BETA


2015/2016(BUD) Mobilisation of the European Globalisation Adjustment Fund: redundancies in the chemical industry in Poland

Progress: Procedure completed

RoleCommitteeRapporteurShadows
Lead BUDG OLBRYCHT Jan (icon: PPE PPE) GERINGER DE OEDENBERG Lidia Joanna (icon: S&D S&D), ALI Nedzhmi (icon: ALDE ALDE), VANA Monika (icon: Verts/ALE Verts/ALE), ZANNI Marco (icon: EFDD EFDD)
Committee Opinion EMPL
Committee Opinion REGI
Lead committee dossier:

Events

2015/03/20
   Final act published in Official Journal
Details

PURPOSE: to mobilise the European Globalisation Adjustment Fund (EGF) to assist Poland following redundancies in its chemical industry.

NON-LEGISLATIVE ACT: Decision (EU) 2015/469 of the European Parliament and of the Council on the mobilisation of the European Globalisation Adjustment Fund in accordance with Point 13 of the Interinstitutional Agreement of 2 December 2013 between the European Parliament, the Council and the Commission on budgetary discipline, on cooperation in budgetary matters and on sound financial management (application EGF/2013/009 PL/Zachem , from Poland).

CONTENT: with this Decision, the European Parliament and the Council have decided to mobilise the sum of EUR 115 205 in commitment and payment appropriations from European Globalisation Adjustment Fund within the framework of the general budget of the European Union for the financial year 2015.

This amount shall assist Poland in respect of redundancies in the enterprise Zachem and two suppliers and downstream producers.

This application complies with the requirements for determining the financial contributions as laid down in Regulation (EC) No 1927/2006 (EGF Regulation) which remains applicable, notwithstanding its repeal, for all applications submitted before 31 December 2013.

To recall, the European Globalisation Adjustment Fund was established to provide additional support for workers made redundant as a result of major structural changes in world trade patterns due to globalisation and to assist them with their reintegration into the labour market.

Regulation (EU, Euratom) No 1311/2013 laying down the multiannual financial framework for the years 2014-2020 provides that the EGF shall not exceed a maximum annual amount of EUR 150 million .

ENTRY INTO FORCE: 11.03.2015.

2015/03/10
   EP - Results of vote in Parliament
2015/03/10
   EP - Decision by Parliament
Details

The European Parliament adopted by 507 votes to 58, with 5 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 for an amount of EUR 115 205 in commitment and payment appropriations in order to assist Poland following redundancies in its chemical industry.

Parliament recalled that the Union set up legislative and budgetary instruments to provide additional support to workers who are suffering from the consequences of major structural changes in world trade patterns and to assist their reintegration into the labour market.

Polish application : Poland submitted application EGF/2013/009 PL/Zachem for a financial contribution from the EGF following 615 redundancies in Zaklady Chemiczne Zachem and 2 suppliers, linked to the discontinuation of production and corporate reorganisation of Zachem, operating in the NACE 2 Division 20 'Manufacture of chemicals and chemical products', located in the NUTS 2 Kujawsko-Pomorskie Province. The redundancies took place during the reference period from 31 March 2013 to 31 July 2013 and are linked to a decline in the Union's market share of the chemical industry. Therefore, Poland is entitled to a financial contribution under that Regulation .

Parliament recalled that this application is among the last two to be treated under the 2006 EGF Regulation and the adoption of Regulation (EU) No 1309/2013 reflects the agreement reached between the Parliament and the Council to reintroduce the crisis mobilisation criterion, to increase the Union financial contribution to 60% of the total estimated cost of proposed measures.

It welcomed the fact that, in order to provide workers with speedy assistance, the Polish authorities decided to initiate the implementation of the personalised services to the affected workers on 4 March 2013, well ahead of the decision and even the application on granting the EGF support for the proposed coordinated package.

Nature of the redundancies : Parliament noted that the measures supported by the EGF are targeted at the 50 workers in the most disadvantaged situation and includes the following 2 measures: hiring incentives and intervention works. It underlined that Zachem was the biggest employer in the region and that in the given reference period, the workers dismissed directly or indirectly from Zachem amounted to 60% of all newly registered unemployed persons in the district employment office in Bydgoszcz.

The resolution noted that the redundancies at Zachem and its suppliers are expected to have a negative impact on the Kujawsko-Pomorskie Province, which had the highest unemployment rate in the country, amounting to 17.4% in July 2013, despite the economic expansion the region has benefited from.

Package of personalised services : Parliament noted that the coordinated package of personalised services is aimed at complementing the numerous ongoing measures available for the redundant workers in the framework of the Human Capital Operational Programme co-financed by the European Social Fund and the other measures undertaken by the employment offices in the region. It noted that the largest proportion of the costs for personalised services will be spent on hiring incentives targeted at 45 workers, which aim to provide an incentive to employers who decided to hire these workers for at least 24 months.

It recalled the importance of improving the employability of all workers by means of adapted training and the recognition of skills and competences gained throughout a worker's professional career.

Lastly, Parliament stressed that EGF assistance can co-finance only active labour market measures which lead to durable, long-term employment . It must not replace actions which are the responsibility of companies by virtue of national law or collective agreements nor measures restructuring companies or sectors.

