€1 Billion Boost for Unemployment Fund

Today, Wednesday, December 11th, the European Parliament voted by a large majority in favour of adopting the Harkin report which establishes the European Globalisation Fund, a €1 billion Fund to assist workers who have lost their jobs due to Globalisation or the current economic and financial crisis.

Marian Harkin MEP said:- “I am particularly pleased that workers who lost their jobs due to the current crisis can now be included in the fund. I, and indeed the Parliament, fought very hard on this issue because these workers must be given the chance to avail of re-training or up skilling opportunities provided by the Fund.

“This Fund, which can be accessed when the number of redundancies exceeds 500, can also be used for redundant workers to set up their own business or as an aid for self-employment. The Globalisation Fund is very flexible in that the threshold of 500 redundancies does not have to be met where the job losses have a significant adverse effect on unemployment in the local or regional economy.

“Also the redundancies do not have to occur in a single enterprise but all the job losses in SMEs and indeed self-employed persons can be included when they occur in a particular sector.

“Ireland has made seven successful applications to this Fund and I am delighted to be in a position to say that the Globalisation Fund will be in place from 2014 – 2020 for workers who unfortunately lose their jobs.

“A new aspect of the fund is that Member States can apply for funding for young unemployed people in regions with high youth unemployment.  The numbers of young unemployed can be equal to the numbers already applied for in an application for redundant works.  This means that there can be a double benefit and it incentivises Members States to use the Fund.

“I am very pleased to have played the leading role in the Parliament in ensuring the continuation of this Fund to 2020.”Marian Harkin concluded


Further Information

Ireland has made seven applications to the EGF during the current programming period, Dell, SR Technics, Waterford Glass, Talk Talk and three applications for the construction industry. Over €100 million in total (both EU and Government funding) was made available for redundant workers. Amounts per worker varied from €2,500 to €9,000.

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