C_2018356EN.01016801.xml

P8_TA(2017)0456

Mobilisation of the European Globalisation Adjustment Fund: application EGF/2017/003 GR/Attica retail

European Parliament resolution of 30 November 2017 on the proposal for a decision of the European Parliament and of the Council on the mobilisation of the European Globalisation Adjustment Fund (application from Greece — EGF/2017/003 GR/Attica retail) (COM(2017)0613 — C8-0360/2017 — 2017/2229(BUD))

(2018/C 356/38)

The European Parliament,

—	having regard to the Commission proposal to the European Parliament and the Council (COM(2017)0613 — C8-0360/2017),

—	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) (EGF Regulation),

—	having regard to Council Regulation (EU, Euratom) No 1311/2013 of 2 December 2013 laying down the multiannual financial framework for the years 2014-2020 (2), and in particular Article 12 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 (3) (IIA of 2 December 2013), and in particular point 13 thereof,

—

having regard to Special Report No 7/2013 of the Court of Auditors, according to which the European Globalisation Adjustment Fund (EGF) delivers genuine EU added value when it is used to cofinance services for redundant workers or allowances not ordinarily existing under Member States’ unemployment benefit systems,

—	having regard to the trilogue procedure provided for in point 13 of the IIA of 2 December 2013,

—	having regard to its resolutions adopted since January 2007 on the mobilisation of the EGF, including the comments of the Committee on Employment and Social Affairs on the respective applications,

—	having regard to the letter of the Committee on Employment and Social Affairs,

—	having regard to the letter of the Committee on Regional Development,

—	having regard to the report of the Committee on Budgets (A8-0367/2017),

whereas the Union has set up legislative and budgetary instruments to provide additional support to workers who are suffering from the consequences of major structural changes in world trade patterns or of the global financial and economic crisis and to assist their reintegration into the labour market;

B.	whereas Greece submitted application EGF/2017/003 GR/Attica retail for a financial contribution from the EGF following 725 redundancies in nine enterprises operating in the retail-trade sector in the region of Attica and 10 other regions (4);

C.	whereas the application is based on the intervention criteria laid down in Article 4(2) of the EGF Regulation;

whereas, in order to establish the link between the redundancies and the global financial and economic crisis, Greece argues that its economy was in serious recession for six consecutive years (2008-2013); whereas, between 2008 and 2016, Greek GDP and public consumption fell by 26,2 % and 22,8 %, respectively, and there are 700 000 more people unemployed in the country; whereas since 2008, Greek Governments have, to deal with foreign debt repayments, significantly raised tax rates, streamlined public expenditure and reduced public-sector pay, in particular pensions, while private-sector pay has also decreased as a result of the combination of policies applied; whereas the fall in incomes has been reflected in a fall in consumption that has hit the retail sector hard;

Agrees with the Commission that the conditions set out in Article 4(2) of the EGF Regulation are met and that Greece is entitled to a financial contribution of EUR 2 949 150 under that Regulation, which represents 60 % of the total cost of EUR 4 915 250;

Notes that the Commission respected the deadline of 12 weeks calculated from receipt of the completed application from the Greek authorities until finalisation of its assessment on the compliance with the conditions for providing a financial contribution on 23 October 2017, and notified that assessment to Parliament on the same day;

Notes that the nine enterprises concerned own shops and supermarkets that sell consumer goods; deplores the significant fall in retail sales between 2008 and 2015, which ranged from 60 % for household appliance retailers to 30 % for food retailers and 23 % for supermarkets;

Acknowledges that the redundancies in question are directly linked to the decline in the retail sector since 2008; notes that 164 000 jobs were lost between 2008 and 2015 in the retail trade, manufacturing and construction sectors, which account for 64,2 % of total job losses;

Points out that the economic crisis has put significant downward pressure on Greek households’ purchasing power since 2008; notes that the drastic reduction in lending to businesses and individuals has had an impact on retailers; deplores the fact that the combined impact of those two factors has led to a drop in the overall turnover index in the retail trade sector, decreasing by more than 63 % between 2008 and 2016; points out that the austerity measures applied since 2008, in particular pay cuts, renegotiation of leases and deferring due dates for bills, have caused the situation to deteriorate; points out that this case demonstrates that the measures applied could not tackle the economic crisis effectively and in the long term;

