BETA


2015/2298(BUD) Mobilisation of the European Globalisation Adjustment Fund: redundancies in the ICT sector in Finland

Progress: Procedure completed

RoleCommitteeRapporteurShadows
Lead BUDG ZANNI Marco (icon: EFDD EFDD) NEGRESCU Victor (icon: S&D S&D), KÖLMEL Bernd (icon: ECR ECR), JÄÄTTEENMÄKI Anneli (icon: ALDE ALDE), VANA Monika (icon: Verts/ALE Verts/ALE)
Committee Opinion EMPL
Committee Opinion REGI
Lead committee dossier:

Events

2015/12/24
   Final act published in Official Journal
Details

PURPOSE: to mobilise the European Globalisation Adjustment Fund (EGF) in order to assist Finland in dealing with redundancies in its information technology (ICT) sector.

LEGISLATIVE ACT: Decision (EU) 2015/2457 of the European Parliament and of the Council on the mobilisation of the European Globalisation Adjustment Fund (application from Finland — EGF/2015/005 FI/Computer Programming).

CONTENT: with this Decision, the European Parliament and the Council have decided to mobilise the sum of EUR 2 623 200 in commitment and payment appropriations from European Globalisation Adjustment Fund within the framework of the 2015 budget.

This amount aims to obtain a financial contribution from the EGF following redundancies in the economic sector classified under the NACE Revision 2 Division 62 (Computer programming, consultancy and related activities) in the NUTS level 2 regions of Länsi-Suomi (FI19), Helsinki-Uusimaa (FI1B), Etelä-Suomi (FI1C) and Pohjois- ja Itä-Suomi (FI1D) in Finland.

Given that this application complies with the requirements for determining the financial contributions as laid down in Regulation No 1309/2013 (EGF Regulation 2014-2020), the European Parliament and Council have decided to grant the above-mentioned amount.

The application was considered admissible since the redundancies have a serious impact on employment and the local, regional or national economy. Ireland has also decided to provide personalised services co-financed by the EGF also to 108 young persons not in employment, education or training (NEETs).

To recall, the European Globalisation Adjustment Fund (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, or as a result of a new global financial and economic crisis, and to assist them with their reintegration into the labour market.

Council Regulation (EU, Euratom) No 1311/2013 laying down the multiannual financial framework for the years 2014-2020, allows mobilization of the EGF upto a maximum annual amount of EUR 150 million .

ENTRY INTO FORCE: 16.12.2015.

2015/12/15
   EP - Results of vote in Parliament
2015/12/15
   EP - Decision by Parliament
Details

The European Parliament adopted by 597 votes to 83, with 13 abstentions, a resolution on the proposal for a decision of the European Parliament and of the Council on mobilisation of the European Globalisation Adjustment Fund, for an amount of EUR 2 623 200 in commitment and payment appropriations in order to assist Finland in dealing with redundancies in its information technology (ICT) sector.

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 or of the global financial and economic crisis and to assist their reintegration into the labour market.

Finnish application : Finland submitted application EGF/2015/005 FI/Computer Programming for a financial contribution from the EGF following 1 603 redundancies in 69 enterprises operating in the NACE Rev. 2 division 62 ('Computer programming, consultancy and related activities') in several NUTS level 2 regions covering the whole of Finland. An estimated 1 200 redundant workers are expected to participate in the measures.

Given that the conditions set out in point (b) of Article 4(1) of the EGF Regulation are met, Finland is entitled to a financial contribution for the workers made redundant.

Nature of the redundancies : Parliament noted that in recent years the distribution of ICT sector employment between the Union and other economies has developed to the detriment of the Union and underlined that while in 2008, the technology industry employed a total of 326 000 people in Finland, the number of people employed by such companies in 2014 was 276 000, which corresponds to an average decline per year of about 3%. The events giving rise to these redundancies are the developments affecting Nokia in recent years. It stated that developing and designing operating systems for Nokia mobile phones used to employ thousands of Finnish people and these functions have now been transferred to countries outside Europe. These redundancies will further aggravate the unemployment situation in the ICT sector in regions struggling with a high unemployment rate.

Parliament noted that redundancies in the ICT sector are affecting particularly the Oulu region in Northern Ostrobothnia where ICT sector has been a mainstay of the economy for years. It regretted that in spring 2015, there were approximately 1 500 unemployed jobseekers in the ICT sector in Northern Ostrobothnia and that in many cases unemployment has become prolonged as one third of unemployed people with a higher education degree have been without work for more than a year.

A personalised package of services : Parliament welcomed the fact that, in order to provide workers with speedy assistance, the Finnish authorities decided to initiate the implementation of the personalised services to the affected workers on 1 August 2014, well ahead of the decision on the granting the EGF support for the proposed coordinated package.

It noted that Finland is planning seven types of measures for redundant workers covered by this application:

coaching measures and other preparatory measures, employment and business services, training, pay subsidies, start-up grants, steering towards entrepreneurship and services for new entrepreneurs, allowances for travel, overnight and removal costs.

It welcomed the measures supporting entrepreneurship, in the form of start-up grants and measures steering towards entrepreneurship and services for new entrepreneurs. It considered that these measures will be more useful if they are provided in combination to the participants. Members pointed out that a pay subsidy should preferably be provided to the dismissed workers only when the jobs offered to the participants comply with the adequate quality requirements in terms of skill level and duration of contract.

Parliament noted that the authorities estimate that 18.31% of the costs will be used for allowances and incentives, which remains much below the maximum allowed 35% of all costs.

Measures supporting entrepreneurship : Parliament welcomed the measures supporting entrepreneurship, in the form of start-up grants and measures steering towards entrepreneurship and services for new entrepreneurs. It considered that these measures will be more useful if they are provided in combination to the participants. It welcomed in particular the proposed measures which aim at creating new businesses and which will foster entrepreneurship and services for new entrepreneurs.

It recalled that, in line with the EGF Regulation, 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.

Appropriate and complementary measures : Parliament asked the Commission to further detail, in future proposals, the sectors in which the workers are likely to find employment and if the training on offer is aligned to the future economic prospects and labour market needs in the regions concerned by the dismissals.

It expected the Commission to oversee and evaluate the use of the money granted and to use this information in future applications to further direct the use of EGF to align it with ideas of performance based budgeting.

Lastly, Parliament noted that the Finnish authorities confirm that the eligible actions do not receive assistance from other Union financial instruments.

Documents
2015/12/15
   EP - End of procedure in Parliament
2015/12/14
   CSL - Draft budget approved by Council
2015/12/14
   CSL - Council Meeting
2015/12/10
   EP - Vote in committee
2015/12/10
   EP - Budgetary report tabled for plenary
Details

The Committee on Budgets adopted the report by Marco ZANNI (EFDD, IT) on the proposal for a decision of the European Parliament and of the Council on mobilisation of the European Globalisation Adjustment Fund, for an amount of EUR 2 623 200 in commitment and payment appropriations in order to assist Finland in dealing with redundancies in its information technology (ICT) sector.

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 or of the global financial and economic crisis and to assist their reintegration into the labour market.

