Mobilisation of the European Globalisation Adjustment Fund: redundancies in IT services in Italy

The Committee on Budgets adopted the report by Angelika WERTHMANN (ALDE, AT) on the proposal for a decision of the European Parliament and of the Council on the mobilisation of the European Globalisation Adjustment Fund for a total amount of EUR 3 689 474 in commitment and payment appropriations to assist Italy hit by redundancies in IT services.

Members recall that the European Union has set up the appropriate 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. Given that Italy submitted an application for a financial contribution from the EGF, following 1 257 redundancies in Agile S.r.l. with 856 workers targeted for EFG co-funded measures, during the reference period from 22 September 2011 to 22 December 2011, Members request the institutions involved to make the necessary efforts to improve procedural and budgetary arrangements in order to accelerate the mobilisation of the EGF to cover the amount requested. They agree with the Commission that the conditions set out in Article 2(a) of the EGF Regulation are met and that, therefore, Italy is entitled to a financial contribution under that Regulation.

The Agile case: Members emphasise the fact that the Agile redundancies are spread out over most of the whole Italy and that the territories concerned are 12 out of the 19 Italian regions: Piemonte, Lombardia, Veneto, Emilia-Romagna, Tuscany, Umbria, Lazio, Campania, Puglia, Basilica and Calabria and Sicily. They highlight that the Agile redundancies will further exacerbate the current fragile employment situation, in particular in the Southern regions where the outlook of economic recovery is less optimistic.

Membes welcome the fact that, in order to provide workers with speedy assistance, the Italian authorities decided to initiate the implementation of the personalised measures on 15 March 2012, well ahead of the final decision on granting the EGF support for the proposed coordinated package. They note that the coordinated package of personalised services to be co-funded includes measures for the reintegration of workers into employment such as career advice and skills assessment, outplacement and job-search assistance, vocational training, etc. Members welcome, in the coordinated package of personalised services, the module "Mentoring after reintegration into work", which is aimed at assuring that the return of the workers on the labour market is sustainable.

Members welcome the fact that the contribution to expenses of residence shall only be paid as a one-off contribution upon presentation of proof of the expenditure incurred. They recall the importance of improving the employability of all workers by means of adapted training and the recognition of skills and competences gained throughout a worker's professional career. They ask the Commission to further detail in future proposals the types of training to be provided, in which sectors the workers are likely to find employment and if the training on offer is aligned to the future economic prospects and labour market needs in the regions concerned.

Learn lessons from the implementation of the EGF: Members request the institutions involved to make the necessary efforts to improve procedural and budgetary arrangements in order to accelerate the mobilisation of the EGF. They hope that further improvements in the procedure will be integrated in the new Regulation on the European Globalisation Adjustment Fund (2014–2020) and that greater efficiency, transparency and visibility of the EGF will be achieved.

Members reiterate their position as regards the processing of an application of this kind:

• the need to ensure a smooth and rapid procedure for the adoption of the decisions on the mobilisation of the EGF,
• the fact that assistance from the EGF must not replace actions which are the responsibility of companies by virtue of national law or collective agreements nor measures restructuring companies or sectors;
• EGF assistance can co-finance only active labour market measures which lead to durable, long-term employment.