Documents
2015/03/09
   CSL - Draft budget approved by Council
2015/03/09
   CSL - Council Meeting
2015/03/03
   EP - End of procedure in Parliament
2015/03/02
   EP - Budgetary report tabled for plenary
Details

The Committee on Budgets adopted the report by Jan OLBRYCHT (EPP, PL) on the proposal for a decision of the European Parliament and of the Council on the mobilisation of the European Globalisation Adjustment Fund for an amount of EUR 115 205 in commitment and payment appropriations in order to assist Poland following redundancies in its chemical industry.

Members recalled that the Union set up legislative and budgetary instruments to provide additional support to workers who are suffering from the consequences of major structural changes in world trade patterns and to assist their reintegration into the labour market.

Polish application : Poland submitted application EGF/2013/009 PL/Zachem for a financial contribution from the EGF following 615 redundancies in Zaklady Chemiczne Zachem and 2 suppliers, linked to the discontinuation of production and corporate reorganisation of Zachem, operating in the NACE 2 Division 20 'Manufacture of chemicals and chemical products', located in the NUTS 2 Kujawsko-Pomorskie Province. The redundancies took place during the reference period from 31 March 2013 to 31 July 2013 and are linked to a decline in the Union's market share of the chemical industry. Therefore, Poland is entitled to a financial contribution under that Regulation.

Members recalled that this application is among the last two to be treated under the 2006 EGF Regulation and the adoption of Regulation (EU) No 1309/2013 reflects the agreement reached between the Parliament and the Council to reintroduce the crisis mobilisation criterion, to increase the Union financial contribution to 60% of the total estimated cost of proposed measures.

Members welcomed the fact that, in order to provide workers with speedy assistance, the Polish authorities decided to initiate the implementation of the personalised services to the affected workers on 4 March 2013, well ahead of the decision and even the application on granting the EGF support for the proposed coordinated package.

Nature of the redundancies : Members noted that the measures supported by the EGF are targeted at the 50 workers in the most disadvantaged situation and includes the following 2 measures: hiring incentives and intervention works. They underlined that Zachem was the biggest employer in the region and that in the given reference period, the workers dismissed directly or indirectly from Zachem amounted to 60% of all newly registered unemployed persons in the district employment office in Bydgoszcz.

Package of personalised services : Members noted that the coordinated package of personalised services is aimed at complementing the numerous ongoing measures available for the redundant workers in the framework of the Human Capital Operational Programme co-financed by the European Social Fund and the other measures undertaken by the employment offices in the region. They noted that the largest proportion of the costs for personalised services will be spent on hiring incentives targeted at 45 workers, which aim to provide an incentive to employers who decided to hire these workers for at least 24 months.

Lastly, they recalled the importance of improving the employability of all workers by means of adapted training and the recognition of skills and competences gained throughout a worker's professional career.

Documents
2015/02/26
   EP - Vote in committee
2015/02/17
   EP - Amendments tabled in committee
Documents
2015/01/30
   EP - Committee draft report
Documents
2015/01/28
   EP - Committee referral announced in Parliament
2015/01/22
   EP - OLBRYCHT Jan (PPE) appointed as rapporteur in BUDG
2015/01/21
   EC - Non-legislative basic document
Details

PURPOSE: to mobilise the European Globalisation Adjustment Fund (EGF) to assist Poland following redundancies in its chemical industry.

PROPOSED ACT: Decision of the European Parliament and of the Council.

CONTENT: Article 12 of Council Regulation (EU, Euratom) No 1311/2013 laying down the multiannual financial framework for the years 2014-2020 provides that the EGF shall not exceed a maximum annual amount of EUR 150 million (2011 prices) over and above the relevant headings of the financial framework.

The rules applicable to financial contributions from the European Globalisation Adjustment Fund (EGF) are laid down in Regulation (EC) No 1927/2006 of the European Parliament and of the Council on the European Globalisation Adjustment Fund.

On 9 October 2013, Poland submitted application EGF/2013/009 PL/Zachem for a financial contribution from the EGF, following redundancies in Zachem and 2 suppliers in Poland.

The Commission examined the application for mobilisation of the EGF to assist Poland and concluded the following:

Poland : EGF/2013/009 PL/Zachem : the application was presented to the Commission on 9 October 2013 and supplemented by additional information up to 16 June 2014.

In order to establish the link between the redundancies and major structural changes in world trade patterns due to globalisation, Poland argues that the EU has undergone a significant loss of market share in the chemical industry, losing its top position in the world for sales of chemicals. From 1992 to 2012, the EU share in the world market of chemicals drastically declined, from 35.2% in 1992 to 17.8% in 2012. The trend in recent years has evidenced the migration of chemical manufacturing towards Asia, and China in particular. The level of production in the Asian economies is also driven by lower labour costs, access to markets, subsidies, taxes and regulation.

China in particular is highly attractive for its economic potential and growth rates, but the rest of Asia, including countries such as India, Singapore or South Korea, should not be underestimated.

Zaklady Chemiczne Zachem, was a Polish manufacturer of chemical products based in Bydgoszcz, and one of the subsidiary units of Ciech. Zachem was responsible for the production of semi-finished and

finished and organic and non-organic chemical products for the automotive, chemical, furniture, construction, textile, paper, leather, and related industries as well as for the energy sector and for the manufacturers of cables. The flagship product was TDI (toluene di-isocyanate), which main component is toluene, until the shutdown of the line in December 2012.

