2017/2231(BUD)

Mobilisation of the European Globalisation Adjustment Fund: redundancies in the retail trade sector in Finland

Procedure completed

2017/2231(BUD) Mobilisation of the European Globalisation Adjustment Fund: redundancies in the retail trade sector in Finland
RoleCommitteeRapporteurShadows
Lead BUDG POPA Răzvan (S&D)
Opinion EMPL
Opinion REGI
Lead committee dossier: BUDG/8/11352
Subjects
Links

Activites

  • 2018/01/06 Final act published in Official Journal
  • #3580
  • 2017/11/30 Council Meeting
  • 2017/11/30 Results of vote in Parliament
    • Results of vote in Parliament
    • T8-0457/2017 summary
  • 2017/11/23 Budgetary report tabled for plenary, 1st reading
    • A8-0366/2017 summary
  • 2017/11/22 Vote in committee, 1st reading/single reading
  • 2017/10/26 Committee referral announced in Parliament, 1st reading/single reading
  • 2017/10/23 Non-legislative basic document published
    • COM(2017)0618 summary
    • DG {u'url': u'http://ec.europa.eu/info/departments/employment-social-affairs-and-inclusion_en', u'title': u'Employment, Social Affairs and Inclusion'}, THYSSEN Marianne

Documents

AmendmentsDossier
7 2017/2231(BUD) Mobilisation of the European Globalisation Adjustment Fund: redundancies in the retail trade sector in Finland
2017/11/16 BUDG 7 amendments...
source: PE-613.486

History

(these mark the time of scraping, not the official date of the change)

2018-09-12
activities/3 added
date
2017-11-23
docs
  • url
    http://www.europarl.europa.eu/sides/getDoc.do?type=REPORT&mode=XML&reference=A8-2017-0366&language=EN
    text
    • The Committee on Budgets adopted the report by Răzvan POPA (S&D, RO) on the proposal for a decision of the European Parliament and of the Council on the mobilisation of the European Globalisation Adjustment Fund, amounting to EUR 2 499 360 in commitment and payment appropriations to assist Finland facing redundancies in the retail sector.

      The European Globalisation Adjustment Fund (EGF) provides support to workers made redundant as a result of major structural changes in international trade as a result of globalisation or the global economic and financial crisis. It has a maximum annual budget of EUR 150 million for the period 2014-2020.

      Finish application: Finland submitted its application for a financial contribution from the EGF under the intervention criteria set out in Article 4(1) of the EGF Regulation following 1 660 redundancies in retail trade (except motor vehicles and motorcycles) in the NUTS level 2 regions of Lansi Suomi, Helsinki-Uusimaa, Etelä-Suomi and Pohjois- ja Itä-Suomi in Finland.

      Members agreed that the conditions set out in the EGF Regulation were met and that Finland is entitled to a financial contribution of EUR 2 499 360 under that Regulation, which represents 60 % of the total cost of EUR 4 165 600.

      Reasons for the redundancies: the redundancies are linked to the increase in online sales of retail products in Finland, combined with the popularity of non-EU web-shops with Finnish consumers, which has led to a steady decrease in the sales of conventional Finnish department stores since 2014.

      The dismissals occurred at two major Finnish department store chains and one subsidiary, which since 2015 have all experienced serious issues of declining profitability and deteriorating cash-flow due to the rise of e-commerce, changing shopping habits and weak consumer confidence. Members regretted that in early 2017 two of the companies concerned had to close down completely.

      Package of personalised services: Finland is planning seven types of measures to be provided to redundant workers and for which EGF co-funding is requested:

      • coaching measures and other preparatory measures;
      • employment and other business measures;
      • training courses;
      • start-up grants;
      • career coaching pilots;
      • pay subsidies;
      • allowances for travel and accommodation.

      The income support measures will constitute 22.05 % of the overall package of personalised measures, well below the maximum 35 % set out in the EGF Regulation.

      Lastly, Members called 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.

    type
    Budgetary report tabled for plenary, 1st reading
    title
    A8-0366/2017
body
EP
type
Budgetary report tabled for plenary, 1st reading
activities/4 added
date
2017-11-30
body
CSL
type
Council Meeting
council
Competitiveness (Internal Market, Industry, Research and Space)
meeting_id
3580
activities/5/docs added
  • url
    http://www.europarl.europa.eu/oeil/popups/sda.do?id=30472&l=en
    type
    Results of vote in Parliament
    title
    Results of vote in Parliament
  • url
    http://www.europarl.europa.eu/sides/getDoc.do?type=TA&language=EN&reference=P8-TA-2017-0457
    text
    • The European Parliament adopted by 555 votes to 77, with 12 abstentions, a resolution on the proposal for a decision of the European Parliament and of the Council on the mobilisation of the European Globalisation Adjustment Fund (EGF) following a request from Finland - EGF/2017/005 FI/Retail.