Emphasises, with concern, that the Attica region, where over 70 % of the redundancies are concentrated, has an unemployment rate of 22,9 % while in the other 10 regions it ranges from 19,5 % in the Aegean region to 26,8 % in the Epirus and Western Macedonia regions; is concerned by the fact that such lay-offs may compound still further the unemployment situation that the regions in question have been facing since the onset of the economic and financial crisis; notes in particular that 31,8 % of the population of Attica is at risk of poverty or social exclusion;

Notes that Greece is planning five types of measures: (i) occupational guidance, (ii) training, retraining and vocational training, (iii) help with business start-ups, (iv) job search allowances and training allowances, and (v) job creation subsidies;

Notes that 85,2 % of the targeted beneficiaries are over 55 years of age, and that 24,8 % are over 64; stresses how regrettable it is that no viable solution could be found to prevent them from being made redundant, particularly given that age is an aggravating factor when looking for a job; welcomes Greece’s decision to offer vocational training courses to workers which correspond to their needs, especially those of the elderly beneficiaries, and to current labour market requirements;

Notes and welcomes the fact that the co-ordinated package of personalised services has been drawn up in consultation with the General Secretary and representatives of the Institute of Labour of the Greek General Confederation of Labour (GSEE); points out that strong social dialogue based on mutual trust and shared responsibility is the best tool with which to seek consensual solutions and common outlooks when predicting, preventing and managing restructuring processes; stresses that that could help prevent job losses and, therefore, EGF cases;

10.

Notes that the income support measures will constitute 34,72 % of the overall package of personalised measures, just below the maximum 35 % set out in the EGF Regulation and a much higher percentage than those proposed for other recent cases; recalls that these actions are conditional on the active participation of the targeted beneficiaries in job-search or training activities;

11.

Points out that the Greek authorities have confirmed that the eligible actions are not receiving assistance from other EU financial instruments;

12.

Points out that the coordinated package of personalised services benefiting from the EGF should be geared, in terms of its design, to initiatives conducive to employment, to upskilling of workers and to making the most of their employment history so as to reach out to the business community, including cooperatives, and should be coordinated with existing Union programmes, including the European Social Fund; is convinced that a coherent strategy would reduce the risk of relocation and create an environment conducive for industrial production to return to the Union; stresses that a serious policy of preventing and pre-empting restructurings ought to be given priority over any use of the EGF; stresses also the importance of a genuine industrial policy at Union level to bring sustainable and inclusive growth;

13.

Recalls that it already expressed concern about the disparity between resources requested from the EGF and amounts reimbursed by Member States in its resolution of 15 September 2016 on the activities, impact and added value of the European Globalisation Adjustment Fund between 2007 and 2014 (5); invites the Commission to continue encouraging Member States to make more realistic forecasts of likely costs so as to minimise the need to subsequently recover funds;

14.

Recalls that in line with Article 7 of the EGF Regulation, the design of the coordinated package of personalised services should anticipate future labour market perspectives and required skills and should be compatible with the shift towards a resource-efficient and sustainable economy;

15.

Reiterates that EGF assistance must not replace actions which are the responsibility of enterprises, under national law or collective agreements, or of measures for restructuring enterprises or sectors;

16.

Reiterates its call on the Commission to ensure access by the public to all documents relating to EGF applications;

17.

Approves the decision annexed to this resolution;

18.

Instructs its President to sign the decision with the President of the Council and arrange for its publication in the Official Journal of the European Union;

19.

Instructs its President to forward this resolution, including its Annex, to the Council and the Commission

(1) OJ L 347, 20.12.2013, p. 855.

(2) OJ L 347, 20.12.2013, p. 884.

(3) OJ C 373, 20.12.2013, p. 1.

(4) Eastern Macedonia, Thrace (EL11), Central Macedonia (EL12), Western Macedonia (EL13), Thessaly (EL14), Epirus (EL21), Western Greece (EL23), Central Greece (EL24), Peloponnese (EL25), Southern Aegean (EL42), Crete (EL43).

(5) Texts adopted, P8_TA(2016)0361.