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DRAFT REPORT (COM(2024)0370 – C100166/2024 – 2024/0286(BUD))

On the proposal for a decision of the European Parliament and of the Council on the mobilisation of the European Globalisation Adjustment Fund for Displaced Workers following an application from Belgium – EGF/2024/002 BE/Limburg machinery and paper

BUDG-PR-765241

Committee on Budgets · Rapporteur: Matjaž Nemec

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This draft report approves the mobilisation of the European Globalisation Adjustment Fund for Displaced Workers (EGF) with EUR 704 135 for Belgium, following 681 redundancies in the machinery and paper sectors in Limburg. The report notes the application concerns 632 targeted beneficiaries, almost exclusively men, and stresses the need for tailored support due to workers' profiles and regional labour market challenges. It welcomes the coordinated package of personalised services, including training and job-search support, and emphasises that EGF assistance must complement, not replace, company obligations.

Committee position. The rapporteur proposes that Parliament approve the mobilisation of the EGF for Belgium, as annexed to the resolution.

Key points

  1. Agrees with the Commission that Belgium meets the conditions for EGF support and is entitled to EUR 704 135, representing 60% of total costs of EUR 1 173 559.
  2. Notes the application relates to 567 workers from Sappi Lanaken and 114 from Purmo Group Belgium, with 632 targeted beneficiaries in total.
  3. Highlights that labour markets in Lanaken and Zonhoven are at a disadvantage, with industrial jobs in Limburg decreasing by 15% in 2023.
  4. Points out that one third of displaced workers are aged 55 or more and 30% have low education, creating severe labour market barriers.
  5. Welcomes that the personalised services package was drawn up in consultation with beneficiaries and social partners.
  6. Stresses that EGF support should be part of a larger strategy to ensure nobody is left behind in digital and climate transitions.
  7. Recalls that personalised services include social intervention advice, guidance, job-search support, training, retraining, and workplace training.
  8. Notes that personalised services started on 26 December 2023 and are eligible until 24 months after the financing decision's entry into force.
  9. Notes administrative expenditure started on 20 November 2023 and is eligible until 31 months after the financing decision's entry into force.
  10. Confirms that Belgian authorities will respect equality of treatment and non-discrimination and prevent double financing.
  11. Reiterates that EGF assistance must not replace actions required by national law or collective agreements.

Who is affected

  • Workers made redundant by Sappi Lanaken and Purmo Group Belgium in Limburg, who will receive personalised services.
  • Belgian authorities, responsible for implementing the coordinated package of services.

Figures and deadlines

  • EUR 704 135: financial contribution from the EGF, 60% of total costs.
  • EUR 1 173 559: total cost of proposed actions.
  • 681 redundancies: total in the application.
  • 632 targeted beneficiaries.
  • 15% decrease in industrial jobs in Limburg in 2023.