      Parliament approved the proposal for a decision annexed to the resolution.

      According to the Decision, EUR 2 499 360 in commitment and payment appropriations shall be mobilised for Finland under the European Globalisation Adjustment Fund within the framework of the general budget of the Union for the financial year 2017, following redundancies in the retail sector in the Finnish regions of Lansi Suomi, Helsinki-Uusimaa, Etelä-Suomi and Pohjois- ja Itä-Suomi.

      In its resolution, the Parliament recalled that the dismissals occurred at two major Finnish department store chains and one subsidiary, which since 2015 have all experienced serious issues of declining profitability and deteriorating cash-flow due to the rise of e-commerce, changing shopping habits and weak consumer confidence. Members regretted that in early 2017 two of the companies concerned had to close down completely.

      Members noted that Finland is planning seven types of measures to be provided to redundant workers and for which EGF co-funding is requested: (i) coaching measures and other preparatory measures; (ii) employment and other business measures; (iii) training courses; (iv) start-up grants; (v) career coaching pilots; (vi) pay subsidies; (vii) allowances for travel and accommodation.

      The income support measures will constitute 22.05 % of the overall package of personalised measures, well below the maximum 35 % set out in the EGF Regulation. 1 500 redundant workers are expected to participate in the measures.

      Aware that a major change in the nature of retail jobs has occurred, with part-time jobs requiring new skills, such as IT, forecasting, data analysis, communication, customer knowledge and logistical skills, on the rise, Parliament regretted that 43 % of Finnish retail staff, who are over 45 years old, lack such skills. It awaits with interest an evaluation of the career coaching pilots that have been included for those over 50 years old, in particular women.

      Parliament recalled that the design of the coordinated package of personalised services supported by the EGF should anticipate future labour market perspectives and required skills, and should be compatible with the shift towards a resource-efficient and sustainable economy.

      Lastly, it called 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.

    type
    Decision by Parliament, 1st reading/single reading
    title
    T8-0457/2017
activities/5/type changed
Old
Vote in plenary scheduled
New
Results of vote in Parliament
activities/6 added
date
2018-01-06
text
  • PURPOSE: to mobilise the European Globalisation Adjustment Fund (EGF) to assist Finland facing redundancies in the retail sector.

    NON-LEGISLATIVE ACT: Decision (EU) 2018/7 of the European Parliament and of the Council on the mobilisation of the European Globalisation Adjustment Fund following an application from Finland — EGF/2017/005 FI/Retail.

    CONTENT: with this Decision, the European Parliament and the Council mobilised the sum of EUR 2 499 360 in commitment and payment appropriations from the European Globalisation Adjustment Fund (EGF) under the 2017 budget.

    This amount is granted in response to Finland’s application for EGF mobilisation in connection with redundancies in 3 enterprises operating in the retail sector in the following regions: Länsi Suomi, Helsinki-Uusimaa, Etelä-Suomi and Pohjois- ja Itä-Suomi in Finland.

    This application fulfils the conditions for a financial contribution from the EGF in accordance with Regulation (EU) No 1309/2013. As a reminder, the EGF aims to provide support for workers made redundant and self-employed persons whose activity has ceased as a result of major structural changes in world trade patterns due to globalisation, as a result of a continuation of the global financial and economic crisis. The EGF is not to exceed a maximum annual amount of EUR 150 million for the period 2014-2020.

    ENTRY INTO FORCE: 6.1.2018. In order to minimise delay for the mobilisation of the EGF, the decision applies from the date of its adoption, i.e. 12.12.2017.

type
Final act published in Official Journal
docs
procedure/Modified legal basis changed
Old
Rules of Procedure of the European Parliament EP 150
New
Rules of Procedure EP 150
procedure/final added
url
http://eur-lex.europa.eu/smartapi/cgi/sga_doc?smartapi!celexplus!prod!CELEXnumdoc&lg=EN&numdoc=32018D0007
title
Decision 2018/7
procedure/stage_reached changed
Old
Awaiting committee decision
New
Procedure completed
2017-11-24
2017-11-23
2017-11-10
2017-11-01
2017-10-28

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