2014/815/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/2014/003 ES/Aragón food and beverage from Spain)

What it is

to mobilise the European Globalisation Adjustment Fund (EGF) to assist Spain following redundancies in the food and beverage services. 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 financial contributions from the European Globalisation Adjustment Fund (EGF) are laid down in Regulation (EU) No 1309/2013 of the European Parliament and of the Council of 17 December 2013 on the European Globalisation Adjustment Fund (2014-2020) and repealing Regulation (EC) No 1927/2006 . The Committee on Budgets adopted the report by Anneli JÄÄTTEENMÄKI (ADLE, FI) on the proposal for a decision of the European Parliament and of the Council on the mobilisation of the European Globalisation Adjustment Fund, providing a total amount of EUR 960 000 in commitment and payment appropriations in order to assist Spain which is facing redundancies in its catering 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 904 redundancies in 661 enterprises operating in the NACE Rev. 2 Division 56 (Food and beverage service activities) in the NUTS level 2 region of Aragón (ES24) from 1 March 2013 to 1 December 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 4(1)(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 global financial and economic crisis, a decline in average income and a decrease in household consumption in Spain resulted in an overall shrinking demand for food and beverage services. They noted that out of the 904 eligible beneficiaries, only 280 are expected to participate in the proposed actions, which they feel to be low. They also noted that 904 redundancies will further aggravate the difficult unemployment situation in Aragon where the unemployment rate has increased rapidly, rising to 18.4 % in December 2013 . Members welcomed the fact that the Spanish authorities began providing the personalised services to the targeted beneficiaries on 21 February 2014. Package of personalised services : Members noted that the coordinated package of personalised services to be co-funded includes measures for workers made redundant such as guidance, counselling and job search, training and re-training, reintegration into employment and…

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