Finnish application : Finland submitted application EGF/2015/005 FI/Computer Programming for a financial contribution from the EGF following 1 603 redundancies in 69 enterprises operating in the NACE Rev. 2 division 62 ('Computer programming, consultancy and related activities') in several NUTS level 2 regions covering the whole of Finland. An estimated 1 200 redundant workers are expected to participate in the measures.

Given that the conditions set out in point (b) of Article 4(1) of the EGF Regulation are met, Finland is entitled to a financial contribution for the workers made redundant.

Nature of the redundancies : Members noted that in recent years the distribution of ICT sector employment between the Union and other economies has developed to the detriment of the Union and underlined that while in 2008, the technology industry employed a total of 326 000 people in Finland, the number of people employed by such companies in 2014 was 276 000, which corresponds to an average decline per year of about 3%. The events giving rise to these redundancies are the developments affecting Nokia in recent years. They stated that developing and designing operating systems for Nokia mobile phones used to employ thousands of Finnish people and these functions have now been transferred to countries outside Europe. These redundancies will further aggravate the unemployment situation in the ICT sector in regions struggling with a high unemployment rate.

Members noted that redundancies in the ICT sector are affecting particularly the Oulu region in Northern Ostrobothnia where ICT sector has been a mainstay of the economy for years. They regretted that in spring 2015, there were approximately 1 500 unemployed jobseekers in the ICT sector in Northern Ostrobothnia and that in many cases unemployment has become prolonged as one third of unemployed people with a higher education degree have been without work for more than a year.

A package of personalised services : Members welcomed the fact that, in order to provide workers with speedy assistance, the Finnish authorities decided to initiate the implementation of the personalised services to the affected workers on 1 August 2014, well ahead of the decision on the granting the EGF support for the proposed coordinated package.

Members noted that Finland is planning seven types of measures for redundant workers covered by this application:

coaching measures and other preparatory measures, employment and business services, training, pay subsidies, start-up grants, steering towards entrepreneurship and services for new entrepreneurs, allowances for travel, overnight and removal costs.

They welcomed the measures supporting entrepreneurship, in the form of start-up grants and measures steering towards entrepreneurship and services for new entrepreneurs. They considered that these measures will be more useful if they are provided in combination to the participants. They pointed out that a pay subsidy should preferably be provided to the dismissed workers only when the jobs offered to the participants comply with the adequate quality requirements in terms of skill level and duration of contract.

They noted that the authorities estimate that 18.31% of the costs will be used for allowances and incentives, which remains much below the maximum allowed 35% of all costs.

Appropriate and complementary measures : Members asked the Commission to further detail, in future proposals, the sectors in which the workers are likely to find employment and if the training on offer is aligned to the future economic prospects and labour market needs in the regions concerned by the dismissals.

They expected the Commission to oversee and evaluate the use of the money granted and to use this information in future applications to further direct the use of EGF to align it with ideas of performance based budgeting.

Lastly, Members noted that the Finnish authorities confirm that the eligible actions do not receive assistance from other Union financial instruments.

Documents
2015/12/07
   EP - Amendments tabled in committee
Documents
2015/11/19
   EP - Committee draft report
Documents
2015/11/11
   EP - Committee referral announced in Parliament
2015/11/06
   EC - Non-legislative basic document published
Details

PURPOSE: to mobilise the European Globalisation Adjustment Fund (EGF) in order to assist Finland in dealing with redundancies in its information technology (ICT) sector.

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 is not to exceed a maximum annual amount of EUR 150 million (2011 prices).

The rules applicable to financial contributions from the European Globalisation Adjustment Fund (EGF) are laid down in Regulation (EU) No 1309/2013 of the European Parliament and of the Council on the European Globalisation Adjustment Fund (2014-2020) and repealing Regulation (EC) No 1927/2006.

In this context, the Commission has assessed the application for the mobilisation of the EGF in order to assist Finland, and has concluded as follows:

Finland: EGF/2015/005 FI/Computer Programming: in June 2015, Finland submitted an application EGF/2015/005 FI/Computer programming for a financial contribution from the EGF, following redundancies in the economic sector classified under the NACE Revision 2 Division 62 (Computer programming, consultancy and related activities) in the NUTS3 level 2 regions of Länsi-Suomi (FI19), Helsinki-Uusimaa (FI1B), Etelä-Suomi (FI1C) and Pohjois- ja Itä-Suomi (FI1D) in Finland. These regions, taken together, comprise all of Finland with the exception of the island of Åland.

Finland submitted its application within the 12 weeks set out in the Regulation. The deadline within which the Commission should finalise its assessment of the application's compliance with the conditions for providing a financial contribution expires on 13 November 2015.

In order to establish the link between the redundancies and major structural changes in world trade patterns due to globalisation, Finland argues that, in recent years, the distribution of ICT sector employment between the EU and other economies has developed to the detriment of the EU. While the volume of this domain has been increasing globally, it has dropped in Europe as businesses and services are moved to China, India, Taiwan and other non-European destinations. In 2014 alone, the personnel of Finnish ICT companies was reduced by 3 per cent or 1 500 people.

These effects were particularly felt in Finland, where the entire Finnish electronics industry was severely affected, culminating in Nokia's announcement in 2011 of large-scale redundancies.

The software business is a global business, and software products are purchased globally from the most cost-effective sources. An important feature of the global software industry is that it constantly requires a new, educated workforce, as the life cycle of products and related software solutions is very short compared to the life cycle of its personnel. While in 2008, the technology industry employed a total of 326 000 people in Finland, the number of people employed by such companies in 2014 was 276 000.

To date, the Computer programming, consultancy and related activities sector has been the subject of two EGF applications, one based on globalisation and the other on the economic and financial crisis ( EGF/2011/016/Agile and the current application).

Eligibility of the application : Finland submitted the application under the intervention criteria of Article 4(1)(b) of the EGF Regulation, which requires at least 500 workers being made redundant over a reference period of nine months in enterprises operating in the same economic sector defined at NACE Revision 2 Division and located in one region or two contiguous regions defined at NUTS 2 level in a Member State.

The reference period for the application runs from 30 July 2014 to 30 April 2015.

The redundancies during the reference period have been calculated as follows:

1 218 from the date of the employer's individual notice to lay off or to terminate the contract of employment of the worker; 385 from the date of the de facto termination of the contract of employment or its expiry.

Accordingly, the total number of eligible beneficiaries is 1 603.

With regard to the application, it is proposed that the EGF contribute the amount of EUR 2 623 200.

BUDGETARY IMPLICATIONS: having examined the application in respect of the conditions set out in Article 13(1) of the EGF Regulation, and having taken into account the number of targeted beneficiaries, the proposed actions and the estimated costs, the Commission proposes to mobilise the EGF for the amount of EUR 2 623 200, representing 60 % of the total costs of the proposed actions, in order to provide a financial contribution for the application.

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.

At the same time as it presents this proposal for a decision to mobilise the EGF, the Commission will present to the European Parliament and to the Council a proposal for a transfer to the relevant budgetary line for the amount of EUR 442 293.

Furthermore, at the same time as it adopts this proposal for a decision to mobilise the EGF, the Commission will adopt a decision on a financial contribution, by means of an implementing act, which will enter into force on the date on which the European Parliament and the Council adopt the proposed decision to mobilise the EGF.