Poland submitted this application under the intervention criteria of Article 2(a) of Regulation (EC) No 1927/2006, which requires at least 500 redundancies over a four-month period in an enterprise in a Member State, including workers made redundant in its suppliers or downstream producers.

The application cites 615 redundancies in 3 enterprises operating in the NACE Revision 2 Division 20 (Manufacture of chemicals and chemical products) in the NUTS 2 Kujawsko-Pomorskie Province (PL61) during the four-month reference period from 31 March 2013 to 31 July 2013.

After a thorough examination of this application, the Commission has concluded in accordance with Article 10 of Regulation (EC) No 1927/2006 that the conditions for a financial contribution under this Regulation are met.

On the basis of the application from Poland, the proposed contribution from the EGF to the coordinated package of personalised services is EUR 115 205 , representing 50% of the total cost.

FINANCIAL IMPLICATION: considering the maximum possible amount of a financial contribution from the EGF, as well as the scope for reallocating appropriations, the Commission proposes to mobilise the EGF for the total amount referred to above.

The proposed decision to mobilise the EGF will be taken jointly by the European Parliament and the Council, as laid down in point 13 of the Interinstitutional Agreement of 2 December 2013 between the European Parliament, the Council and the Commission on budgetary discipline, on cooperation in budgetary matters and on sound financial management.

The Commission presents separately a transfer request in order to enter in the 2015 budget specific commitment appropriations, as required in Point 13 of the Interinstitutional Agreement of 2 December 2013.

2015/01/21
   EC - Non-legislative basic document published
Details

PURPOSE: to mobilise the European Globalisation Adjustment Fund (EGF) to assist Poland following redundancies in its chemical industry.

PROPOSED ACT: Decision of the European Parliament and of the Council.

CONTENT: Article 12 of Council Regulation (EU, Euratom) No 1311/2013 laying down the multiannual financial framework for the years 2014-2020 provides that the EGF shall not exceed a maximum annual amount of EUR 150 million (2011 prices) over and above the relevant headings of the financial framework.

The rules applicable to financial contributions from the European Globalisation Adjustment Fund (EGF) are laid down in Regulation (EC) No 1927/2006 of the European Parliament and of the Council on the European Globalisation Adjustment Fund.

On 9 October 2013, Poland submitted application EGF/2013/009 PL/Zachem for a financial contribution from the EGF, following redundancies in Zachem and 2 suppliers in Poland.

The Commission examined the application for mobilisation of the EGF to assist Poland and concluded the following:

Poland : EGF/2013/009 PL/Zachem : the application was presented to the Commission on 9 October 2013 and supplemented by additional information up to 16 June 2014.

In order to establish the link between the redundancies and major structural changes in world trade patterns due to globalisation, Poland argues that the EU has undergone a significant loss of market share in the chemical industry, losing its top position in the world for sales of chemicals. From 1992 to 2012, the EU share in the world market of chemicals drastically declined, from 35.2% in 1992 to 17.8% in 2012. The trend in recent years has evidenced the migration of chemical manufacturing towards Asia, and China in particular. The level of production in the Asian economies is also driven by lower labour costs, access to markets, subsidies, taxes and regulation.

China in particular is highly attractive for its economic potential and growth rates, but the rest of Asia, including countries such as India, Singapore or South Korea, should not be underestimated.

Zaklady Chemiczne Zachem, was a Polish manufacturer of chemical products based in Bydgoszcz, and one of the subsidiary units of Ciech. Zachem was responsible for the production of semi-finished and

finished and organic and non-organic chemical products for the automotive, chemical, furniture, construction, textile, paper, leather, and related industries as well as for the energy sector and for the manufacturers of cables. The flagship product was TDI (toluene di-isocyanate), which main component is toluene, until the shutdown of the line in December 2012.

Poland submitted this application under the intervention criteria of Article 2(a) of Regulation (EC) No 1927/2006, which requires at least 500 redundancies over a four-month period in an enterprise in a Member State, including workers made redundant in its suppliers or downstream producers.

The application cites 615 redundancies in 3 enterprises operating in the NACE Revision 2 Division 20 (Manufacture of chemicals and chemical products) in the NUTS 2 Kujawsko-Pomorskie Province (PL61) during the four-month reference period from 31 March 2013 to 31 July 2013.

After a thorough examination of this application, the Commission has concluded in accordance with Article 10 of Regulation (EC) No 1927/2006 that the conditions for a financial contribution under this Regulation are met.

On the basis of the application from Poland, the proposed contribution from the EGF to the coordinated package of personalised services is EUR 115 205 , representing 50% of the total cost.

FINANCIAL IMPLICATION: considering the maximum possible amount of a financial contribution from the EGF, as well as the scope for reallocating appropriations, the Commission proposes to mobilise the EGF for the total amount referred to above.

The proposed decision to mobilise the EGF will be taken jointly by the European Parliament and the Council, as laid down in point 13 of the Interinstitutional Agreement of 2 December 2013 between the European Parliament, the Council and the Commission on budgetary discipline, on cooperation in budgetary matters and on sound financial management.

The Commission presents separately a transfer request in order to enter in the 2015 budget specific commitment appropriations, as required in Point 13 of the Interinstitutional Agreement of 2 December 2013.

