Awaiting committee decision
Next event: Vote in plenary scheduled 2016/12/14
Role | Committee | Rapporteur | Shadows |
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Lead | BUDG | GONZÁLEZ PONS Esteban (EPP) | GARDIAZABAL RUBIAL Eider (S&D), KÖLMEL Bernd (ECR), BENITO ZILUAGA Xabier (GUE/NGL) |
Opinion | EMPL | ||
Opinion | REGI |
Activites
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2016/12/14
Vote in plenary scheduled
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2016/12/08
Vote in committee, 1st reading/single reading
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2016/11/21
Committee referral announced in Parliament, 1st reading/single reading
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2016/11/08
Non-legislative basic document published
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COM(2016)0708
summary
PURPOSE: to mobilise the European Globalisation Adjustment Fund (EGF) to assist Spain in respect of redundancies in the automotive 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 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. Against this background, the Commission examined the application to mobilise the EGF to assist Spain and made the following comments: Spain: EGF/2016/004 ES/Comunidad Valenciana automotive: on 21 June 2016, Spain submitted an application EGF/2016/004 ES/Comunidad Valenciana automotive for a financial contribution from the EGF, following redundancies in the economic sector classified under the NACE Revision 2 Division 29 (Manufacture of motor vehicles, trailers and semi-trailers) in the NUTS level 2 region of Comunidad Valenciana (ES52) in Spain. Spain submitted its application within 12 weeks of the date on which the intervention criteria were met. The deadline of 12 weeks of the receipt of the complete application within which the Commission should finalise its assessment of the application's compliance with the conditions for providing a financial contribution expires on 8 November 2016. In order to establish the link between the redundancies and major structural changes in world trade patterns due to globalisation, Spain argues that the European automotive industry has lost significant market share within the past decade. In absolute terms, while the EU-27 faced a production decline for motor vehicles in 2015 compared with 2006 by 0.5 million units or -2.8 %, global production increased by 31.1 %, notably in China as well as other South-East Asian economies. The EU market share dropped from 39.3 % in 2000 to 22.3 % in 2013. In 2015, China was the biggest producer accounting for 26 % of world car production, while the EU, the second biggest, accounted for 22 % of a global car production of 73.5 million passenger cars. A main driving force behind this trend is the geographical shift in consumption linked to globalisation, in particular the rapid growth in demand on the Asian market from which EU manufacturers are less able to benefit, being traditionally less well positioned on these markets. In Spain, the decline in car production triggered a reduction of both enterprises and jobs. Over the period 2008-2014 the number of automotive enterprises declined from 901 to 806 (-10.5 %) and the jobs in the sector decreased from 164 038 to 135 997 (-17 %). In Comunidad Valenciana 62 automotive enterprises stopped activities of a total of 187. To date, the Manufacture of motor vehicles, trailers and semi-trailers sector has been the subject of 23 EGF applications. Basis of the Spanish application: Spain submitted the application under the intervention criteria of Article 4(2) derogating from the 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. There were 250 redundancies in the NUTS level 2 region of Comunidad Valenciana (ES52). The reference period of nine months for the application runs from 30 June 2015 to 30 March 2016. It is proposed that the EGF should be mobilised in order to provide a financial contribution of EUR 856 800 in respect of the application submitted by Spain. 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 856 800, 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 requested amount. 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.
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COM(2016)0708
summary
Documents
- Non-legislative basic document published: COM(2016)0708
Amendments | Dossier |
20 |
2016/2298(BUD)
2016/11/30
BUDG
20 amendments...
Amendment 1 #
Motion for a resolution Citation 8 a (new) - Having regard to Regulation (EU) 2015/848 of the European Parliament and of the Council of 20 May 2015 on insolvency proceedings1a, which will apply to insolvency proceedings opened after 26 June 2017, ________________ 1a OJ L 141, 5.6.2015, p. 19.
