|Author (Corporate)||European Commission|
|Series Details||COM (2018) 380|
Legislative proposal published by the European Commission on 30 May 2018 revising the European Globalisation Adjustment Fund (EGF) for the period 2021-2027.
The prime objective of the proposed Regulation is to ensure that the EGF continues to operate beyond 2020. The EGF is a fund run by the European Union to support workers who were dismissed or made redundant by their employers. It was initially established by Regulation (EC) No 1927/2006 for the programming period 2007-2013. For the next Multiannual Financial Framework (MFF), its scope was extended by Regulation (EU) No 1309/2013, repealing the original Regulation. The aim was to cover not only job displacements resulting from a serious economic disruption caused by a continuation of the global financial and economic crisis but to also cover any new global financial and economic crisis.
Under the revised rules, other reasons for restructuring can be eligible for support, taking account of new challenges on the labour market. The proposal also lowers the threshold of dismissed workers for a case to be eligible from 500 to 250, which should allow more workers to get support. Other proposed changes include an improved mobilisation process to simplify and speed up the procedures. Finally, the Fund's co-financing rate, which currently stands at 60%, is aligned with the highest ESF+ co-financing rates for a given Member State.
This proposal was put forward in the framework of the discussions regarding the Multiannual Financial Framework for the period 2021-2027. The European Parliament adopted its negotiating position on 16 January 2019. Among its proposed changes is to change the name of this fund to European Fund for Transition. The Council of the European Union adopted a partial general approach on 15 March.
|Subject Categories||Employment and Social Affairs|
|Subject Tags||Labour Market, Multiannual Financial Framework [MFF]|
|Keywords||European Globalisation Adjustment Fund [EGF], MFF 2021-2027
|International Organisations||European Union [EU]|