Documents

Activities

Votes

A8-0036/2015 - Jan Olbrycht - Vote unique #

2015/03/10 Outcome: +: 507, -: 58, 0: 5
DE FR IT ES PL RO BE AT HU PT BG CZ EL NL LT HR IE SK EE SI CY MT LV LU FI DK SE GB
Total
72
54
50
38
40
26
17
16
16
15
15
19
18
17
8
10
8
10
6
6
6
6
6
5
8
9
13
55
icon: PPE PPE
189

Lithuania PPE

1

Estonia PPE

For (1)

1

Slovenia PPE

3

Luxembourg PPE

3

Finland PPE

For (1)

1

Denmark PPE

For (1)

1

Sweden PPE

Against (1)

3
icon: S&D S&D
141

Belgium S&D

3

Croatia S&D

For (1)

1

Ireland S&D

For (1)

1

Slovakia S&D

2

Estonia S&D

For (1)

1

Slovenia S&D

For (1)

1

Cyprus S&D

2

Malta S&D

3

Latvia S&D

1

Luxembourg S&D

For (1)

1

Finland S&D

1

Denmark S&D

2
icon: ALDE ALDE
49

Germany ALDE

For (1)

Abstain (1)

2

Romania ALDE

For (1)

1

Austria ALDE

For (1)

1
3

Lithuania ALDE

2

Croatia ALDE

2

Ireland ALDE

For (1)

1

Estonia ALDE

3

Slovenia ALDE

For (1)

1

Denmark ALDE

3

Sweden ALDE

2

United Kingdom ALDE

1
icon: Verts/ALE Verts/ALE
41

Belgium Verts/ALE

2

Austria Verts/ALE

2

Hungary Verts/ALE

2

Netherlands Verts/ALE

2

Lithuania Verts/ALE

For (1)

1

Croatia Verts/ALE

For (1)

1

Estonia Verts/ALE

For (1)

1

Slovenia Verts/ALE

For (1)

1

Latvia Verts/ALE

1

Luxembourg Verts/ALE

For (1)

1

Sweden Verts/ALE

3
icon: GUE/NGL GUE/NGL
34

France GUE/NGL

Against (1)

4
3

Netherlands GUE/NGL

2

Ireland GUE/NGL

For (1)

Abstain (1)

2

Cyprus GUE/NGL

2

Finland GUE/NGL

For (1)

1

United Kingdom GUE/NGL

1
icon: NI NI
35

Germany NI

2

Poland NI

Against (1)

1

Belgium NI

For (1)

1

Hungary NI

2

Netherlands NI

3

United Kingdom NI

Against (1)

1
icon: ECR ECR
45

Bulgaria ECR

Against (1)

1

Czechia ECR

2

Greece ECR

For (1)

1

Netherlands ECR

For (1)

Against (1)

2

Croatia ECR

Against (1)

1

Slovakia ECR

Against (1)

Abstain (1)

2

Finland ECR

2
icon: EFDD EFDD
35

Poland EFDD

1

Czechia EFDD

Against (1)

