Legislative Observatory
European Parliament
Please fill in this field to find a procedure

Mobilisation of the European Globalisation Adjustment Fund: redundancies in automobile and textiles sectors

2008/2251(ACI)

PURPOSE: to mobilise the European Globalisation Adjustment Fund with respect to the recent redundancies in the automobile sector (Spain) and the textile sector (Lithuania).

LEGISLATIVE ACT: Decision 2008/818/EC of the European Parliament and of the Council on the mobilisation of the European Globalisation Adjustment Fund, in accordance with point 28 of the Interinstitutional Agreement of 17 May 2006 between the European Parliament, the Council and the Commission on budgetary discipline and sound financial management.

CONTENT: this Decision provides that the European Globalisation Adjustment Fund shall be mobilised to provide the sum of EUR 10 770 772in commitment and payment appropriations for the general budget of the European Union for the financial year 2008. The Fund is mobilised in favour of 2 applications made by Spain and Lithuania respectively. On 6 February 2008 Spain submitted an application to deploy the Fund in respect of redundancies in the automobile sector, specifically for workers made redundant by Delphi Automotive Systems España, S.L.U. On 8 May 2008 Lithuania submitted an application to deploy the Fund in respect of redundancies in the textile sector, specifically for workers made redundant by Alytaus Tekstile. These applications comply with the requirements for determining the financial contributions as laid down in Article 10 of Regulation (EC) No 1927/2006 (EGF Regulation).

The Fund is mobilised in order to provide a financial contribution in respect of the applications. The Fund’s contribution to Lithuania’s application is EUR 298 994. Its contribution to Spain’s application is EUR 10 471 778.

The European Globalisation Adjustment Fund was established to provide additional support to workers who suffer from the consequences of major structural changes in world trade patterns and to assist them with their reintegration into the labour market. The Interinstitutional Agreement of 17 May 2006 allows the mobilisation of the Fund within the annual ceiling of EUR 500 million.