BETA


2021/0115(BUD) Mobilisation of the European Globalisation Adjustment Fund: redundancies in the air transport sector in the Netherlands
Next event: Vote in plenary scheduled 2021/06/07

Progress: Awaiting committee decision

RoleCommitteeRapporteurShadows
Lead BUDG VANA Monika (icon: Verts/ALE Verts/ALE) NOVAKOV Andrey (icon: EPP EPP), GUALMINI Elisabetta (icon: S&D S&D), ŞTEFĂNUȚĂ Nicolae (icon: Renew Renew), LAPORTE Hélène (icon: ID ID), RZOŃCA Bogdan (icon: ECR ECR), PAPADIMOULIS Dimitrios (icon: GUE/NGL GUE/NGL)
Committee Opinion EMPL ZDECHOVSKÝ Tomáš (icon: EPP EPP)
Lead committee dossier:

Events

2021/06/07
   Vote in plenary scheduled
2021/05/20
   EP - Amendments tabled in committee
Documents
2021/05/18
   EP - ZDECHOVSKÝ Tomáš (EPP) appointed as rapporteur in EMPL
2021/05/17
   EP - Committee referral announced in Parliament
2021/05/07
   EP - Committee draft report
Documents
2021/05/06
   EC - Non-legislative basic document
2021/05/06
   EC - Non-legislative basic document published
2021/04/30
   EP - VANA Monika (Verts/ALE) appointed as rapporteur in BUDG

Documents

AmendmentsDossier
9 2021/0115(BUD)
2021/05/20 BUDG 9 amendments...
source: 692.947

History

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

docs/0
date
2021-05-06T00:00:00
docs
type
Non-legislative basic document
body
EC
docs/2
date
2021-05-27T00:00:00
docs
title: PE692.907
committee
EMPL
type
Specific opinion
body
EP
events/0/summary
  • PURPOSE: to mobilise the European Globalisation Adjustment Fund (EGF) to help the Netherlands facing redundancies in the air transport sector.
  • PROPOSED ACT: Decision of the European Parliament and of the Council.
  • CONTENT: on 22 December 2020, the Netherlands submitted an application for a financial contribution from the EGF, following redundancies in KLM Royal Dutch Airlines in the Netherlands.
  • Following the examination of this application, the Commission concluded, in accordance with all relevant provisions of the EGF Regulation, that the conditions for a financial contribution from the EGF have been met.
  • Grounds for the application
  • The Netherlands submitted the application under the intervention criterion of Article 4(1)(a) of the EGF Regulation, which requires at least 500 redundancies over a reference period of four months in an enterprise in a Member State, including employees and self-employed persons made redundant or made redundant in its suppliers and downstream producers.
  • The application concerns 1851 workers made redundant at KLM Royal Dutch Airlines. The redundancies took place in the NUTS 2 region of Noord-Holland. KLM made 650 workers redundant during the four-month reference period from 15 August 2020 to 15 December 2020.
  • Link between redundancies and a global financial and economic crisis
  • The Netherlands reports that KLM has been hit hard by the effects of the COVID-19 pandemic. Before the pandemic, KLM's financial results increased steadily between 2015 and 2019. However, the crisis has undermined KLM's good results in recent years. By mid-March 2020, KLM's operations were largely crippled, while their operating costs remained at the same level.
  • KLM carried 11.2 million passengers in 2020, a massive 68% drop from the previous year. The passenger load factor fell to 52.2%, compared to 89.4% in 2019. In 2020, KLM's revenues fell by 53.8% year-on-year to EUR 5 120 million. As a result of the sharp decline in revenues, KLM accumulated an operating loss of EUR 1 154 million in 2020, compared to a profit of EUR 714 million in 2019.
  • On 31 July 2020, KLM management announced a restructuring plan to reduce costs. This resulted in a reduction of the workforce by approximately 5 000 full-time equivalents (from 33 000 to 28 000 full-time equivalents).
  • The redundancies have a serious impact on the national economy. KLM is the second largest private employer in the Netherlands. The unemployment rate in the province of Noord-Holland increased by 1.5 percentage points to 4.8% in the fourth quarter of 2020 compared to the same quarter of 2019.
  • KLM management expects a return to pre-crisis flight movements by 2024.
  • Beneficiaries
  • Of the 1851 eligible persons, an estimated 1201 redundant workers and self-employed persons are expected to participate in EGF measures.
  • The personalised services to be provided to the redundant workers include the following actions: (i) career guidance; (ii) professional assistance to move to sectors with labour shortages such as education, health care, logistics, technology and information management; (iii) training, coaching and/or education; and (iv) financial advice for the affected employees.
  • The proposed actions constitute active labour market measures and do substitute for passive social protection measures.
  • The total cost is estimated at EUR 8 365 364, corresponding to the expenditure for personalised services (EUR 8 030 750) and the financing of preparation, management, information and publicity, monitoring and reporting activities (EUR 334 614).
  • Budget proposal
  • The annual allocation to the EGF does not exceed EUR 186 million (in 2018 prices), as foreseen in the Council Regulation (EU, Euratom) 2020/2093 laying down the multiannual financial framework for the years 2021-2027.
  • Following the assessment of the application, the Commission proposes to mobilise the EGF for an amount of EUR 5 019 218, representing 60% of the total cost of the proposed actions, in order to provide a financial contribution for the application.
committees/0/shadows/5
name
PAPADIMOULIS Dimitrios
group
The Left group in the European Parliament - GUE/NGL
abbr
GUE/NGL
events/1
date
2021-05-17T00:00:00
type
Committee referral announced in Parliament
body
EP
forecasts/0/title
Old
Indicative plenary sitting date
New
Vote in plenary scheduled
procedure/dossier_of_the_committee
  • BUDG/9/05921
procedure/stage_reached
Old
Preparatory phase in Parliament
New
Awaiting committee decision
docs/2/docs/0/url
https://www.europarl.europa.eu/doceo/document/BUDG-AM-692947_EN.html
docs/2
date
2021-05-20T00:00:00
docs
title: PE692.947
type
Amendments tabled in committee
body
EP
committees/1/rapporteur
  • name: ZDECHOVSKÝ Tomáš date: 2021-05-18T00:00:00 group: Group of European People's Party abbr: EPP