1

Lithuania EFDD

2

Sweden EFDD

2
AmendmentsDossier
4 2015/2016(BUD)
2015/02/17 BUDG 4 amendments...
source: 549.261

History

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

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  • date: 2015-02-26T00:00:00 body: EP type: Vote in committee, 1st reading/single reading committees: body: EP shadows: group: S&D name: GERINGER DE OEDENBERG Lidia Joanna group: ALDE name: ALI Nedzhmi group: GUE/NGL name: NÍ RIADA Liadh group: Verts/ALE name: VANA Monika group: EFD name: ZANNI Marco responsible: True committee: BUDG date: 2015-01-22T00:00:00 committee_full: Budgets rapporteur: group: EPP name: OLBRYCHT Jan body: EP responsible: False committee_full: Employment and Social Affairs committee: EMPL body: EP responsible: False committee_full: Regional Development committee: REGI
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  • body: CSL type: Council Meeting council: Employment, Social Policy, Health and Consumer Affairs meeting_id: 3374 url: http://register.consilium.europa.eu/content/out?lang=EN&typ=SET&i=SMPL&ROWSPP=25&RESULTSET=1&NRROWS=500&DOC_LANCD=EN&ORDERBY=DOC_DATE+DESC&CONTENTS=3374*&MEET_DATE=09/03/2015 date: 2015-03-09T00:00:00
docs
  • date: 2015-01-30T00:00:00 docs: url: http://www.europarl.europa.eu/sides/getDoc.do?type=COMPARL&mode=XML&language=EN&reference=PE546.864 title: PE546.864 type: Committee draft report body: EP
  • date: 2015-02-17T00:00:00 docs: url: http://www.europarl.europa.eu/sides/getDoc.do?type=COMPARL&mode=XML&language=EN&reference=PE549.261 title: PE549.261 type: Amendments tabled in committee body: EP
events
  • date: 2015-01-21T00:00:00 type: Non-legislative basic document published body: EC docs: url: http://www.europarl.europa.eu/RegData/docs_autres_institutions/commission_europeenne/com/2015/0013/COM_COM(2015)0013_EN.pdf title: COM(2015)0013 url: https://eur-lex.europa.eu/smartapi/cgi/sga_doc?smartapi!celexplus!prod!DocNumber&lg=EN&type_doc=COMfinal&an_doc=2015&nu_doc=0013 title: EUR-Lex summary: PURPOSE: to mobilise the European Globalisation Adjustment Fund (EGF) to assist Poland following redundancies in its chemical industry. PROPOSED ACT: Decision of the European Parliament and of the Council. CONTENT: Article 12 of Council Regulation (EU, Euratom) No 1311/2013 laying down the multiannual financial framework for the years 2014-2020 provides that the EGF shall not exceed a maximum annual amount of EUR 150 million (2011 prices) over and above the relevant headings of the financial framework. The rules applicable to financial contributions from the European Globalisation Adjustment Fund (EGF) are laid down in Regulation (EC) No 1927/2006 of the European Parliament and of the Council on the European Globalisation Adjustment Fund. On 9 October 2013, Poland submitted application EGF/2013/009 PL/Zachem for a financial contribution from the EGF, following redundancies in Zachem and 2 suppliers in Poland. The Commission examined the application for mobilisation of the EGF to assist Poland and concluded the following: Poland : EGF/2013/009 PL/Zachem : the application was presented to the Commission on 9 October 2013 and supplemented by additional information up to 16 June 2014. In order to establish the link between the redundancies and major structural changes in world trade patterns due to globalisation, Poland argues that the EU has undergone a significant loss of market share in the chemical industry, losing its top position in the world for sales of chemicals. From 1992 to 2012, the EU share in the world market of chemicals drastically declined, from 35.2% in 1992 to 17.8% in 2012. The trend in recent years has evidenced the migration of chemical manufacturing towards Asia, and China in particular. The level of production in the Asian economies is also driven by lower labour costs, access to markets, subsidies, taxes and regulation. China in particular is highly attractive for its economic potential and growth rates, but the rest of Asia, including countries such as India, Singapore or South Korea, should not be underestimated. Zaklady Chemiczne Zachem, was a Polish manufacturer of chemical products based in Bydgoszcz, and one of the subsidiary units of Ciech. Zachem was responsible for the production of semi-finished and finished and organic and non-organic chemical products for the automotive, chemical, furniture, construction, textile, paper, leather, and related industries as well as for the energy sector and for the manufacturers of cables. The flagship product was TDI (toluene di-isocyanate), which main component is toluene, until the shutdown of the line in December 2012. Poland submitted this application under the intervention criteria of Article 2(a) of Regulation (EC) No 1927/2006, which requires at least 500 redundancies over a four-month period in an enterprise in a Member State, including workers made redundant in its suppliers or downstream producers. The application cites 615 redundancies in 3 enterprises operating in the NACE Revision 2 Division 20 (Manufacture of chemicals and chemical products) in the NUTS 2 Kujawsko-Pomorskie Province (PL61) during the four-month reference period from 31 March 2013 to 31 July 2013. After a thorough examination of this application, the Commission has concluded in accordance with Article 10 of Regulation (EC) No 1927/2006 that the conditions for a financial contribution under this Regulation are met. On the basis of the application from Poland, the proposed contribution from the EGF to the coordinated package of personalised services is EUR 115 205 , representing 50% of the total cost. FINANCIAL IMPLICATION: considering the maximum possible amount of a financial contribution from the EGF, as well as the scope for reallocating appropriations, the Commission proposes to mobilise the EGF for the total amount referred to above. The proposed decision to mobilise the EGF will be taken jointly by the European Parliament and the Council, as laid down in point 13 of the Interinstitutional Agreement of 2 December 2013 between the European Parliament, the Council and the Commission on budgetary discipline, on cooperation in budgetary matters and on sound financial management. The Commission presents separately a transfer request in order to enter in the 2015 budget specific commitment appropriations, as required in Point 13 of the Interinstitutional Agreement of 2 December 2013.
  • date: 2015-01-28T00:00:00 type: Committee referral announced in Parliament, 1st reading/single reading body: EP
  • date: 2015-02-26T00:00:00 type: Vote in committee, 1st reading/single reading body: EP
  • date: 2015-03-02T00:00:00 type: Budgetary report tabled for plenary, 1st reading body: EP docs: url: http://www.europarl.europa.eu/sides/getDoc.do?type=REPORT&mode=XML&reference=A8-2015-0036&language=EN title: A8-0036/2015 summary: The Committee on Budgets adopted the report by Jan OLBRYCHT (EPP, PL) on the proposal for a decision of the European Parliament and of the Council on the mobilisation of the European Globalisation Adjustment Fund for an amount of EUR 115 205 in commitment and payment appropriations in order to assist Poland following redundancies in its chemical industry. Members recalled that the Union set up legislative and budgetary instruments to provide additional support to workers who are suffering from the consequences of major structural changes in world trade patterns and to assist their reintegration into the labour market. Polish application : Poland submitted application EGF/2013/009 PL/Zachem for a financial contribution from the EGF following 615 redundancies in Zaklady Chemiczne Zachem and 2 suppliers, linked to the discontinuation of production and corporate reorganisation of Zachem, operating in the NACE 2 Division 20 'Manufacture of chemicals and chemical products', located in the NUTS 2 Kujawsko-Pomorskie Province. The redundancies took place during the reference period from 31 March 2013 to 31 July 2013 and are linked to a decline in the Union's market share of the chemical industry. Therefore, Poland is entitled to a financial contribution under that Regulation. Members recalled that this application is among the last two to be treated under the 2006 EGF Regulation and the adoption of Regulation (EU) No 1309/2013 reflects the agreement reached between the Parliament and the Council to reintroduce the crisis mobilisation criterion, to increase the Union financial contribution to 60% of the total estimated cost of proposed measures. Members welcomed the fact that, in order to provide workers with speedy assistance, the Polish authorities decided to initiate the implementation of the personalised services