The European Parliament adopted by 609 votes to 26, with 53 abstentions, a resolution approving the proposal for a decision of the European Parliament and of the Council on the mobilisation of the European Globalisation Adjustment Fund (EGF) to provide EUR 345 000 in commitment and payment appropriations for technical assistance under the general budget of the European Union for the financial year 2020.

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

The proposed amount of EUR 345 000 corresponds to approximately 0.19 % of the maximum annual budget available for the EGF in 2020.

In its resolution, Parliament acknowledged the importance of monitoring and data gathering; recalls the importance of robust statistical series compiled in an appropriate form so that it is easily accessible and understandable. It reiterated the need for updated research on and analysis on the current challenges posed by COVID-19 on the global market.

Parliament noted that the Commission intends to use the available budget to hold two meetings of the Expert Group of Contact Persons of the EGF (one member from each Member State) and, most probably at the same time, two seminars with the participation of the implementing bodies of the EGF and the social partners in order to promote networking among Member States. Parliament should be systematically invited to such meetings and seminars in accordance with the relevant provisions of the Framework Agreement on relations between Parliament and the Commission.

Furthermore, the resolution stressed the need to further enhance the cooperation and communication between all those involved in EGF applications, including, in particular, the social partners and stakeholders at regional and local level, to create as many synergies as possible.

Given that according to the current rules, the EGF could be mobilised to support permanently dismissed workers and the self-employed in the context of the global crisis caused by COVID-19 without amending Regulation (EU) No 1309/2013, Parliament called on the Commission to assist, in any possible way, Member States who intend to prepare an application in the coming weeks and months. The Commission should do its utmost to show flexibility and to shorten the period of assessment to the extent possible when assessing any application's compliance with the conditions for providing a financial contribution.

PURPOSE: to mobilise the European Globalisation Adjustment Fund (EGF/2020/000 TA 2020 - Technical assistance at the initiative of the Commission).

PROPOSED ACT: Decision of the European Parliament and of the Council.

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

The EGF is not to exceed a maximum annual amount of EUR 150 million (2011 prices), as laid down in Article 12 of Council Regulation (EU, Euratom) No 1311/2013 . Regulation (EU) No 1309/2013 provides that a maximum of 0.5 % of the annual maximum amount of the EGF may be used each year for technical assistance at the initiative of the Commission.

It is proposed that the EGF shall be mobilised in order to provide the sum of EUR 345 000 for technical assistance at the initiative of the Commission.

Technical assistance to be funded and breakdown of estimated costs (administration support - EUR 210 000 and technical support - EUR 135 000)

Administrative support shall include: meetings of expert groups and promoting networking as well as fostering information activities while technical support shall include the maintenance and updating of an electronic data exchange system and monitoring and data gathering regarding applications received, paid and wound up, and measures proposed and implemented.

Financing

Currently, the entire amount for 2020 remains available; nothing has yet been allocated to technical assistance. The proposed amount corresponds to 0.19% of the maximum annual budget available for the EGF in 2020.

The proposed decision to mobilise the EGF shall 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 as it presents this proposal for a decision to mobilise the EGF, the Commission shall present to the European Parliament and to the Council a proposal for a transfer to the relevant budgetary line for the amount of EUR 345 000.

Appropriations from the EGF budget line shall be used to cover the amount of EUR 345 000 needed for technical assistance.