Amendment 10 #
6. Notes that Bosal S.A. started operations in 1986 when the Sagunto area was declared a “Preferential Reindustrialization Area” following redundancies in the local blast furnace. Notes that the bankruptcy and closure of Bosal S.A. caused the loss of 250 jobs in the town of Sagunto, representing a relatively large number of jobs in that town, and has a serious impact on the local and regional economy, in particular considering the specific characteristics of a small town in a rural area which has seriously suffered from the economic crisis as well as the consequences of the globalisation process in the automotive sector; recalls that the unemployment rate in Comunidad Valenciana is still 20,17 %, although employment has shown signs of recovery;
Amendment 11 #
Motion for a resolution Paragraph 6 a (new) 6a. Stresses that the number of unemployed persons in Sagunto increased threefold between 2007 and 2015, thus the 250 workers made redundant further aggravates the already fragile situation in the area;
Amendment 12 #
Motion for a resolution Paragraph 6 a (new) 6a. Regrets the increase in the number of unemployed persons in Sagunto between 2007 (2 778) and 2015 (6 437) and the unemployment rate of 25,8%;
Amendment 13 #
Motion for a resolution Paragraph 7 7. Underlines that of the total number of redundant workers concerned by this application, 96,4% are men, 3,6% are women, 71 % are over 45 years old, 78 % had been employed by the same enterprise for at least 15 consecutive years and 50 % have no educational qualifications; notes, in addition, there have been no recent plant openings in the area; points out that all those circumstances make them highly vulnerable in a context of insufficient job creation, increasing the difficulties in finding new employment;
Amendment 14 #
8a. Welcomes Spain’s decision to offer training measures focused on vocational licensing, such as that required for passenger transport, and on sectors or areas where opportunities exist or will arise, such as the food sector, cooking, occupational risk prevention and quality control and environmental standards, heating, ventilation and air conditioning projects and the maintenance of industrial equipment; endorses the offer of training in skills that contribute to better job performance such as Information and Communications Technology, foreign languages and business management;
Amendment 15 #
Motion for a resolution Paragraph 9 9.
Amendment 16 #
Motion for a resolution Paragraph 9 a (new) 9a. Notes that the income support measures will be less than 25 % of the overall package of personalised measures, well below the maximum of 35 % set out in the EGF Regulation and that those actions are conditional on the active participation of the targeted beneficiaries in job-search or training activities;
Amendment 17 #
Motion for a resolution Paragraph 12 a (new) 12a. Considers that the EGF could be a more efficient and effective instrument if reformed and shaped in a way that it is adequately funded and by lowering the threshold for EGF eligibility in order to ensure that employees of small and medium-sized enterprises in sectors that are directly damaged by the effects of globalisation, are assisted;
Amendment 18 #
Motion for a resolution Paragraph 13 a (new) 13a. Urges the Commission to supervise the company, without prejudice to the immediate granting of aid to workers, and to follow up on the ongoing court proceedings concerning the possible unfair administration of the company and other allegations of misappropriation and that in case those allegations are confirmed, if applicable, addresses those responsible so that they can be prosecuted, punished and make the necessary compensation;
Amendment 19 #
Motion for a resolution Paragraph 13 a (new) 13a. Calls on the Commission to submit a proposal to lower the threshold for EGF eligibility, which currently stands at 500 redundancies, 100 redundancies in the case of medium-sized enterprises and 50 redundancies in the case of small enterprises, so as to ensure that the aid reaches workers employed by SMEs, who are generally most affected by the effects of globalisation;
Amendment 2 #
Motion for a resolution Citation 8 b (new) - Having regard to the Commission Recommendation of 12 March 2014 on a new approach to business failure and insolvency (C(2014)1500),
Amendment 20 #
Motion for a resolution Paragraph 13 b (new) 13b. Considers those funds to be essential and that, for the future, the activities promoted by globalisation adjustment funds should be framed in line with reindustrialisation strategies, considers also that this should involve support measures for workers in a situation of restructuring caused by situations of unfeasible production, with a greater weight of public investments that reinforce, update, innovate and improve the productive fabric of the affected regions and that this would be an explicit support for the development of production techniques based on renewable energies or that promote circular economy, giving continuity to jobs, undelines that. in the medium term, those funds and actions should contribute to the change of the productive model, guaranteeing the future of the productive sectors;
Amendment 3 #
Motion for a resolution Citation 8 c (new) - Having regard to the Commission Communication of 30 September 2015 entitled “Action Plan on Building a Capital Markets Union” (COM 2015)0468),
Amendment 4 #
Motion for a resolution Citation 8 d (new) - Having regard to the Commission Communication of 28 October 2015 entitled “Upgrading the Single Market: more opportunities for people and business”(COM(2015)0550),
Amendment 5 #
Motion for a resolution Citation 8 e (new) Amendment 6 #
Motion for a resolution Paragraph 1 1. Agrees with the Commission that the conditions set out in Article 4(2) of the EGF Regulation are met and that, therefore, Spain is entitled to a financial contribution of EUR 856 800 under that Regulation, which represents 60 % of the total cost of EUR 1 428 000, for reintegration into the labour market of 250 workers made redundant;
Amendment 7 #
Motion for a resolution Paragraph 1 a (new) 1a. Considers that the provision of support to former employees of small and medium-sized enterprises also justifies the approval of an application concerning fewer than 500 redundancies;
Amendment 8 #
Motion for a resolution Paragraph 3 Amendment 9 #
Motion for a resolution Paragraph 4 source: 594.166
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