to the affected workers on 4 March 2013, well ahead of the decision and even the application on granting the EGF support for the proposed coordinated package. Nature of the redundancies : Members noted that the measures supported by the EGF are targeted at the 50 workers in the most disadvantaged situation and includes the following 2 measures: hiring incentives and intervention works. They underlined that Zachem was the biggest employer in the region and that in the given reference period, the workers dismissed directly or indirectly from Zachem amounted to 60% of all newly registered unemployed persons in the district employment office in Bydgoszcz. Package of personalised services : Members noted that the coordinated package of personalised services is aimed at complementing the numerous ongoing measures available for the redundant workers in the framework of the Human Capital Operational Programme co-financed by the European Social Fund and the other measures undertaken by the employment offices in the region. They noted that the largest proportion of the costs for personalised services will be spent on hiring incentives targeted at 45 workers, which aim to provide an incentive to employers who decided to hire these workers for at least 24 months. Lastly, they recalled the importance of improving the employability of all workers by means of adapted training and the recognition of skills and competences gained throughout a worker's professional career.
  • date: 2015-03-03T00:00:00 type: End of procedure in Parliament body: EP
  • date: 2015-03-09T00:00:00 type: Draft budget approved by Council body: CSL
  • date: 2015-03-10T00:00:00 type: Results of vote in Parliament body: EP docs: url: https://oeil.secure.europarl.europa.eu/oeil/popups/sda.do?id=25343&l=en title: Results of vote in Parliament
  • date: 2015-03-10T00:00:00 type: Decision by Parliament, 1st reading/single reading body: EP docs: url: http://www.europarl.europa.eu/sides/getDoc.do?type=TA&language=EN&reference=P8-TA-2015-0041 title: T8-0041/2015 summary: The European Parliament adopted by 507 votes to 58, with 5 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 for an amount of EUR 115 205 in commitment and payment appropriations in order to assist Poland following redundancies in its chemical industry. Parliament recalled that the Union set up legislative and budgetary instruments to provide additional support to workers who are suffering from the consequences of major structural changes in world trade patterns and to assist their reintegration into the labour market. Polish application : Poland submitted application EGF/2013/009 PL/Zachem for a financial contribution from the EGF following 615 redundancies in Zaklady Chemiczne Zachem and 2 suppliers, linked to the discontinuation of production and corporate reorganisation of Zachem, operating in the NACE 2 Division 20 'Manufacture of chemicals and chemical products', located in the NUTS 2 Kujawsko-Pomorskie Province. The redundancies took place during the reference period from 31 March 2013 to 31 July 2013 and are linked to a decline in the Union's market share of the chemical industry. Therefore, Poland is entitled to a financial contribution under that Regulation . Parliament recalled that this application is among the last two to be treated under the 2006 EGF Regulation and the adoption of Regulation (EU) No 1309/2013 reflects the agreement reached between the Parliament and the Council to reintroduce the crisis mobilisation criterion, to increase the Union financial contribution to 60% of the total estimated cost of proposed measures. It welcomed the fact that, in order to provide workers with speedy assistance, the Polish authorities decided to initiate the implementation of the personalised services to the affected workers on 4 March 2013, well ahead of the decision and even the application on granting the EGF support for the proposed coordinated package. Nature of the redundancies : Parliament noted that the measures supported by the EGF are targeted at the 50 workers in the most disadvantaged situation and includes the following 2 measures: hiring incentives and intervention works. It underlined that Zachem was the biggest employer in the region and that in the given reference period, the workers dismissed directly or indirectly from Zachem amounted to 60% of all newly registered unemployed persons in the district employment office in Bydgoszcz. The resolution noted that the redundancies at Zachem and its suppliers are expected to have a negative impact on the Kujawsko-Pomorskie Province, which had the highest unemployment rate in the country, amounting to 17.4% in July 2013, despite the economic expansion the region has benefited from. Package of personalised services : Parliament noted that the coordinated package of personalised services is aimed at complementing the numerous ongoing measures available for the redundant workers in the framework of the Human Capital Operational Programme co-financed by the European Social Fund and the other measures undertaken by the employment offices in the region. It noted that the largest proportion of the costs for personalised services will be spent on hiring incentives targeted at 45 workers, which aim to provide an incentive to employers who decided to hire these workers for at least 24 months. It recalled the importance of improving the employability of all workers by means of adapted training and the recognition of skills and competences gained throughout a worker's professional career. Lastly, Parliament stressed that EGF assistance can co-finance only active labour market measures which lead to durable, long-term employment . It must not replace actions which are the responsibility of companies by virtue of national law or collective agreements nor measures restructuring companies or sectors.
  • date: 2015-03-20T00:00:00 type: Final act published in Official Journal summary: PURPOSE: to mobilise the European Globalisation Adjustment Fund (EGF) to assist Poland following redundancies in its chemical industry. NON-LEGISLATIVE ACT: Decision (EU) 2015/469 of the European Parliament and of the Council on the mobilisation of the European Globalisation Adjustment Fund in accordance with Point 13 of the Interinstitutional Agreement of 2 December 2013 between the European Parliament, the Council and the Commission on budgetary discipline, on cooperation in budgetary matters and on sound financial management (application EGF/2013/009 PL/Zachem , from Poland). CONTENT: with this Decision, the European Parliament and the Council have decided to mobilise the sum of EUR 115 205 in commitment and payment appropriations from European Globalisation Adjustment Fund within the framework of the general budget of the European Union for the financial year 2015. This amount shall assist Poland in respect of redundancies in the enterprise Zachem and two suppliers and downstream producers. This application complies with the requirements for determining the financial contributions as laid down in Regulation (EC) No 1927/2006 (EGF Regulation) which remains applicable, notwithstanding its repeal, for all applications submitted before 31 December 2013. To recall, the European Globalisation Adjustment Fund was established to provide additional support for workers made redundant as a result of major structural changes in world trade patterns due to globalisation and to assist them with their reintegration into the labour market. Regulation (EU, Euratom) No 1311/2013 laying down the multiannual financial framework for the years 2014-2020 provides that the EGF shall not exceed a maximum annual amount of EUR 150 million . ENTRY INTO FORCE: 11.03.2015. docs: title: Decision 2015/469 url: https://eur-lex.europa.eu/smartapi/cgi/sga_doc?smartapi!celexplus!prod!CELEXnumdoc&lg=EN&numdoc=32015D0469 title: OJ L 076 20.03.2015, p. 0054 url: https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=OJ:L:2015:076:TOC
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  • body: EC dg: url: http://ec.europa.eu/dgs/budget/ title: Budget commissioner: GEORGIEVA Kristalina
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  • 4.15.05 Industrial restructuring, job losses, redundancies, relocations, Globalisation Adjustment Fund (EGF)
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  • url: http://eur-lex.europa.eu/smartapi/cgi/sga_doc?smartapi!celexplus!prod!CELEXnumdoc&lg=EN&numdoc=32015D0469 title: Decision 2015/469
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  • PURPOSE: to mobilise the European Globalisation Adjustment Fund (EGF) to assist Poland following redundancies in its chemical industry.

