Coronavirus: EU job-search aid worth €4m for 473 dismissed workers in France

Coronavirus: EU job-search aid worth €4m for 473 dismissed workers in France

  • Support for 473 former workers of vending machine company Selecta in France
  • Redundancies due to the COVID-19 pandemic
  • Funding should help the dismissed workers find new jobs through tailored guidance, develop new skills, or to start their own business

473 employees in France who lost their jobs following a drop in sales of vending machine products because of the COVID-19 pandemic should receive €4 million in EU aid.

On Wednesday, the Committee on Budgets approved France’s request for support from the European Globalisation Adjustment Fund for Displaced Workers (EGF). MEPs acknowledge that “the vending machines industry has been hit hard by the COVID-19 pandemic in Europe, due to the closure of sites where the machines were located (business and public places such as airports, railway stations, etc.) or by lack of access to the vending

machines in the open sites (…)”. Selecta recorded operating losses of €60 million in 2020.

The region of Île-de-France (32%) and the city of Lille (13%) were most affected by Selecta job losses. The total estimated cost of the support measures is €4.8 million, of which the EGF will cover 85% (€4 million). Selecta will finance the remaining 15%. The support to the dismissed workers includes learning new skills through vocational training, job search assistance and funding to start their own business.

The draft report by rapporteur Eider Gardiazabal (S&D, ES) recommending that Parliament approve the aid was passed by 39 votes, none against and 1 abstention. A vote is scheduled during the 23-24 March plenary session in Brussels.

Background

Under the new 2021-2027 EGF regulation, the Fund will continue to support workers and self-employed people whose activity 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.

Source: Coronavirus: EU job-search aid worth €4m for 473 dismissed workers in France | News | European Parliament (europa.eu)

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