BETA

Procedure completed, awaiting publication in Official Journal



2016/2043(BUD) Mobilisation of the European Globalisation Adjustment Fund: redundancies in the road haulage sector in France
RoleCommitteeRapporteurShadows
Lead BUDG JÄÄTTEENMÄKI Anneli (ALDE) PLENKOVIĆ Andrej (EPP), VANA Monika (Verts/ALE), ZANNI Marco (EFD)
Opinion EMPL
Opinion REGI
Lead committee dossier: BUDG/8/06156

Activites

  • #3472
  • 2016/06/06 Council Meeting
  • 2016/05/26 Decision by Parliament, 1st reading/single reading
    • T8-0229/2016 summary
  • 2016/05/24 Budgetary report tabled for plenary, 1st reading
    • A8-0182/2016 summary
  • 2016/05/23 Vote in committee, 1st reading/single reading
  • 2016/04/14 Committee referral announced in Parliament, 1st reading/single reading
  • 2016/04/07 Non-legislative basic document published
    • COM(2016)0185 summary
    • DG {'url': 'http://ec.europa.eu/dgs/budget/', 'title': 'Budget'}, GEORGIEVA Kristalina

Documents

  • Non-legislative basic document published: COM(2016)0185
  • Budgetary report tabled for plenary, 1st reading: A8-0182/2016
  • Decision by Parliament, 1st reading/single reading: T8-0229/2016
AmendmentsDossier
17 2016/2043(BUD)
2016/05/10 BUDG 17 amendments...
source: 582.281

History

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

activities/6
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2016-06-21T00:00:00
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Final act published in Official Journal
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Decision 2016/989
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Procedure completed, awaiting publication in Official Journal
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Procedure completed
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2016-06-06T00:00:00
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Council Meeting
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Procedure completed, awaiting publication in Official Journal
activities/3/docs/0/text
  • The Committee on Budgets adopted the report by Anneli JÄÄTTEENMÄKI (ADLE, FI) 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 5 146 800 in commitment and payment appropriations to assist France in respect of redundancies in the road haulage sector.

    Members recalled that the Union has 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.

    French application: France submitted application EGF/2015/010 FR/MoryGlobal for a financial contribution from the EGF, following redundancies in the economic sector classified under the NACE Rev.2 Division 49 (Land transport and transport via pipelines) and Division 52 (Warehousing and support activities for transportation) throughout mainland France, and whereas 2 132 redundant workers eligible for an EGF contribution are expected to participate in the measures. The request follows the judicial liquidation of MoryGlobal and is a follow-up to the application EGF/2014/017 FR/MoryDucros.

    The application was submitted under the intervention criteria of point (a) of Article 4(1) of the EGF Regulation, which requires at least 500 workers being made redundant over a reference period of four months in an enterprise in a Member State, including workers made redundant by suppliers and downstream producers and/or selfemployed persons whose activity has ceased.

    Nature of the redundancies: Members considered that the redundancies in MoryGlobal are linked to the general decline in physical output in Europe, which has led to a reduction in volumes to be transported and a price war in the road haulage sector, resulting in a steady deterioration in operating margins and a series of losses for the sector in France since 2007, followed by a wave of bankruptcies, including that of Mory-Ducros and later of MoryGlobal, which re-employed 2 107 of Mory-Ducros' former workers.

    A package of personalised services: Members welcomed the fact that the French authorities started providing the personalised services to the affected workers on 23 April 2015, ahead of the application on the granting of EGF support for the proposed coordinated package. They noted that the EGF cofunded personalised services to be provided consist of advice and guidance provided by a team of expert consultants, which are additional to the social plan and the Contrat de Sécurisation Professionnelle funded by the French State to help the workers back into employment.

    They considered that workers in the 55-64 age group are at a higher risk of long-term unemployment and exclusion from the labour market with the possible effect of social exclusion. They considered therefore that those workers, who make up over 19% of the beneficiaries expected to be targeted by the proposed actions, have specific needs when it comes to providing them with personalised approach in accordance with Article 7 of the EGF Regulation.

    Members noted that the French authorities confirmed that the proposed actions do not receive financial support from other Union funds or financial instruments and that they are complementary to actions funded by the Structural Funds.

    They reiterated that assistance from the EGF comes in addition to national measures and must not replace actions which are the responsibility of Member States or of companies.

