Date: 2016-10-20Category: Not ApplicableState: Union GovernmentCountry: Europe
Decision (EU) 2016/1858 of the European Parliament and of the Council of 11 October 2016 on the mobilisation of the European Globalisation Adjustment Fund (following an application from Sweden — EGF/2016/002 SE/Ericsson)
Executive Summary:
This decision concerns the mobilisation of the European Globalisation Adjustment Fund (EGF) following an application from Sweden regarding redundancies at Ericsson. The decision approves a financial contribution of EUR 3,957,918 from the EGF. This decision entered into force and applied from October 11, 2016.
Key Points / Main Content:
* **Purpose of the EGF:**
* Provides support to workers made redundant and self-employed persons whose activity has ceased due to major structural changes in world trade patterns, the global financial and economic crisis, or a new global financial and economic crisis.
* Assists with reintegration into the labour market.
* **Funding and Application:**
* The EGF's maximum annual amount is EUR 150 million (2011 prices).
* Sweden submitted an application on March 31, 2016, concerning redundancies at Ericsson.
* The application complies with the requirements for a financial contribution from the EGF.
* **Financial Contribution:**
* A financial contribution of EUR 3,957,918 is approved for Sweden's application.
* **Effective Date:**
* The decision entered into force upon publication in the Official Journal of the European Union and applies from October 11, 2016.
Impact Analysis:
European Parliament and Council:
* Impact: They adopted the decision to mobilise the EGF.
* Action Required: No further action required, as the decision has been adopted.
Sweden/Ericsson:
* Impact: Receives financial assistance of EUR 3,957,918 from the EGF to support workers made redundant.
* Action Required: Utilize the funds to assist affected workers with reintegration into the labor market.
European Commission:
* Impact: Responsible for the proposal that led to the decision.
* Action Required: Ensure the disbursement of funds to Sweden and monitor their appropriate use.
Key Entities Referenced
European Parliament: One of the legislative branches of the European Union.
Council of the European Union: Also known as the Council, it is one of the legislative bodies of the European Union representing the governments of the member states.
European Globalisation Adjustment Fund (EGF): A fund that provides support to workers made redundant due to major structural changes in world trade patterns, the global financial and economic crisis.
Sweden: A country in Northern Europe that submitted an application to mobilise the EGF.
Ericsson Telefonaktiebolaget LM Ericsson: A Swedish telecommunications company, where redundancies led to Sweden's application for EGF support.
Regulation (EU) No 1309/2013: A European Union regulation on the European Globalisation Adjustment Fund (2014-2020).
EUR 3 957 918: The amount of financial contribution from the EGF to be mobilised in respect of the application submitted by Sweden.
Brussels: The city in Belgium where the decision was adopted.
20.10.2016 EN Official Journal of the European Union L 284/25
DECISION (EU) 2016/1858 OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL
of 11 October 2016
on the mobilisation of the European Globalisation Adjustment Fund (following an application
from Sweden — EGF/2016/002 SE/Ericsson)
THE EUROPEAN PARLIAMENT AND THE COUNCIL OF THE EUROPEAN UNION,
Having regard to the Treaty on the Functioning of the European Union,
Having regard to Regulation (EU) No 1309/2013 of the European Parliament and of the Council of 17 December 2013
on the European Globalisation Adjustment Fund (2014-2020) and repealing Regulation (EC) No 1927/2006 (1), and in
particular Article 15(4) thereof,
Having regard to 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 (2), and in particular point 13 thereof,
Having regard to the proposal from the European Commission,
Whereas:
(1) 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.
(2) The EGF is not to exceed a maximum annual amount of EUR 150 million (2011 prices), as laid down in
Article 12 of Council Regulation (EU, Euratom) No 1311/2013 (3).
(3) On 31 March 2016, Sweden submitted an application to mobilise the EGF, in respect of redundancies in Ericsson
(Telefonaktiebolaget LM Ericsson) in Sweden. It was supplemented by additional information provided in
accordance with Article 8(3) of Regulation (EU) No 1309/2013. That application complies with the requirements
for determining a financial contribution from the EGF as laid down in Article 13 of Regulation (EU)
No 1309/2013.
(4) The EGF should, therefore, be mobilised in order to provide a financial contribution of EUR 3 957 918 in
respect of the application submitted by Sweden.
(5) In order to minimise the time taken to mobilise the EGF, this decision should apply from the date of its
adoption,
HAVE ADOPTED THIS DECISION:
Article 1
For the general budget of the Union for the financial year 2016, the European Globalisation Adjustment Fund shall be
mobilised to provide the amount of EUR 3 957 918 in commitment and payment appropriations.
(1) OJ L 347, 20.12.2013, p. 855.
(2) OJ C 373, 20.12.2013, p. 1.
(3) Council Regulation (EU, Euratom) No 1311/2013 of 2 December 2013 laying down the multiannual financial framework for the years
2014-2020 (OJ L 347, 20.12.2013, p. 884).L 284/26 EN Official Journal of the European Union 20.10.2016
Article 2
This Decision shall enter into force on the day of its publication in the Official Journal of the European Union.
It shall apply from 11 October 2016.
Done at Brussels, 11 October 2016.
For the European Parliament For the Council
The President The President
M. SCHULZ I. KORČOK