Budget MEPs approve €2.1 million in EU aid for former tyre workers in Germany
- € 2,165,231 in EU job search aid from the Globalisation Adjustment Fund
- support for 646 former employees of tyre manufacturer Goodyear in Germany
- this follows the complete shutdown of Goodyear's production plant in Philippsburg in Baden-Württemberg
Hundreds of dismissed tyre workers should benefit from job support measures, like skills training, following a vote by the Budgets Committee on Thursday.
The report by Ingeborg Gräßle (EPP, DE) was adopted with 28 votes in favour and 3 against, no abstentions.
Due to the fall in EU automotive output and market shares in the wake of globalisation, significant overcapacity has built up in tyre production for small cars (B segment) at Goodyear. The company was forced to close its plant in Philippsburg, which has the largest production capacity for such tyres among Goodyear's European plants. It was the largest employer in the region until now.
The large majority of the redundant workers are men aged between 30 and 54 years old, whilst 26% are between 55 and 64 years old. Around 300 of the redundant workers are unskilled and have a migration background (some are EU citizens, some third-country nationals). “Active labour market measures co-funded by the EGF are all the more important for improving the chances of reintegration in the labour market of these groups”, says the draft report.
The workers chosen to benefit from job search support can participate in workshops, gain from measures to increase their skills, advisory services towards business start-ups, mentoring after reintegration into employment, and training allowances.
To take effect, the rules must be approved by Parliament as a whole on 14 March during the plenary session, and endorsed by the member states on 12 March.
The European Globalisation Adjustment Fund contributes to packages of tailor-made services to help redundant workers find new jobs. Its annual ceiling is €150 million.
Redundant workers are offered measures such as support for business start-ups, job-search assistance, occupational guidance and various kinds of training. In most cases, national authorities have already put the measures in place and will have their costs reimbursed by the EU when their applications are finally approved.