    Lastly, Members recalled their appeal to the Commission to assure public access to all the documents related to EGF cases.

activities/4/docs/0/text
  • The European Parliament adopted by 540 votes to 73, with 2 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 5 146 800 in commitment and payment appropriations to assist France in respect of redundancies in the road haulage sector.

    Parliament recalled that the Union has 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.

    French application: France submitted application EGF/2015/010 FR/MoryGlobal for a financial contribution from the EGF, following redundancies in the economic sector classified under the NACE Rev.2 Division 49 (Land transport and transport via pipelines) and Division 52 (Warehousing and support activities for transportation) throughout mainland France, and whereas 2 132 redundant workers eligible for an EGF contribution are expected to participate in the measures. The request follows the judicial liquidation of MoryGlobal and is a follow-up to the application EGF/2014/017 FR/MoryDucros.

    The application was submitted under the intervention criteria of point (a) of Article 4(1) of the EGF Regulation, which requires at least 500 workers being made redundant over a reference period of four months in an enterprise in a Member State, including workers made redundant by suppliers and downstream producers and/or selfemployed persons whose activity has ceased.

    Nature of the redundancies: Parliament considered that the redundancies in MoryGlobal are linked to the general decline in physical output in Europe, which has led to a reduction in volumes to be transported and a price war in the road haulage sector, resulting in a steady deterioration in operating margins and a series of losses for the sector in France since 2007, followed by a wave of bankruptcies, including that of Mory-Ducros and later of MoryGlobal, which re-employed 2 107 of Mory-Ducros' former workers.

    Older workers: Parliament recalled that the EGF support for 2 513 former Mory-Ducros workers, approved in April 2015, amounts to EUR 6 052 200. It considered that workers in the 55-64 age group are at a higher risk of long-term unemployment and exclusion from the labour market with the possible effect of social exclusion. Members considered therefore that those workers, who make up over 19% of the beneficiaries expected to be targeted by the proposed actions, have specific needs when it comes to providing them with personalised approach in accordance with Article 7 of the EGF Regulation.

    A package of personalised services: Parliament welcomed the fact that the French authorities started providing the personalised services to the affected workers on 23 April 2015, ahead of the application on the granting of EGF support for the proposed coordinated package. It noted that the EGF cofunded personalised services to be provided consist of advice and guidance provided by a team of expert consultants, which are additional to the social plan and the Contrat de Sécurisation Professionnelle funded by the French State to help the workers back into employment.

    External consultants for the implementation of measures: Parliament noted that the EGF cofunded personalised services to be provided consist of advice and guidance provided by a team of expert consultants, which are additional to the social plan and the Contrat de Sécurisation Professionnelle funded by the French State to help the workers back into employment. It noted that the three contractors operating the team of consultants are the ones providing services to the workers made redundant by Mory-Ducros. It expects the Commission and the French authorities to strictly follow the principle according to which payments to the agencies are to be made on the basis of results achieved.

    Parliament noted that the contractors (BPI, Sodie and AFPA Transitions) shall assist the redundant workers and help them find solutions to remain in the labour market and find new jobs, through personalised services such as collective and individual information sessions, job transition and accompaniment towards new jobs. The contractors operating the team of consultants are the same as those providing services to the workers made redundant by Mory-Ducros. Parliament called on the Commission to provide an evaluation of the cost-effectiveness of the ongoing support for the redundant workers of Mory-Ducros, as the current application is a follow-up to the EGF/2014/017 FR/Mory-Ducros application, and the personalised services are provided by the same contractors.

    Parliament noted that the French authorities confirmed that the proposed actions do not receive financial support from other Union funds or financial instruments and that they are complementary to actions funded by the Structural Funds. It reiterated that assistance from the EGF comes in addition to national measures and must not replace actions which are the responsibility of Member States or of companies.

