Awaiting committee decision
Role | Committee | Rapporteur | Shadows |
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Lead | BUDG | POPA Răzvan (S&D) | |
Opinion | EMPL | ||
Opinion | REGI |
Activites
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2017/11/30
Vote in plenary scheduled
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2017/11/22
Vote in committee, 1st reading/single reading
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2017/10/26
Committee referral announced in Parliament, 1st reading/single reading
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2017/10/23
Non-legislative basic document published
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COM(2017)0618
summary
PURPOSE: to mobilise the European Globalisation Adjustment Fund (EGF) to assist Finland facing redundancies in the retail sector. PROPOSED ACT: Decision of the European Parliament and of the Council. CONTENT: 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. Finland: Application EGF / 2017/005 FI / Retail: on 12 June 2017, Finland submitted an application for a financial contribution from the EGF, following redundancies in retail trade (except motor vehicles and motorcycles) in the NUTS level 2 regions of Lansi Suomi, Helsinki-Uusimaa, Etelä-Suomi and Pohjois- ja Itä-Suomi in Finland. Finland submitted the 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 23 October 2017. In order to establish the link between the redundancies and major structural changes in world trade patterns due to globalisation Finland argued that retail trade is going through a period of major changes, due to globalisation (online trading). Online shopping has a major impact on the sales of conventional department stores. The lead web-shops are in China, India and the US. In Finland online sales of retail products have increased by 34 % in the period 2010-2015. Finns tend to purchase more from foreign online stores than other Scandinavians. As a consequence the sales in the Finnish department stores decreased. The number of customers in Anttila`s department stores decreased annually by 10-20 %. In music, films, games and household appliances the sales collapsed in Anttila`s department stores, due to digitisation and online trading. In 2016, it had to file for bankruptcy. A notice of termination was given to all the 1 222 employees. Stockmann, a traditional Finnish department store chain, known as seller of high end, top quality products, was faced with similar problems like Anttila, but to less extent. The number of customers in Stockmann`s department stores decreased by more than 40 % in 2012-2016. In the same period sales turnover decreased by 38 %. There is also a major swap in retail jobs. While routine, full time jobs disappear, there are new openings, as part time jobs, with new skills. 43 % of retail staff is over the age of 45 years and without the skills mentioned. Basis 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. During the reference period from 3 August 2016 to 3 May 2017, 1 660 workers were dismissed. In the Helsinki-Uusimaa region alone, there were 835 redundancies. The estimated number of redundant workers expected to participate in the measures is 1 500, of which 23.7% are men and 76.3% are women. BUDGETARY IMPLICATION: the estimated total costs are EUR 4 165 600, comprising: (i) expenditure for personalised services of EUR 3 906 600 and; (ii) expenditure for preparatory, management, information and publicity, control and reporting activities of EUR 259 000. The Commission proposes to mobilise the EGF for the amount of EUR 2 499 360, 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 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 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.
- DG {'url': 'http://ec.europa.eu/info/departments/employment-social-affairs-and-inclusion_en', 'title': 'Employment, Social Affairs and Inclusion'}, THYSSEN Marianne
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COM(2017)0618
summary
Documents
- Non-legislative basic document published: COM(2017)0618
Amendments | Dossier |
9 |
2017/2231(BUD)
2017/11/16
BUDG
9 amendments...
Amendment 1 #
Motion for a resolution Recital C a (new) Ca. whereas the financial control of the actions supported by the EGF is the responsibility of the Member State concerned, as laid down in Article 21(1) of the EGF Regulation;
Amendment 2 #
Motion for a resolution Paragraph 2 2. Notes that the
Amendment 3 #
Motion for a resolution Paragraph 3 a (new) 3a. Notes that all four NUTS-2 regions of Finland are affected by the dismissals that occurred at two major Finnish department store chains; recognises that such stores have faced declining cash-flow and profitability arising from the growth of e-commerce, changing shopping habits and weak consumer confidence;
Amendment 4 #
Motion for a resolution Paragraph 5 5. Is aware that, at the same time, a major change in the nature of retail jobs has occurred, with part-time jobs requiring new skills, such as IT, forecasting, data analysis, communication, customer knowledge and logistical skills, on the rise; regrets that 43% of Finnish retail staff, who are over 45 years old, lacks such skills; considers that impediments to re- employment for those over 50 years old represent an important issue and awaits with interest an evaluation of the career coaching pilots that have been included for this group of redundant workers;
Amendment 5 #
7. Notes that Finland is planning seven types of measures for the redundant workers covered by this application: (i) coaching measures and other preparatory measures, (ii) employment and other business measures, (iii) training courses, (iv) start-up grants, (v) career coaching pilots, (vi) pay subsidies, (vii) allowances for travel and accommodation; welcomes the planned career coaching pilots looking at physical, mental, or other issues that may act as an impediment to re-employment for beneficiaries over 50 years old; notes that sufficient funds are allocated to control and reporting;
Amendment 6 #
Motion for a resolution Paragraph 7 a (new) 7a. Is concerned that employers receiving pay subsidies are not obliged to continue employing those workers for longer periods than that of the subsidy; notes that previous Finnish experience suggests that such workers find employment and move out of the subsidy system relatively quickly;
Amendment 7 #
Motion for a resolution Paragraph 7 b (new) 7b. Notes that the income supports measures will be 22,05% of the overall package of personalised measures, well below the maximum 35% set out in the EGF Regulation; and that these actions are conditional on the active participation of the targeted beneficiaries in job-search or training activities;
Amendment 8 #
Motion for a resolution Paragraph 8 8.
Amendment 9 #
Motion for a resolution Paragraph 9 9.
source: 613.486
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