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On Tuesday, the Committee on Budgets approved France’s request for support from the European Globalisation Adjustment Fund for Displaced Workers (EGF). MEPs acknowledge that “Air France was severely impacted by the COVID-19 crisis, which caused a sharp decline in income and traffic”. The region Île-de-France (57% of the layoffs) has been most affected.
The support provided to the dismissed workers includes advisory services, career guidance, job search assistance and the possibility to learn new skills through tailored vocational training. Participants can also receive advice on how to start their own business and a start-up grant of up to €15 000. The support measures also include hiring benefits, salary top-ups and quick reemployment allowances for workers.
The total estimated cost of these measures is about €21 million, of which the EGF will cover 85% (€17.7 million). Air France will finance the remaining 15%.
The draft report by rapporteur Fabienne Keller (RENEW, FR) recommending that Parliament approve the aid was passed by 29 votes, 1 against and no abstentions. Approval by plenary is expected on 23 June in Brussels.
Under the new 2021-2027 EGF regulation, the Fund will continue to support workers and self-employed people whose work has stopped. The new rules allow support to be given to more people affected by having their jobs or sector restructured: all types of unexpected major restructuring events are eligible for support, including the economic effects of the COVID-19 crisis, as well as larger economic trends like decarbonisation and automation. Member states can apply for EU funding when at least 200 workers lose their jobs within a specific reference period.
Commission press release and link to proposal