    Lastly, Parliament recalled its appeal to the Commission to assure public access to all the documents related to EGF cases.

activities/4/docs
  • url: http://www.europarl.europa.eu/sides/getDoc.do?type=TA&language=EN&reference=P8-TA-2016-0229 type: Decision by Parliament, 1st reading/single reading title: T8-0229/2016
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Vote in plenary scheduled
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Decision by Parliament, 1st reading/single reading
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Awaiting Parliament 1st reading / single reading / budget 1st stage
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Awaiting Council 1st reading position / budgetary conciliation convocation
activities/3/docs
  • url: http://www.europarl.europa.eu/sides/getDoc.do?type=REPORT&mode=XML&reference=A8-2016-0182&language=EN type: Budgetary report tabled for plenary, 1st reading title: A8-0182/2016
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EP
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Vote in committee, 1st reading/single reading
committees
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2016-05-24T00:00:00
body
EP
type
Budgetary report tabled for plenary, 1st reading
procedure/Modified legal basis
Rules of Procedure of the European Parliament EP 150
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Awaiting committee decision
New
Awaiting Parliament 1st reading / single reading / budget 1st stage
activities/2/type
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Indicative plenary sitting date, 1st reading/single reading
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Vote in plenary scheduled
activities/0/docs/0/text
  • PURPOSE: to mobilise the European Globalisation Adjustment Fund (EGF) to assist France in respect of redundancies in the road haulage 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 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 (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 examined the application for mobilisation of the EGF to assist France and concluded the following:

    France: EGF/2015/010 FR/MoryGlobal: on 19 November 2015, France submitted application EGF/2015/010 FR/ MoryGlobal for a financial contribution from the EGF, following redundancies in MoryGlobal SAS in France.

    France submitted its application within 12 weeks of the date on which the intervention criteria were met. The deadline expired on 7 April 2016. 

    In order to establish the link between the redundancies and the global financial and economic crisis addressed in Regulation (EC) No 546/2009, France argues that MoryGlobal was active in the fields of courier services, freight transport and delivery, warehousing and rental of related materials; and provided these services both within France and abroad.

    As a result of the global financial and economic crisis, road haulage in vehicles weighing more than 3.5 tonnes declined by 13.7% in the EU and by 21% in France between 2007 and 2012. This decline has been following the general decline of physical output in Europe and the road transport sector in Europe has not yet recovered from the major activity decline it suffered in 2009 due to the economic crisis. In 2014, the activity of road freight transport remained more than 10% lower compared with the pre-crisis activity.

    Faced with the reduction in volumes to be transported, a price war broke out within the sector.

    The current difficulties of MoryGlobal go back to 2012/2013. At the time the enterprise was known as Mory-Ducros. Mory-Ducros declared itself insolvent on November 2013 and entered into liquidation procedures. The difficulties were not resolved after the take-over and the company eventually went bankrupt and ceased all activity.

    This is a follow-up application to a previous request, in support of the Mory-Ducros workers who moved to MoryGlobal.

    Basis of the French application: France submitted the application under the intervention criteria of Article 4(1)(a) of the EGF Regulation, which requires at least 500 workers being made redundant over a reference period of four months in an enterprise in a Member State, including workers made redundant by suppliers and downstream producers and / or self-employed persons whose activity has ceased.

    The reference period of four months for the application runs from 27 April 2015 to 27 August 2015. During the reference period 2 093 workers were made redundant in MoryGlobal. The total number of eligible beneficiaries is 2 132.

    Having examined this application, the proposed contribution from the EGF to the coordinated package of personalised services is EUR 5 146 800.

    BUDGETARY IMPLICATION: 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 5 146 800, 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 5 146 800.

    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 at which the European Parliament and the Council adopt the proposed decision to mobilise the EGF.

activities/0/commission/0
DG
Commissioner
GEORGIEVA Kristalina
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EC
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GEORGIEVA Kristalina
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2016-05-26T00:00:00
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2016-04-14T00:00:00
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BUDG/8/06156
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New
Awaiting committee decision
committees/0/shadows
  • group: EPP name: PLENKOVIĆ Andrej
  • group: Verts/ALE name: VANA Monika
  • group: EFD name: ZANNI Marco
committees/0/date
2016-04-08T00:00:00
committees/0/rapporteur
  • group: ALDE name: JÄÄTTEENMÄKI Anneli
activities/0/docs/0/celexid
CELEX:52016PC0185:EN
activities
  • date: 2016-04-07T00:00:00 docs: url: http://www.europarl.europa.eu/RegData/docs_autres_institutions/commission_europeenne/com/2016/0185/COM_COM(2016)0185_EN.pdf type: Non-legislative basic document published title: COM(2016)0185 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
    2016/2043(BUD)
    title
    Mobilisation of the European Globalisation Adjustment Fund: redundancies in the road haulage sector in France
    geographical_area
    France
    stage_reached
    Preparatory phase in Parliament
    subtype
    Mobilisation of funds
    type
    BUD - Budgetary procedure
    subject