2015/11/06
   EP - ZANNI Marco (EFDD) appointed as rapporteur in BUDG

Documents

Activities

Votes

A8-0362/2015 - Marco Zanni - Vote unique #

2015/12/15 Outcome: +: 597, -: 83, 0: 13
DE FR IT ES PL RO PT AT BE NL EL HU CZ BG FI SE LT IE HR SI SK LV EE CY MT LU DK GB
Total
83
68
66
45
48
31
20
17
21
24
21
20
19
14
12
19
10
10
10
8
13
8
6
6
5
4
13
71
icon: PPE PPE
198

Lithuania PPE

1

Estonia PPE

For (1)

1

Luxembourg PPE

2

Denmark PPE

For (1)

1
icon: S&D S&D
181

Netherlands S&D

3

Ireland S&D

For (1)

1

Croatia S&D

2

Slovenia S&D

For (1)

1

Latvia S&D

1

Estonia S&D

For (1)

1

Cyprus S&D

2

Malta S&D

3

Luxembourg S&D

For (1)

1
icon: ALDE ALDE
66

Romania ALDE

3

Austria ALDE

For (1)

1

Bulgaria ALDE

2

Sweden ALDE

3

Ireland ALDE

For (1)

1

Croatia ALDE

2

Slovenia ALDE

For (1)

1

Latvia ALDE

1

Estonia ALDE

3

Luxembourg ALDE

For (1)

1

Denmark ALDE

For (1)

Against (2)

3

United Kingdom ALDE

1
icon: Verts/ALE Verts/ALE
45

Austria Verts/ALE

3

Belgium Verts/ALE

2

Netherlands Verts/ALE

1

Hungary Verts/ALE

2

Finland Verts/ALE

For (1)

1

Sweden Verts/ALE

3

Lithuania Verts/ALE

For (1)

1

Slovenia Verts/ALE

For (1)

1

Latvia Verts/ALE

1

Estonia Verts/ALE

For (1)

1

Denmark Verts/ALE

For (1)

1
icon: GUE/NGL GUE/NGL
45
3

Netherlands GUE/NGL

3

Czechia GUE/NGL

2

Finland GUE/NGL

For (1)

1

Sweden GUE/NGL

For (1)

1

Cyprus GUE/NGL

2

Denmark GUE/NGL

For (1)

1

United Kingdom GUE/NGL

1
icon: ENF ENF
34

Poland ENF

2

Romania ENF

1
3

Belgium ENF

Abstain (1)

1

Netherlands ENF

3

United Kingdom ENF

Against (1)

1
icon: EFDD EFDD
41

France EFDD

Abstain (1)

1

Poland EFDD

1

Czechia EFDD

Against (1)

1

Sweden EFDD

2

Lithuania EFDD

For (1)

1
icon: NI NI
12

Germany NI

Against (1)

2

France NI

Against (1)

1

Poland NI

Against (1)

1
3

United Kingdom NI

Against (1)

1
icon: ECR ECR
70

Italy ECR

2

Romania ECR

For (1)

1

Netherlands ECR

For (1)

Against (1)

2

Greece ECR

For (1)

1

Czechia ECR

2

Bulgaria ECR

Against (1)

1
2

Lithuania ECR

1

Croatia ECR

For (1)

1

Latvia ECR

Against (1)

