Skip to content
DRAFT REPORT (COM(2026)0010 – C100026/2026 – 2026/0037(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 Austria – EGF/2025/005 AT/KTM

BUDG-PR-784472

Committee on Budgets · Rapporteur: Janusz Lewandowski

Official HTML ↗ PDF DOCX
✦ In shortFull text
✦ In short · AI summary of this text, generated 4 Sept 2026

Written by a language model from the full text only; every figure comes from the text. The paragraph links open the paragraph a statement rests on — check the text itself before relying on it.

This draft report concerns the mobilisation of the European Globalisation Adjustment Fund for Displaced Workers (EGF) for Austria following redundancies at KTM. It approves the Commission's proposal to grant EUR 1,806,624 to support 420 displaced workers.

Committee position. The Committee on Budgets, through its rapporteur, approves the Commission's proposal to mobilise the EGF for Austria and annexes the decision.

Key points

  1. Agrees that Austria meets the conditions for an EGF contribution of EUR 1,806,624, representing 60% of total costs of EUR 3,011,040.
  2. Notes the application relates to 1,488 workers displaced by KTM's insolvency, with 420 targeted beneficiaries expected to participate in measures.
  3. Regrets that KTM's parent company moved production to China and India, leading to job losses, and notes the restructuring process and investor support that avoided bankruptcy.
  4. Notes the rise in unemployment in the Braunau district and the importance of KTM as an employer and economic pillar.
  5. Lists personalised services to be provided: case management, career guidance, training and retraining, pro-active job-search, and training allowances.
  6. Stresses that Austrian authorities must ensure visibility of Union funding and provide effective information to beneficiaries and stakeholders.
  7. Calls for thorough final evaluations of measures, including clear information on fund usage and compliance with approved plans.
  8. Notes the eligibility period for EGF contribution starts on 1 March 2025 and lasts 24 months for services and 31 months for administrative expenditure.
  9. Notes assurances that equality, non-discrimination, and prevention of double financing will be respected.
  10. Reiterates that EGF assistance must not replace actions that are the responsibility of companies under national law or collective agreements.

Who is affected

  • Displaced workers from KTM in Upper Austria, particularly 420 targeted beneficiaries, will receive personalised services and training allowances.
  • Austrian authorities, including the Public Employment Service and Province of Upper Austria, are responsible for implementing measures and ensuring visibility.

Figures and deadlines

  • EUR 1,806,624 financial contribution, 60% of total cost of EUR 3,011,040.
  • 1,488 displacements in KTM, with 233 in reference period and 1,255 before or after.
  • 420 targeted beneficiaries expected to participate in measures.
  • Unemployment in Braunau district rose by 37.1% in November 2024 compared to previous year.
  • Eligibility period from 1 March 2025 until 24 months and 31 months after financing decision.