
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- Richard SULÍK
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- Kay SWINBURNE
Plenary Speeches (1)
- Eleftherios SYNADINOS
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- Isabelle THOMAS
- Ángela VALLINA
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- Marie-Christine VERGIAT
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- Miguel VIEGAS
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- Sotirios ZARIANOPOULOS
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- Inês Cristina ZUBER
Plenary Speeches (1)
Votes
A8-0016/2014 - Isabelle Thomas - Vote unique #
PPE
ALDE
Verts/ALE
GUE/NGL
NI
EFDD
ECR| Amendments | Dossier |
| 9 |
2014/2076(BUD)
2014/10/08
BUDG
9 amendments...
Amendment 1 #
Motion for a resolution Recital E a (new) Ea. Whereas the concerned sites can undergo important industrial conversion, namely the site in Aulnay-sous-Bois, which, if allowed to fully exploit its potential in multimodal transport, could allow a substantial redeployment of workers;
Amendment 2 #
Motion for a resolution Paragraph 2 a (new) 2a. Regrets that the Commission had to assess the application without obtaining relevant information about the sources of national pre-financing or co-funding from the French authorities; reminds the applicant that in order to ensure that the EGF support complements the actions of the Member States the necessary details of these actions should be provided to the Commission for the proper evaluation of the application and establishing the complementary support;
Amendment 3 #
Motion for a resolution Paragraph 5 a (new) 5a. Notes that this is the third application related to the French car industry above EUR 10 million; stresses the importance of well anticipated adjustments and good identification of skills, offering the possibility of reorientation by putting the competences of workers to the benefit of other sectors;
Amendment 4 #
Motion for a resolution Paragraph 9 a (new) 9a. Welcomes the estimated high number of the participants to receive grants for business creation; notes that the amount of these grants remains under the cap of EUR 15 000, as set out in Article 7 of the Regulation; calls for the timely assessment of this specific action in order to evaluate the results of such incentives, possibly in the next biennial report or at the latest in the final report;
Amendment 5 #
Motion for a resolution Paragraph 9 b (new) 9b. Appreciates the plan of awarding interest free loans for the creation of new businesses; notes that, in combination with the grants for business creation, this could provide substantial help to the participants for the creation of viable businesses; welcomes that the authorities consider using the European Microfinance Facility for this purpose;
Amendment 6 #
Motion for a resolution Paragraph 13 a (new) 13a. Notes that the application aims to utilise the maximum allowed 35 % of all costs for training allowances and that this action complements the allowances paid by the dismissing company in line with the provisions of the Regulation;
Amendment 7 #
Motion for a resolution Paragraph 13 b (new) 13b. Recalls that in line with Article 7 of the Regulation, the design of the coordinated package of personalised services should anticipate future labour market perspectives and required skills and should be compatible with the shift towards a resource-efficient and sustainable economy;
Amendment 8 #
Motion for a resolution Paragraph 13 c (new) 13c. Considers that the applying authorities may underestimate the management costs for this application; calls for explanations for no costs being set aside for information and publicity; stresses that information and publication activities play an important role in case of an application for such significant support;
Amendment 9 #
Motion for a resolution Paragraph 13 d (new) 13d. Notes that the automotive sector has been subject of 21 EGF applications, 12 of which were based on trade related globalisation and 9 on the global financial and economic crisis; reiterates its call for an assessment of the effects of the EGF interventions specifically in this sector;
source: 539.671
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