1
AmendmentsDossier
13 2015/2298(BUD)
2015/12/07 BUDG 13 amendments...
source: 573.026

History

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

committees/0/shadows/3
name
NÍ RIADA Liadh
group
European United Left - Nordic Green Left
abbr
GUE/NGL
docs/0/docs/0/url
Old
http://www.europarl.europa.eu/sides/getDoc.do?type=COMPARL&mode=XML&language=EN&reference=PE571.681
New
https://www.europarl.europa.eu/doceo/document/BUDG-PR-571681_EN.html
docs/1/docs/0/url
Old
http://www.europarl.europa.eu/sides/getDoc.do?type=COMPARL&mode=XML&language=EN&reference=PE573.026
New
https://www.europarl.europa.eu/doceo/document/BUDG-AM-573026_EN.html
events/1/type
Old
Committee referral announced in Parliament, 1st reading/single reading
New
Committee referral announced in Parliament
events/2/type
Old
Vote in committee, 1st reading/single reading
New
Vote in committee
events/3
date
2015-12-10T00:00:00
type
Budgetary report tabled for plenary
body
EP
docs
url: https://www.europarl.europa.eu/doceo/document/A-8-2015-0362_EN.html title: A8-0362/2015
summary
events/3
date
2015-12-10T00:00:00
type
Budgetary report tabled for plenary, 1st reading
body
EP
docs
url: http://www.europarl.europa.eu/doceo/document/A-8-2015-0362_EN.html title: A8-0362/2015
summary
events/6
date
2015-12-15T00:00:00
type
Decision by Parliament
body
EP
docs
url: https://www.europarl.europa.eu/doceo/document/TA-8-2015-0438_EN.html title: T8-0438/2015
summary
events/6
date
2015-12-15T00:00:00
type
Decision by Parliament, 1st reading/single reading
body
EP
docs
url: http://www.europarl.europa.eu/doceo/document/TA-8-2015-0438_EN.html title: T8-0438/2015
summary
procedure/Modified legal basis
Rules of Procedure EP 159
procedure/Other legal basis
Rules of Procedure EP 159
committees/0
type
Responsible Committee
body
EP
associated
False
committee_full
Budgets
committee
BUDG
rapporteur
name: ZANNI Marco date: 2015-11-06T00:00:00 group: Europe of Freedom and Direct Democracy abbr: EFDD
shadows
committees/0
type
Responsible Committee
body
EP
associated
False
committee_full
Budgets
committee
BUDG
date
2015-11-06T00:00:00
rapporteur
name: ZANNI Marco group: Europe of Freedom and Direct Democracy abbr: EFDD
shadows
events/3/docs/0/url
Old
http://www.europarl.europa.eu/sides/getDoc.do?type=REPORT&mode=XML&reference=A8-2015-0362&language=EN
New
http://www.europarl.europa.eu/doceo/document/A-8-2015-0362_EN.html
events/6/docs/0/url
Old
http://www.europarl.europa.eu/sides/getDoc.do?type=TA&language=EN&reference=P8-TA-2015-0438
New
http://www.europarl.europa.eu/doceo/document/TA-8-2015-0438_EN.html
activities
  • date: 2015-11-06T00:00:00 docs: url: http://www.europarl.europa.eu/RegData/docs_autres_institutions/commission_europeenne/com/2015/0553/COM_COM(2015)0553(ANN)_EN.pdf title: COM(2015)0553 type: Non-legislative basic document published celexid: CELEX:52015PC0553:EN body: EC commission: DG: url: http://ec.europa.eu/dgs/budget/ title: Budget Commissioner: GEORGIEVA Kristalina type: Non-legislative basic document published
  • date: 2015-11-11T00:00:00 body: EP type: Committee referral announced in Parliament, 1st reading/single reading committees: body: EP shadows: group: S&D name: NEGRESCU Victor group: ECR name: KÖLMEL Bernd group: ALDE name: JÄÄTTEENMÄKI Anneli group: GUE/NGL name: NÍ RIADA Liadh group: Verts/ALE name: VANA Monika responsible: True committee: BUDG date: 2015-11-06T00:00:00 committee_full: Budgets rapporteur: group: EFD name: ZANNI Marco body: EP responsible: False committee_full: Employment and Social Affairs committee: EMPL body: EP responsible: False committee_full: Regional Development committee: REGI
  • date: 2015-12-10T00:00:00 body: EP type: Vote in committee, 1st reading/single reading committees: body: EP shadows: group: S&D name: NEGRESCU Victor group: ECR name: KÖLMEL Bernd group: ALDE name: JÄÄTTEENMÄKI Anneli group: GUE/NGL name: NÍ RIADA Liadh group: Verts/ALE name: VANA Monika responsible: True committee: BUDG date: 2015-11-06T00:00:00 committee_full: Budgets rapporteur: group: EFD name: ZANNI Marco body: EP responsible: False committee_full: Employment and Social Affairs committee: EMPL body: EP responsible: False committee_full: Regional Development committee: REGI docs: url: http://www.europarl.europa.eu/sides/getDoc.do?type=REPORT&mode=XML&reference=A8-2015-0362&language=EN type: Budgetary report tabled for plenary, 1st reading title: A8-0362/2015
  • date: 2015-12-14T00:00:00 body: CSL type: Council Meeting council: Agriculture and Fisheries meeting_id: 3437
  • date: 2015-12-15T00:00:00 docs: url: http://www.europarl.europa.eu/sides/getDoc.do?type=TA&language=EN&reference=P8-TA-2015-0438 type: Decision by Parliament, 1st reading/single reading title: T8-0438/2015 body: EP type: Decision by Parliament, 1st reading/single reading
  • date: 2015-12-24T00:00:00 docs: url: http://eur-lex.europa.eu/smartapi/cgi/sga_doc?smartapi!celexplus!prod!CELEXnumdoc&lg=EN&numdoc=32015D2457 title: Decision 2015/2457 url: http://eur-lex.europa.eu/legal-content/EN/TXT/?uri=OJ:L:2015:339:TOC title: OJ L 339 24.12.2015, p. 0044 type: Final act published in Official Journal
commission
  • body: EC dg: Budget commissioner: GEORGIEVA Kristalina
committees/0
type
Responsible Committee
body
EP
associated
False
committee_full
Budgets
committee
BUDG
date
2015-11-06T00:00:00
rapporteur
name: ZANNI Marco group: Europe of Freedom and Direct Democracy abbr: EFDD
shadows
committees/0
body
EP
shadows
responsible
True
committee
BUDG
date
2015-11-06T00:00:00
committee_full
Budgets
rapporteur
group: EFD name: ZANNI Marco
committees/1
type
Committee Opinion
body
EP
associated
False
committee_full
Employment and Social Affairs
committee
EMPL
opinion
False
committees/1
body
EP
responsible
False
committee_full
Employment and Social Affairs
committee
EMPL
committees/2
type
Committee Opinion
body
EP
associated
False
committee_full
Regional Development
committee
REGI
opinion
False
committees/2
body
EP
responsible
False
committee_full
Regional Development
committee
REGI
council
  • body: CSL type: Council Meeting council: Agriculture and Fisheries meeting_id: 3437 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=3437*&MEET_DATE=14/12/2015 date: 2015-12-14T00:00:00
docs
  • date: 2015-11-19T00:00:00 docs: url: http://www.europarl.europa.eu/sides/getDoc.do?type=COMPARL&mode=XML&language=EN&reference=PE571.681 title: PE571.681 type: Committee draft report body: EP
  • date: 2015-12-07T00:00:00 docs: url: http://www.europarl.europa.eu/sides/getDoc.do?type=COMPARL&mode=XML&language=EN&reference=PE573.026 title: PE573.026 type: Amendments tabled in committee body: EP
events
  • date: 2015-11-06T00:00:00 type: Non-legislative basic document published body: EC docs: url: http://www.europarl.europa.eu/RegData/docs_autres_institutions/commission_europeenne/com/2015/0553/COM_COM(2015)0553(ANN)_EN.pdf title: COM(2015)0553 url: https://eur-lex.europa.eu/smartapi/cgi/sga_doc?smartapi!celexplus!prod!DocNumber&lg=EN&type_doc=COMfinal&an_doc=2015&nu_doc=0553 title: EUR-Lex summary: PURPOSE: to mobilise the European Globalisation Adjustment Fund (EGF) in order to assist Finland in dealing with redundancies in its information technology (ICT) sector. 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 is not to exceed a maximum annual amount of EUR 150 million (2011 prices). The rules applicable to financial contributions from the European Globalisation Adjustment Fund (EGF) are laid down in Regulation (EU) No 1309/2013 of the European Parliament and of the Council on the European Globalisation Adjustment Fund (2014-2020) and repealing Regulation (EC) No 1927/2006. In this context, the Commission has assessed the application for the mobilisation of the EGF in order to assist Finland, and has concluded as follows: Finland: EGF/2015/005 FI/Computer Programming: in June 2015, Finland submitted an application EGF/2015/005 FI/Computer programming for a financial contribution from the EGF, following redundancies in the economic sector classified under the NACE Revision 2 Division 62 (Computer programming, consultancy and related activities) in the NUTS3 level 2 regions of Länsi-Suomi (FI19), Helsinki-Uusimaa (FI1B), Etelä-Suomi (FI1C) and Pohjois- ja Itä-Suomi (FI1D) in Finland. These regions, taken together, comprise all of Finland with the exception of the island of Åland. Finland submitted its application within the 12 weeks set out in the Regulation. The deadline within which the Commission should finalise its assessment of the application's compliance with the conditions for providing a financial contribution expires on 13 November 2015. In order to establish the link between the redundancies and major structural changes in world trade patterns due to globalisation, Finland argues that, in recent years, the distribution of ICT sector employment between the EU and other economies has developed to the detriment of the EU. While the volume of this domain has been increasing globally, it has dropped in Europe as businesses and services are moved to China, India, Taiwan and other non-European