2014/812/EU: Decision 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/2013/010 ES/Castilla y León from Spain)

What it is

to mobilise the European Globalisation Adjustment Fund (EGF) to assist Spain following redundancies in the manufacture of wood and of products of wood sector. 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 allows for the mobilisation of the European Globalisation Adjustment Fund (EGF) within the annual ceiling of EUR 150 million (2011 prices) over and above the relevant headings of the financial framework. The rules applicable to the contributions from the EGF for applications submitted until 31 December 2013 are laid down in Regulation (EC) No 1927/2006 of the European Parliament and of the Council on establishing the EGF. The Committee on Budgets adopted the report by Esteban GONZÁLEZ PONS (EPP, ES) on the proposal for a decision of the European Parliament and of the Council on mobilisation of the European Globalisation Adjustment Fund providing a total amount of EUR 700 000 in commitment and payment appropriations in order to assist Spain which is facing redundancies in its manufacture of wood and of products of wood sector. Members recalled that the Union has 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 or are made redundant as a result of the global financial and economic crisis and to assist their reintegration into the labour market. Spain submitted an application for a financial contribution from the EGF, following 587 redundancies in 3 enterprises operating in the manufacture of wood and wood products sector in the NUTS level 2 region of Castilla y León (ES41) during the reference period from 28 December 2012 to 28 September 2013. Members 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 2(b) of the EGF Regulation are met and that, therefore, Spain is entitled to a financial contribution under that Regulation. Redundancies : Members considered that the redundancies are linked to major structural changes in world trade patterns due to globalisation, referring to the fact that the volume of the EU 27 exports of builders' joinery and carpentry of wood products decreased by 10.33% during the period 2008-2011. The 587 redundancies in question have severely affected the local labour market with the unemployment rate rising from 8.2 % in the first quarter of 2008 to 22.70 % in the first quarter of 2013. Members felt that the unemployment situation in the affected region seems particularly fragile given the extremely low population density in Soria, one of the two provinces affected by the redundancies. They welcomed the fact that, in order to provide workers with speedy assistance, the Spanish authorities decided to initiate the implementation of the personalised services to the affected workers on 1 February 2014, well ahead of the final decision on granting the EGF support for the proposed coordinated package. Package of personalised…

Frequently asked