    NON-LEGISLATIVE ACT: Decision (EU) 2015/469 of the European Parliament and of the Council on the mobilisation of the European Globalisation Adjustment Fund in accordance with Point 13 of the Interinstitutional Agreement of 2 December 2013 between the European Parliament, the Council and the Commission on budgetary discipline, on cooperation in budgetary matters and on sound financial management (application EGF/2013/009 PL/Zachem, from Poland).

    CONTENT: with this Decision, the European Parliament and the Council have decided to mobilise the sum of EUR 115 205 in commitment and payment appropriations from European Globalisation Adjustment Fund within the framework of the general budget of the European Union for the financial year 2015.

    This amount shall assist Poland in respect of redundancies in the enterprise Zachem and two suppliers and downstream producers.

    This application complies with the requirements for determining the financial contributions as laid down in Regulation (EC) No 1927/2006 (EGF Regulation) which remains applicable, notwithstanding its repeal, for all applications submitted before 31 December 2013.

    To recall, the European Globalisation Adjustment Fund was established to provide additional support for workers made redundant as a result of major structural changes in world trade patterns due to globalisation and to assist them with their reintegration into the labour market.

    Regulation (EU, Euratom) No 1311/2013 laying down the multiannual financial framework for the years 2014-2020 provides that the EGF shall not exceed a maximum annual amount of EUR 150 million.

    ENTRY INTO FORCE: 11.03.2015.

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4.15.05 Industrial restructuring, job losses, redundancies, relocations
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  • The European Parliament adopted by 507 votes to 58, with 5 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 for an amount of EUR 115 205 in commitment and payment appropriations in order to assist Poland following redundancies in its chemical industry.

    Parliament recalled that the Union set up legislative and budgetary instruments to provide additional support to workers who are suffering from the consequences of major structural changes in world trade patterns and to assist their reintegration into the labour market.

    Polish application: Poland submitted application EGF/2013/009 PL/Zachem for a financial contribution from the EGF following 615 redundancies in Zaklady Chemiczne Zachem and 2 suppliers, linked to the discontinuation of production and corporate reorganisation of Zachem, operating in the NACE 2 Division 20 'Manufacture of chemicals and chemical products', located in the NUTS 2 Kujawsko-Pomorskie Province. The redundancies took place during the reference period from 31 March 2013 to 31 July 2013 and are linked to a decline in the Union's market share of the chemical industry. Therefore, Poland is entitled to a financial contribution under that Regulation.

    Parliament recalled that this application is among the last two to be treated under the 2006 EGF Regulation and the adoption of Regulation (EU) No 1309/2013 reflects the agreement reached between the Parliament and the Council to reintroduce the crisis mobilisation criterion, to increase the Union financial contribution to 60% of the total estimated cost of proposed measures.

    It welcomed the fact that, in order to provide workers with speedy assistance, the Polish authorities decided to initiate the implementation of the personalised services to the affected workers on 4 March 2013, well ahead of the decision and even the application on granting the EGF support for the proposed coordinated package.

    Nature of the redundancies: Parliament noted that the measures supported by the EGF are targeted at the 50 workers in the most disadvantaged situation and includes the following 2 measures: hiring incentives and intervention works. It underlined that Zachem was the biggest employer in the region and that in the given reference period, the workers dismissed directly or indirectly from Zachem amounted to 60% of all newly registered unemployed persons in the district employment office in Bydgoszcz.

    The resolution noted that the redundancies at Zachem and its suppliers are expected to have a negative impact on the Kujawsko-Pomorskie Province, which had the highest unemployment rate in the country, amounting to 17.4% in July 2013, despite the economic expansion the region has benefited from.