destinations. In 2014 alone, the personnel of Finnish ICT companies was reduced by 3 per cent or 1 500 people. These effects were particularly felt in Finland, where the entire Finnish electronics industry was severely affected, culminating in Nokia's announcement in 2011 of large-scale redundancies. The software business is a global business, and software products are purchased globally from the most cost-effective sources. An important feature of the global software industry is that it constantly requires a new, educated workforce, as the life cycle of products and related software solutions is very short compared to the life cycle of its personnel. While in 2008, the technology industry employed a total of 326 000 people in Finland, the number of people employed by such companies in 2014 was 276 000. To date, the Computer programming, consultancy and related activities sector has been the subject of two EGF applications, one based on globalisation and the other on the economic and financial crisis ( EGF/2011/016/Agile and the current application). Eligibility of the application : Finland submitted the application under the intervention criteria of Article 4(1)(b) of the EGF Regulation, which requires at least 500 workers being made redundant over a reference period of nine months in enterprises operating in the same economic sector defined at NACE Revision 2 Division and located in one region or two contiguous regions defined at NUTS 2 level in a Member State. The reference period for the application runs from 30 July 2014 to 30 April 2015. The redundancies during the reference period have been calculated as follows: 1 218 from the date of the employer's individual notice to lay off or to terminate the contract of employment of the worker; 385 from the date of the de facto termination of the contract of employment or its expiry. Accordingly, the total number of eligible beneficiaries is 1 603. With regard to the application, it is proposed that the EGF contribute the amount of EUR 2 623 200. BUDGETARY IMPLICATIONS: having examined the application in respect of the conditions set out in Article 13(1) of the EGF Regulation, and having taken into account the number of targeted beneficiaries, the proposed actions and the estimated costs, the Commission proposes to mobilise the EGF for the amount of EUR 2 623 200, representing 60 % of the total costs of the proposed actions, in order to provide a financial contribution for the application. 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. At the same time as it presents this proposal for a decision to mobilise the EGF, the Commission will present to the European Parliament and to the Council a proposal for a transfer to the relevant budgetary line for the amount of EUR 442 293. Furthermore, at the same time as it adopts this proposal for a decision to mobilise the EGF, the Commission will adopt a decision on a financial contribution, by means of an implementing act, which will enter into force on the date on which the European Parliament and the Council adopt the proposed decision to mobilise the EGF.
  • date: 2015-11-11T00:00:00 type: Committee referral announced in Parliament, 1st reading/single reading body: EP
  • date: 2015-12-10T00:00:00 type: Vote in committee, 1st reading/single reading body: EP
  • date: 2015-12-10T00:00:00 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=A8-2015-0362&language=EN title: A8-0362/2015 summary: The Committee on Budgets adopted the report by Marco ZANNI (EFDD, IT) on the proposal for a decision of the European Parliament and of the Council on mobilisation of the European Globalisation Adjustment Fund, for an amount of EUR 2 623 200 in commitment and payment appropriations in order to assist Finland in dealing with redundancies in its information technology (ICT) sector. 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 or of the global financial and economic crisis and to assist their reintegration into the labour market. Finnish application : Finland submitted application EGF/2015/005 FI/Computer Programming for a financial contribution from the EGF following 1 603 redundancies in 69 enterprises operating in the NACE Rev. 2 division 62 ('Computer programming, consultancy and related activities') in several NUTS level 2 regions covering the whole of Finland. An estimated 1 200 redundant workers are expected to participate in the measures. Given that the conditions set out in point (b) of Article 4(1) of the EGF Regulation are met, Finland is entitled to a financial contribution for the workers made redundant. Nature of the redundancies : Members noted that in recent years the distribution of ICT sector employment between the Union and other economies has developed to the detriment of the Union and underlined that while in 2008, the technology industry employed a total of 326 000 people in Finland, the number of people employed by such companies in 2014 was 276 000, which corresponds to an average decline per year of about 3%. The events giving rise to these redundancies are the developments affecting Nokia in recent years. They stated that developing and designing operating systems for Nokia mobile phones used to employ thousands of Finnish people and these functions have now been transferred to countries outside Europe. These redundancies will further aggravate the unemployment situation in the ICT sector in regions struggling with a high unemployment rate. Members noted that redundancies in the ICT sector are affecting particularly the Oulu region in Northern Ostrobothnia where ICT sector has been a mainstay of the economy for years. They regretted that in spring 2015, there were approximately 1 500 unemployed jobseekers in the ICT sector in Northern Ostrobothnia and that in many cases unemployment has become prolonged as one third of unemployed people with a higher education degree have been without work for more than a year. A package of personalised services : Members welcomed the fact that, in order to provide workers with speedy assistance, the Finnish authorities decided to initiate the implementation of the personalised services to the affected workers on 1 August 2014, well ahead of the decision on the granting the EGF support for the proposed coordinated package. Members noted that Finland is planning seven types of measures for redundant workers covered by this application: coaching measures and other preparatory measures, employment and business services, training, pay subsidies, start-up grants, steering towards entrepreneurship and services for new entrepreneurs, allowances for travel, overnight and removal costs. They welcomed the measures supporting entrepreneurship, in the form of start-up grants and measures steering towards entrepreneurship and services for new entrepreneurs. They considered that these measures will be more useful if they are provided in combination to the participants. They pointed out that a pay subsidy should preferably be provided to the dismissed workers only when the jobs offered to the participants comply with the adequate quality requirements in terms of skill level and duration of contract. They noted that the authorities estimate that 18.31% of the costs will be used for allowances and incentives, which remains much below the maximum allowed 35% of all costs. Appropriate and complementary measures : Members asked the Commission to further detail, in future proposals, the sectors in which the workers are likely to find employment and if the training on offer is aligned to the future economic prospects and labour market needs in the regions concerned by the dismissals. They expected the Commission to oversee and evaluate the use of the money granted and to use this information in future applications to further direct the use of EGF to align it with ideas of performance based budgeting. Lastly, Members noted that the Finnish authorities confirm that the eligible actions do not receive assistance from other Union financial instruments.
  • date: 2015-12-14T00:00:00 type: Draft budget approved by Council body: CSL
  • date: 2015-12-15T00:00:00 type: Results of vote in Parliament body: EP docs: url: https://oeil.secure.europarl.europa.eu/oeil/popups/sda.do?id=26509&l=en title: Results of vote in Parliament
