EU globalisation adjustment fund

The European Parliament's employment and social affairs committee today voted on proposals to adapt the EU's globalisation adjustment fund (1), with a view to continuing the fund in next EU budgetary period (from 2014-20). The Greens welcomed the outcome of the vote, with MEPs redressing some problematic aspects of the original proposals. Commenting on the outcome, Green employment and social affairs spokesperson Marije Cornelissen stated:

"While the globalisation fund has been a source of welcome support for workers who have lost their jobs - in part as a result of EU policies - its design is flawed and in need of reform. MEPs have today voted to improve the fund and put it on a more sound footing for the coming EU budgetary period, with a view to ensuring it can serve as a tool to help European workers who have lost their jobs to find sustainable employment.

"In particular, MEPs supported a Green proposal to ensure that measures and projects financed from the fund, such as retraining projects, are aimed at anticipating and facilitating the shift towards a sustainable and resource-efficient economy. The Globalisation Adjustment Fund should become a 'Sustainability Adjustment Fund'.

"The fund has hitherto been skewed towards projects in richer EU member states, which is clearly at odds with the purpose. MEPs today supported Green proposals to change the co-financing rules to make it more attractive and easier for poorer EU member states to make use of the fund.

"The globalisation fund should not be used as a tool to pick up the bill for socially-irresponsible companies. To this end, we need new EU rules on restructuring in which companies have to prepare workers properly for economic changes. This is being considered by parliament at present. Unfortunately, MEPs failed to support a proposal to merge the fund under the existing European Social Fund, which would have made it more efficient.

"In the context of ballooning unemployment numbers in Europe, the relevance of such a fund has never been greater. It is worrying that EU governments are looking to scrap the fund at this crucial moment and we urge them to see sense."

(1) The European globalisation fund is an EU fund, which was set up to help workers who have lost jobs as a result of changing global trade patterns or the global economic crisis: http://ec.europa.eu/social/main.jsp?catId=326&langId=en