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European Globalisation Adjustment Fund (EGF) 2014-2020

2019/0180(COD)

The European Parliament adopted by 516 votes to 23, with 17 abstentions, a legislative resolution on the proposal for a regulation of the European Parliament and of the Council amending Regulation (EU) No 1309/2013 on the European Globalisation Adjustment Fund (2014-2020).

Parliament adopted its position at first reading, in accordance with the ordinary legislative procedure, taking over the Commission proposal.

The EGF was established to enable the Union to show solidarity towards workers who lost their jobs as a result of major structural changes in world trade patterns due to globalisation.

The withdrawal of the United Kingdom from the Union without a withdrawal agreement is likely to negatively affect some industries and services by leading to people working in those sectors being made redundant. This Regulation should amend Regulation (EU) No 1309/2013 in order to specify that such redundancies fall within the scope of the EGF. This would ensure that the EGF can respond effectively by offering assistance to workers made redundant in areas, sectors, territories or labour markets subject to serious economic disruption due to the withdrawal of the United Kingdom from the Union without a withdrawal agreement.

This Regulation should enter into force as a matter of urgency on the day following that of its publication in the Official Journal of the European Union and should apply from the day following that on which the Treaties cease to apply to the United Kingdom. However, it should not apply if a withdrawal agreement concluded with the United Kingdom in accordance with Article 50(2) TEU has entered into force by that date.

In a statement annexed to the legislative resolution, the European Parliament called on the Commission and the Member States to ensure a flexible application of Article 4(2) of Regulation (EU) No 1309/2013 on the EGF 2014-2020 in the event of withdrawal of the United Kingdom from the Union, in particular with regard to collective applications involving SMEs in single or multisectoral cases.