  • date: 2015-12-15T00:00:00 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-2015-0438 title: T8-0438/2015 summary: The European Parliament adopted by 597 votes to 83, with 13 abstentions, a resolution on the proposal for a decision of the European Parliament and of the Council on mobilisation of the European Globalisation Adjustment Fund, for an amount of EUR 2 623 200 in commitment and payment appropriations in order to assist Finland in dealing with redundancies in its information technology (ICT) sector. 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 or of the global financial and economic crisis and to assist their reintegration into the labour market. Finnish application : Finland submitted application EGF/2015/005 FI/Computer Programming for a financial contribution from the EGF following 1 603 redundancies in 69 enterprises operating in the NACE Rev. 2 division 62 ('Computer programming, consultancy and related activities') in several NUTS level 2 regions covering the whole of Finland. An estimated 1 200 redundant workers are expected to participate in the measures. Given that the conditions set out in point (b) of Article 4(1) of the EGF Regulation are met, Finland is entitled to a financial contribution for the workers made redundant. Nature of the redundancies : Parliament noted that in recent years the distribution of ICT sector employment between the Union and other economies has developed to the detriment of the Union and underlined that while in 2008, the technology industry employed a total of 326 000 people in Finland, the number of people employed by such companies in 2014 was 276 000, which corresponds to an average decline per year of about 3%. The events giving rise to these redundancies are the developments affecting Nokia in recent years. It stated that developing and designing operating systems for Nokia mobile phones used to employ thousands of Finnish people and these functions have now been transferred to countries outside Europe. These redundancies will further aggravate the unemployment situation in the ICT sector in regions struggling with a high unemployment rate. Parliament noted that redundancies in the ICT sector are affecting particularly the Oulu region in Northern Ostrobothnia where ICT sector has been a mainstay of the economy for years. It regretted that in spring 2015, there were approximately 1 500 unemployed jobseekers in the ICT sector in Northern Ostrobothnia and that in many cases unemployment has become prolonged as one third of unemployed people with a higher education degree have been without work for more than a year. A personalised package of services : Parliament welcomed the fact that, in order to provide workers with speedy assistance, the Finnish authorities decided to initiate the implementation of the personalised services to the affected workers on 1 August 2014, well ahead of the decision on the granting the EGF support for the proposed coordinated package. It noted that Finland is planning seven types of measures for redundant workers covered by this application: coaching measures and other preparatory measures, employment and business services, training, pay subsidies, start-up grants, steering towards entrepreneurship and services for new entrepreneurs, allowances for travel, overnight and removal costs. It welcomed the measures supporting entrepreneurship, in the form of start-up grants and measures steering towards entrepreneurship and services for new entrepreneurs. It considered that these measures will be more useful if they are provided in combination to the participants. Members pointed out that a pay subsidy should preferably be provided to the dismissed workers only when the jobs offered to the participants comply with the adequate quality requirements in terms of skill level and duration of contract. Parliament noted that the authorities estimate that 18.31% of the costs will be used for allowances and incentives, which remains much below the maximum allowed 35% of all costs. Measures supporting entrepreneurship : Parliament welcomed the measures supporting entrepreneurship, in the form of start-up grants and measures steering towards entrepreneurship and services for new entrepreneurs. It considered that these measures will be more useful if they are provided in combination to the participants. It welcomed in particular the proposed measures which aim at creating new businesses and which will foster entrepreneurship and services for new entrepreneurs. It recalled that, in line with the EGF Regulation, 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. Appropriate and complementary measures : Parliament asked the Commission to further detail, in future proposals, the sectors in which the workers are likely to find employment and if the training on offer is aligned to the future economic prospects and labour market needs in the regions concerned by the dismissals. It expected the Commission to oversee and evaluate the use of the money granted and to use this information in future applications to further direct the use of EGF to align it with ideas of performance based budgeting. Lastly, Parliament noted that the Finnish authorities confirm that the eligible actions do not receive assistance from other Union financial instruments.
  • date: 2015-12-15T00:00:00 type: End of procedure in Parliament body: EP
  • date: 2015-12-24T00:00:00 type: Final act published in Official Journal summary: PURPOSE: to mobilise the European Globalisation Adjustment Fund (EGF) in order to assist Finland in dealing with redundancies in its information technology (ICT) sector. LEGISLATIVE ACT: Decision (EU) 2015/2457 of the European Parliament and of the Council on the mobilisation of the European Globalisation Adjustment Fund (application from Finland — EGF/2015/005 FI/Computer Programming). CONTENT: with this Decision, the European Parliament and the Council have decided to mobilise the sum of EUR 2 623 200 in commitment and payment appropriations from European Globalisation Adjustment Fund within the framework of the 2015 budget. This amount aims to obtain a financial contribution from the EGF following redundancies in the economic sector classified under the NACE Revision 2 Division 62 (Computer programming, consultancy and related activities) in the NUTS level 2 regions of Länsi-Suomi (FI19), Helsinki-Uusimaa (FI1B), Etelä-Suomi (FI1C) and Pohjois- ja Itä-Suomi (FI1D) in Finland. Given that this application complies with the requirements for determining the financial contributions as laid down in Regulation No 1309/2013 (EGF Regulation 2014-2020), the European Parliament and Council have decided to grant the above-mentioned amount. The application was considered admissible since the redundancies have a serious impact on employment and the local, regional or national economy. Ireland has also decided to provide personalised services co-financed by the EGF also to 108 young persons not in employment, education or training (NEETs). To recall, the European Globalisation Adjustment Fund (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, or as a result of a new global financial and economic crisis, and to assist them with their reintegration into the labour market. Council Regulation (EU, Euratom) No 1311/2013 laying down the multiannual financial framework for the years 2014-2020, allows mobilization of the EGF upto a maximum annual amount of EUR 150 million . ENTRY INTO FORCE: 16.12.2015. docs: title: Decision 2015/2457 url: https://eur-lex.europa.eu/smartapi/cgi/sga_doc?smartapi!celexplus!prod!CELEXnumdoc&lg=EN&numdoc=32015D2457 title: OJ L 339 24.12.2015, p. 0044 url: https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=OJ:L:2015:339:TOC
links
other
  • body: EC dg: url: http://ec.europa.eu/dgs/budget/ title: Budget commissioner: GEORGIEVA Kristalina
procedure/Modified legal basis
Old
Rules of Procedure of the European Parliament EP 150
New
Rules of Procedure EP 159
procedure/dossier_of_the_committee
Old
BUDG/8/04939
New
  • BUDG/8/04939
procedure/final/url
Old
http://eur-lex.europa.eu/smartapi/cgi/sga_doc?smartapi!celexplus!prod!CELEXnumdoc&lg=EN&numdoc=32015D2457
New
https://eur-lex.europa.eu/smartapi/cgi/sga_doc?smartapi!celexplus!prod!CELEXnumdoc&lg=EN&numdoc=32015D2457
procedure/subject
Old
  • 3.40.06 Electronics, electrotechnical industries, ICT, robotics
  • 4.15.05 Industrial restructuring, job losses, redundancies, relocations, Globalisation Adjustment Fund (EGF)
  • 8.70.55 2015 budget
New
3.40.06
Electronics, electrotechnical industries, ICT, robotics
4.15.05
Industrial restructuring, job losses, redundancies, relocations, Globalisation Adjustment Fund (EGF)
8.70.55
2015 budget
procedure/title
Old
Mobilisation of the European Globalisation Adjustment Fund: redundancies in the ICT sector in Finland
New
Mobilisation of the European Globalisation Adjustment Fund: redundancies in the ICT sector in Finland
activities/5
date
2015-12-24T00:00:00
docs
type
Final act published in Official Journal
procedure/final
url
http://eur-lex.europa.eu/smartapi/cgi/sga_doc?smartapi!celexplus!prod!CELEXnumdoc&lg=EN&numdoc=32015D2457
title
Decision 2015/2457
procedure/stage_reached
Old
Procedure completed, awaiting publication in Official Journal
New
Procedure completed
activities/1/committees/0/shadows/0
group
S&D
name
NEGRESCU Victor
activities/2/committees/0/shadows/0
group
S&D
name
NEGRESCU Victor
activities/2/docs/0/text
  • The Committee on Budgets adopted the report by Marco ZANNI (EFDD, IT) on the proposal for a decision of the European Parliament and of the Council on mobilisation of the European Globalisation Adjustment Fund, for an amount of EUR 2 623 200 in commitment and payment appropriations in order to assist Finland in dealing with redundancies in its information technology (ICT) sector.