    Package of personalised services: Parliament noted that the coordinated package of personalised services is aimed at complementing the numerous ongoing measures available for the redundant workers in the framework of the Human Capital Operational Programme co-financed by the European Social Fund and the other measures undertaken by the employment offices in the region. It noted that the largest proportion of the costs for personalised services will be spent on hiring incentives targeted at 45 workers, which aim to provide an incentive to employers who decided to hire these workers for at least 24 months.

    It recalled the importance of improving the employability of all workers by means of adapted training and the recognition of skills and competences gained throughout a worker's professional career.

    Lastly, Parliament stressed that EGF assistance can co-finance only active labour market measures which lead to durable, long-term employment. It must not replace actions which are the responsibility of companies by virtue of national law or collective agreements nor measures restructuring companies or sectors.

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  • PURPOSE: to mobilise the European Globalisation Adjustment Fund (EGF) to assist Poland following redundancies in its chemical industry.

    PROPOSED ACT: Decision of the European Parliament and of the Council.

    CONTENT: Article 12 of Council Regulation (EU, Euratom) No 1311/2013 laying down the multiannual financial framework for the years 2014-2020 provides that the EGF shall not exceed a maximum annual amount of EUR 150 million (2011 prices) over and above the relevant headings of the financial framework.

    The rules applicable to financial contributions from the European Globalisation Adjustment Fund (EGF) are laid down in Regulation (EC) No 1927/2006 of the European Parliament and of the Council on the European Globalisation Adjustment Fund.

    On 9 October 2013, Poland submitted application EGF/2013/009 PL/Zachem for a financial contribution from the EGF, following redundancies in Zachem and 2 suppliers in Poland.

    The Commission examined the application for mobilisation of the EGF to assist Poland and concluded the following:

    Poland: EGF/2013/009 PL/Zachem: the application was presented to the Commission on 9 October 2013 and supplemented by additional information up to 16 June 2014.

    In order to establish the link between the redundancies and major structural changes in world trade patterns due to globalisation, Poland argues that the EU has undergone a significant loss of market share in the chemical industry, losing its top position in the world for sales of chemicals. From 1992 to 2012, the EU share in the world market of chemicals drastically declined, from 35.2% in 1992 to 17.8% in 2012. The trend in recent years has evidenced the migration of chemical manufacturing towards Asia, and China in particular. The level of production in the Asian economies is also driven by lower labour costs, access to markets, subsidies, taxes and regulation.

    China in particular is highly attractive for its economic potential and growth rates, but the rest of Asia, including countries such as India, Singapore or South Korea, should not be underestimated.

    Zaklady Chemiczne Zachem, was a Polish manufacturer of chemical products based in Bydgoszcz, and one of the subsidiary units of Ciech. Zachem was responsible for the production of semi-finished and

    finished and organic and non-organic chemical products for the automotive, chemical, furniture, construction, textile, paper, leather, and related industries as well as for the energy sector and for the manufacturers of cables. The flagship product was TDI (toluene di-isocyanate), which main component is toluene, until the shutdown of the line in December 2012.

    Poland submitted this application under the intervention criteria of Article 2(a) of Regulation (EC) No 1927/2006, which requires at least 500 redundancies over a four-month period in an enterprise in a Member State, including workers made redundant in its suppliers or downstream producers.

    The application cites 615 redundancies in 3 enterprises operating in the NACE Revision 2 Division 20 (Manufacture of chemicals and chemical products) in the NUTS 2 Kujawsko-Pomorskie Province (PL61) during the four-month reference period from 31 March 2013 to 31 July 2013.

    After a thorough examination of this application, the Commission has concluded in accordance with Article 10 of Regulation (EC) No 1927/2006 that the conditions for a financial contribution under this Regulation are met.

    On the basis of the application from Poland, the proposed contribution from the EGF to the coordinated package of personalised services is EUR 115 205, representing 50% of the total cost.

    FINANCIAL IMPLICATION: considering the maximum possible amount of a financial contribution from the EGF, as well as the scope for reallocating appropriations, the Commission proposes to mobilise the EGF for the total amount referred to above.

    The proposed decision to mobilise the EGF will be taken jointly by the European Parliament and the Council, as laid down in point 13 of the Interinstitutional Agreement of 2 December 2013 between the European Parliament, the Council and the Commission on budgetary discipline, on cooperation in budgetary matters and on sound financial management.

    The Commission presents separately a transfer request in order to enter in the 2015 budget specific commitment appropriations, as required in Point 13 of the Interinstitutional Agreement of 2 December 2013.

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  • group: EPP name: OLBRYCHT Jan
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  • group: S&D name: GERINGER DE OEDENBERG Lidia Joanna
  • group: ALDE name: JÄÄTTEENMÄKI Anneli
  • group: GUE/NGL name: NÍ RIADA Liadh
  • group: Verts/ALE name: VANA Monika
  • group: EFD name: ZANNI Marco
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  • body: EP responsible: True committee_full: Budgets committee: BUDG
  • body: EP responsible: False committee_full: Employment and Social Affairs committee: EMPL
  • body: EP responsible: False committee_full: Regional Development committee: REGI
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  • body: EC dg: url: http://ec.europa.eu/dgs/budget/ title: Budget commissioner: GEORGIEVA Kristalina
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Mobilisation of the European Globalisation Adjustment Fund: redundancies in the chemical industry in Poland
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