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Thursday, 1 March 2018 - Brussels Final edition
Mobilisation of the European Globalisation Adjustment Fund: application EGF/2017/006 ES/Galicia apparel

European Parliament resolution of 1 March 2018 on the proposal for a decision of the European Parliament and of the Council on the mobilisation of the European Globalisation Adjustment Fund (application from Spain – EGF/2017/006 ES/Galicia apparel) (COM(2017)0686 – C8-0011/2018 – 2018/2014(BUD))

The European Parliament,

–  having regard to the Commission proposal to the European Parliament and the Council (COM(2017)0686 – C8‑0011/2018),

–  having regard to 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(1) (EGF Regulation),

–  having regard to Council Regulation (EU, Euratom) No 1311/2013 of 2 December 2013 laying down the multiannual financial framework for the years 2014-2020(2), and in particular Article 12 thereof,

–  having regard to 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(3) (IIA of 2 December 2013), and in particular point 13 thereof,

–  having regard to the trilogue procedure provided for in point 13 of the IIA of 2 December 2013,

–  having regard to the letter of the Committee on Employment and Social Affairs,

–  having regard to the letter of the Committee on Regional Development,

–  having regard to the report of the Committee on Budgets (A8-0033/2018),

A.  whereas 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 of the global financial and economic crisis, and to assist their reintegration into the labour market;

B.  whereas the Union’s financial assistance to workers made redundant should be dynamic and made available as quickly and efficiently as possible;

C.  whereas Spain submitted application EGF/2017/006 ES/Galicia apparel for a financial contribution from the EGF, following 303 redundancies in the economic sector classified under the NACE Revision 2 Division 14 (Manufacture of wearing apparel) in the NUTS level 2 region of Galicia (ES11) in Spain;

D.  whereas the application is based on the intervention criteria of Article 4(2) of the EGF Regulation derogating from the criteria of point (b) of Article 4(1) of that Regulation, which requires at least 500 workers being made redundant over a reference period of nine months in enterprises operating in the same economic sector defined at NACE Revision 2 Division level and located in one region or two contiguous regions defined at NUTS 2 level in a Member State;

1.  Agrees with the Commission that the conditions set out in Article 4(2) of the EGF Regulation are met and that Spain is entitled to a financial contribution of EUR 720 000 under that Regulation, which represents 60 % of the total cost of EUR 1 200 000;

2.  Notes that the Spanish authorities submitted the application on 19 July 2017, and that, following the provision of additional information by Spain, the Commission finalised its assessment on 28 November 2017 and notified it to Parliament on 15 January 2018;

3.  Notes that Spain argues that the redundancies are linked to major structural changes in world trade patterns due to globalisation, more particularly to the liberalisation of trade in textiles and clothing following the expiry of the World Trade Organisation Multifibre Arrangement at the end of 2004 which has led to radical changes in the structure of world trade;

4.  Recalls that the redundancies that occurred in five enterprises are expected to put an enormous strain on the territory affected and that the impact of the layoffs is linked to the difficulties of redeployment, due to the scarcity of jobs, since the territory is away from the major industrial centres, to the low educational background of the dismissed workers, to their specific vocational skills developed in a sector now in decline, and to the high number of job seekers;

5.  Emphasises that Ordes, the region affected by the redundancies, is highly dependent on the clothing industry and has seen a sharp decline in the number of clothing enterprises in recent years; regrets that the GDP per capita of the region has also been declining;

6.  Considers that, taking into account the declining population, GDP per capita and industrial base of the region concerned, the application meets the criteria for EGF intervention despite involving fewer than 500 redundancies;

7.  Is aware that the increase in imports into the Union has put a downward pressure on prices, which has had a negative effect on the financial position of enterprises in the Union textiles sector and has triggered a general trend in the textile and clothing industry to off-shore production in lower cost countries outside the Union; acknowledges that, in Galicia, this has resulted in a constant decrease in the number of clothing companies and, therefore, in an increase in redundancies;

8.  Underlines that 83,5 % of the targeted beneficiaries are women and that the large majority of them are between 30 and 54 years old; acknowledges, in view of this, the importance of active labour market measures co-funded by the EGF for improving the chances of reintegrating this vulnerable group into the labour market;

9.  Is concerned at the fact that such lay-offs may further compound the unemployment situation that the region in question has been facing since the onset of the economic and financial crisis;

10.  Notes that Spain is planning six types of actions for the redundant workers covered by this application: (i) welcome sessions and preparatory workshops, (ii) occupational guidance, (iii) training, (iv) intensive job-search assistance, (v) tutoring after reintegration into work, (vi) incentives; considers the contribution to the expenses for carers of dependent persons to be of particular importance in view of the profile of the redundant workers;

11.  Considers that the vocational training to be provided must broaden the spectrum of opportunities for the unemployed people, that the training activities should be related to a prospective study of employment trends, which should be included within the actions of this financing, and that it should expand the options of professional careers without any gender bias or limitation to non-qualified employment;

12.  Considers that the approved programme should support, through advice and financial support, initiatives for the formation of cooperatives to be undertaken by the persons receiving the personalised services envisaged;

13.  Points out that the coordinated package of personalised services benefiting from the EGF should be targeted, in terms of its design, to initiatives conducive to employment, to the upskilling of workers and to making the most of their employment histories as to reach out to the business community, including cooperatives, and should be coordinated with existing Union programmes, including the European Social Fund;

14.  Acknowledges that the coordinated package of personalised services has been drawn up in consultation with the social partners;

15.  Regrets that this application does not include any measures for young people who are not in education, employment or training (NEETs) given the tendency for young people to move away from the region in search of greater economic opportunities;

16.  Notes that the income support measures will constitute 18,21 % of the overall package of personalised measures, well below the maximum of 35 % set out in the EGF Regulation; and that those actions are conditional on the active participation of the targeted beneficiaries in job-search or training activities;

17.  Recalls that in accordance with Article 7 of the EGF Regulation, the design of the coordinated package of personalised services should anticipate future labour market perspectives and required skills and should be compatible with the shift towards a resource-efficient and sustainable economy; welcomes Spain’s declaration that the coordinated package shows great potential to facilitate such a shift.

18.  Stresses that the Spanish authorities have confirmed that the eligible actions do not receive assistance from other Union funds or financial instruments;

19.  Welcomes Spain’s confirmation that a financial contribution from the EGF will not replace actions the enterprises concerned are required to take by virtue of national law or pursuant to collective agreements, or measures for restructuring companies or sectors;

20.  Calls on the Commission to urge national authorities to provide more details, in future proposals, on the sectors which have growth prospects and are therefore likely to hire people, as well as to gather substantiated data on the impact of the EGF funding, including on the quality of jobs and the reintegration rate achieved through the EGF;

21.  Recalls its appeal to the Commission to assure public access to all the documents related to EGF cases;

22.  Approves the decision annexed to this resolution;

23.  Instructs its President to sign the decision with the President of the Council and arrange for its publication in the Official Journal of the European Union;

24.  Instructs its President to forward this resolution, including its Annex, to the Council and the Commission.

(1) OJ L 347, 20.12.2013, p. 855.
(2) OJ L 347, 20.12.2013, p. 884.
(3) OJ C 373, 20.12.2013, p. 1.



on the mobilisation of the European Globalisation Adjustment Fund following an application from Spain – EGF/2017/006 ES/Galicia apparel

(The text of this annex is not reproduced here since it corresponds to the final act, Decision (EU) 2018/515.)

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