    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 or of the global financial and economic crisis and to assist their reintegration into the labour market.

    Finnish application: Finland submitted application EGF/2015/005 FI/Computer Programming for a financial contribution from the EGF following 1 603 redundancies in 69 enterprises operating in the NACE Rev. 2 division 62 ('Computer programming, consultancy and related activities') in several NUTS level 2 regions covering the whole of Finland. An estimated 1 200 redundant workers are expected to participate in the measures.

    Given that the conditions set out in point (b) of Article 4(1) of the EGF Regulation are met, Finland is entitled to a financial contribution for the workers made redundant.

    Nature of the redundancies: Members noted that in recent years the distribution of ICT sector employment between the Union and other economies has developed to the detriment of the Union and underlined that while in 2008, the technology industry employed a total of 326 000 people in Finland, the number of people employed by such companies in 2014 was 276 000, which corresponds to an average decline per year of about 3%. The events giving rise to these redundancies are the developments affecting Nokia in recent years. They stated that developing and designing operating systems for Nokia mobile phones used to employ thousands of Finnish people and these functions have now been transferred to countries outside Europe. These redundancies will further aggravate the unemployment situation in the ICT sector in regions struggling with a high unemployment rate.

    Members noted that redundancies in the ICT sector are affecting particularly the Oulu region in Northern Ostrobothnia where ICT sector has been a mainstay of the economy for years. They regretted that in spring 2015, there were approximately 1 500 unemployed jobseekers in the ICT sector in Northern Ostrobothnia and that in many cases unemployment has become prolonged as one third of unemployed people with a higher education degree have been without work for more than a year.

    A package of personalised services: Members welcomed the fact that, in order to provide workers with speedy assistance, the Finnish authorities decided to initiate the implementation of the personalised services to the affected workers on 1 August 2014, well ahead of the decision on the granting the EGF support for the proposed coordinated package.

    Members noted that Finland is planning seven types of measures for redundant workers covered by this application:

    1. coaching measures and other preparatory measures,
    2. employment and business services,
    3. training,
    4. pay subsidies,
    5. start-up grants,
    6. steering towards entrepreneurship and services for new entrepreneurs,
    7. allowances for travel, overnight and removal costs.

    They welcomed the measures supporting entrepreneurship, in the form of start-up grants and measures steering towards entrepreneurship and services for new entrepreneurs. They considered that these measures will be more useful if they are provided in combination to the participants. They pointed out that a pay subsidy should preferably be provided to the dismissed workers only when the jobs offered to the participants comply with the adequate quality requirements in terms of skill level and duration of contract.

    They noted that the authorities estimate that 18.31% of the costs will be used for allowances and incentives, which remains much below the maximum allowed 35% of all costs.

    Appropriate and complementary measures: Members asked the Commission to further detail, in future proposals, the sectors in which the workers are likely to find employment and if the training on offer is aligned to the future economic prospects and labour market needs in the regions concerned by the dismissals.

    They expected the Commission to oversee and evaluate the use of the money granted and to use this information in future applications to further direct the use of EGF to align it with ideas of performance based budgeting.

    Lastly, Members noted that the Finnish authorities confirm that the eligible actions do not receive assistance from other Union financial instruments.

committees/0/shadows/0
group
S&D
name
NEGRESCU Victor
activities/4/docs/0/text
  • The European Parliament adopted by 597 votes to 83, with 13 abstentions, a resolution on the proposal for a decision of the European Parliament and of the Council on mobilisation of the European Globalisation Adjustment Fund, for an amount of EUR 2 623 200 in commitment and payment appropriations in order to assist Finland in dealing with redundancies in its information technology (ICT) sector.

    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 or of the global financial and economic crisis and to assist their reintegration into the labour market.

    Finnish application: Finland submitted application EGF/2015/005 FI/Computer Programming for a financial contribution from the EGF following 1 603 redundancies in 69 enterprises operating in the NACE Rev. 2 division 62 ('Computer programming, consultancy and related activities') in several NUTS level 2 regions covering the whole of Finland. An estimated 1 200 redundant workers are expected to participate in the measures.

    Given that the conditions set out in point (b) of Article 4(1) of the EGF Regulation are met, Finland is entitled to a financial contribution for the workers made redundant.

    Nature of the redundancies: Parliament noted that in recent years the distribution of ICT sector employment between the Union and other economies has developed to the detriment of the Union and underlined that while in 2008, the technology industry employed a total of 326 000 people in Finland, the number of people employed by such companies in 2014 was 276 000, which corresponds to an average decline per year of about 3%. The events giving rise to these redundancies are the developments affecting Nokia in recent years. It stated that developing and designing operating systems for Nokia mobile phones used to employ thousands of Finnish people and these functions have now been transferred to countries outside Europe. These redundancies will further aggravate the unemployment situation in the ICT sector in regions struggling with a high unemployment rate.

    Parliament noted that redundancies in the ICT sector are affecting particularly the Oulu region in Northern Ostrobothnia where ICT sector has been a mainstay of the economy for years. It regretted that in spring 2015, there were approximately 1 500 unemployed jobseekers in the ICT sector in Northern Ostrobothnia and that in many cases unemployment has become prolonged as one third of unemployed people with a higher education degree have been without work for more than a year.

    A personalised package of services: Parliament welcomed the fact that, in order to provide workers with speedy assistance, the Finnish authorities decided to initiate the implementation of the personalised services to the affected workers on 1 August 2014, well ahead of the decision on the granting the EGF support for the proposed coordinated package.

    It noted that Finland is planning seven types of measures for redundant workers covered by this application:

    1. coaching measures and other preparatory measures,
    2. employment and business services,
    3. training,
    4. pay subsidies,
    5. start-up grants,
    6. steering towards entrepreneurship and services for new entrepreneurs,
    7. allowances for travel, overnight and removal costs.

    It welcomed the measures supporting entrepreneurship, in the form of start-up grants and measures steering towards entrepreneurship and services for new entrepreneurs. It considered that these measures will be more useful if they are provided in combination to the participants. Members pointed out that a pay subsidy should preferably be provided to the dismissed workers only when the jobs offered to the participants comply with the adequate quality requirements in terms of skill level and duration of contract.

    Parliament noted that the authorities estimate that 18.31% of the costs will be used for allowances and incentives, which remains much below the maximum allowed 35% of all costs.

    Measures supporting entrepreneurship: Parliament welcomed the measures supporting entrepreneurship, in the form of start-up grants and measures steering towards entrepreneurship and services for new entrepreneurs. It considered that these measures will be more useful if they are provided in combination to the participants. It welcomed in particular the proposed measures which aim at creating new businesses and which will foster entrepreneurship and services for new entrepreneurs.

    It recalled that, in line with the EGF Regulation, 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.

    Appropriate and complementary measures: Parliament asked the Commission to further detail, in future proposals, the sectors in which the workers are likely to find employment and if the training on offer is aligned to the future economic prospects and labour market needs in the regions concerned by the dismissals.

    It expected the Commission to oversee and evaluate the use of the money granted and to use this information in future applications to further direct the use of EGF to align it with ideas of performance based budgeting.

    Lastly, Parliament noted that the Finnish authorities confirm that the eligible actions do not receive assistance from other Union financial instruments.

activities/4/docs
  • url: http://www.europarl.europa.eu/sides/getDoc.do?type=TA&language=EN&reference=P8-TA-2015-0438 type: Decision by Parliament, 1st reading/single reading title: T8-0438/2015
activities/4/type
Old
Vote in plenary scheduled
New
Decision by Parliament, 1st reading/single reading
procedure/stage_reached
Old
Awaiting Parliament 1st reading / single reading / budget 1st stage
New
Procedure completed, awaiting publication in Official Journal
activities/3
date
2015-12-14T00:00:00
body
CSL
type
Council Meeting
council
Agriculture and Fisheries
meeting_id
3437
activities/2/docs
  • url: http://www.europarl.europa.eu/sides/getDoc.do?type=REPORT&mode=XML&reference=A8-2015-0362&language=EN type: Budgetary report tabled for plenary, 1st reading title: A8-0362/2015
procedure/stage_reached
Old
Awaiting committee decision
New
Awaiting Parliament 1st reading / single reading / budget 1st stage
activities/2
date
2015-12-10T00:00:00
body
EP
type
Vote in committee, 1st reading/single reading
committees
procedure/Modified legal basis
Rules of Procedure of the European Parliament EP 150
activities/2/type
Old
Indicative plenary sitting date, 1st reading/single reading
New
Vote in plenary scheduled
activities/0/docs/0/text
  • PURPOSE: to mobilise the European Globalisation Adjustment Fund (EGF) in order to assist Finland in dealing with redundancies in its information technology (ICT) sector.

    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 is not to exceed a maximum annual amount of EUR 150 million (2011 prices).

    The rules applicable to financial contributions from the European Globalisation Adjustment Fund (EGF) are laid down in Regulation (EU) No 1309/2013 of the European Parliament and of the Council on the European Globalisation Adjustment Fund (2014-2020) and repealing Regulation (EC) No 1927/2006.

    In this context, the Commission has assessed the application for the mobilisation of the EGF in order to assist Finland, and has concluded as follows:

    Finland: EGF/2015/005 FI/Computer Programming: in June 2015, Finland submitted an application EGF/2015/005 FI/Computer programming for a financial contribution from the EGF, following redundancies in the economic sector classified under the NACE Revision 2 Division 62 (Computer programming, consultancy and related activities) in the NUTS3 level 2 regions of Länsi-Suomi (FI19), Helsinki-Uusimaa (FI1B), Etelä-Suomi (FI1C) and Pohjois- ja Itä-Suomi (FI1D) in Finland. These regions, taken together, comprise all of Finland with the exception of the island of Åland.

    Finland submitted its application within the 12 weeks set out in the Regulation. The deadline within which the Commission should finalise its assessment of the application's compliance with the conditions for providing a financial contribution expires on 13 November 2015.

    In order to establish the link between the redundancies and major structural changes in world trade patterns due to globalisation, Finland argues that, in recent years, the distribution of ICT sector employment between the EU and other economies has developed to the detriment of the EU. While the volume of this domain has been increasing globally, it has dropped in Europe as businesses and services are moved to China, India, Taiwan and other non-European destinations. In 2014 alone, the personnel of Finnish ICT companies was reduced by 3 per cent or 1 500 people.

    These effects were particularly felt in Finland, where the entire Finnish electronics industry was severely affected, culminating in Nokia's announcement in 2011 of large-scale redundancies.

    The software business is a global business, and software products are purchased globally from the most cost-effective sources. An important feature of the global software industry is that it constantly requires a new, educated workforce, as the life cycle of products and related software solutions is very short compared to the life cycle of its personnel. While in 2008, the technology industry employed a total of 326 000 people in Finland, the number of people employed by such companies in 2014 was 276 000.

    To date, the Computer programming, consultancy and related activities sector has been the subject of two EGF applications, one based on globalisation and the other on the economic and financial crisis (EGF/2011/016/Agile and the current application).

    Eligibility of the application: Finland submitted the application under the intervention criteria of Article 4(1)(b) of the EGF Regulation, which requires at least 500 workers being made redundant over a reference period of nine months in enterprises operating in the same economic sector defined at NACE Revision 2 Division and located in one region or two contiguous regions defined at NUTS 2 level in a Member State.

    The reference period for the application runs from 30 July 2014 to 30 April 2015.

    The redundancies during the reference period have been calculated as follows:

    • 1 218 from the date of the employer's individual notice to lay off or to terminate the contract of employment of the worker;
    • 385 from the date of the de facto termination of the contract of employment or its expiry.

    Accordingly, the total number of eligible beneficiaries is 1 603.

    With regard to the application, it is proposed that the EGF contribute the amount of EUR 2 623 200.

    BUDGETARY IMPLICATIONS: having examined the application in respect of the conditions set out in Article 13(1) of the EGF Regulation, and having taken into account the number of targeted beneficiaries, the proposed actions and the estimated costs, the Commission proposes to mobilise the EGF for the amount of EUR 2 623 200, representing 60 % of the total costs of the proposed actions, in order to provide a financial contribution for the application.

    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.

    At the same time as it presents this proposal for a decision to mobilise the EGF, the Commission will present to the European Parliament and to the Council a proposal for a transfer to the relevant budgetary line for the amount of EUR 442 293.

    Furthermore, at the same time as it adopts this proposal for a decision to mobilise the EGF, the Commission will adopt a decision on a financial contribution, by means of an implementing act, which will enter into force on the date on which the European Parliament and the Council adopt the proposed decision to mobilise the EGF.

activities/1/committees/0/shadows/1
group
ALDE
name
JÄÄTTEENMÄKI Anneli
committees/0/shadows/1
group
ALDE
name
JÄÄTTEENMÄKI Anneli
activities/2
date
2015-12-15T00:00:00
body
EP
type
Indicative plenary sitting date, 1st reading/single reading
activities/1
date
2015-11-11T00:00:00
body
EP
type
Committee referral announced in Parliament, 1st reading/single reading
committees
procedure/dossier_of_the_committee
BUDG/8/04939
procedure/stage_reached
Old
Preparatory phase in Parliament
New
Awaiting committee decision
activities/0/commission/0
DG
Commissioner
GEORGIEVA Kristalina
activities/0/docs/0/url
Old
http://eur-lex.europa.eu/smartapi/cgi/sga_doc?smartapi!celexplus!prod!DocNumber&lg=EN&type_doc=COMfinal&an_doc=2015&nu_doc=0553
New
http://www.europarl.europa.eu/RegData/docs_autres_institutions/commission_europeenne/com/2015/0553/COM_COM(2015)0553(ANN)_EN.pdf
committees/0/date
2015-11-06T00:00:00
committees/0/rapporteur
  • group: EFD name: ZANNI Marco
committees/0/shadows
  • group: ECR name: KÖLMEL Bernd
  • group: GUE/NGL name: NÍ RIADA Liadh
  • group: Verts/ALE name: VANA Monika
other/0
body
EC
dg
commissioner
GEORGIEVA Kristalina
activities/0/docs/0/celexid
CELEX:52015PC0553:EN
activities/0/docs/0/url
http://eur-lex.europa.eu/smartapi/cgi/sga_doc?smartapi!celexplus!prod!DocNumber&lg=EN&type_doc=COMfinal&an_doc=2015&nu_doc=0553
activities
  • date: 2015-11-06T00:00:00 docs: type: Non-legislative basic document published title: COM(2015)0553 body: EC type: Non-legislative basic document published commission:
committees
  • 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
links
other
    procedure
    reference
    2015/2298(BUD)
    title
    Mobilisation of the European Globalisation Adjustment Fund: redundancies in the ICT sector in Finland
    geographical_area
    Finland
    stage_reached
    Preparatory phase in Parliament
    subtype
    Mobilisation of funds
    type
    BUD - Budgetary procedure
    subject