Employees who have become unemployed because of an economic crisis or a changing market in a context of globalisation can apply to the European Globalisation Fund (EGF). The EGF’s target is to guide employees to the labour market again in a sustainable way.
EGF in the EU
According to the European Union, the reintegration of unemployed persons is crucial to stabilise the labour market. The market should not be depending on a changing economic context, or on changes resulting from globalisation. For this reason, investing in short, but individual coaching of employees is essential for them to retrain, guide them to a job again and keep them employed.
The labour market will never be fully independent from economic or financial trends within the EU. Still, it is important to protect staff members from possible changes and to avoid a knock-on effect.
EGF support can be granted only once and is destined to help individual employees. Specifically, EGF finances training, retraining, outplacement, guidance during the setting up of one’s own business, guidance during the search for a new job, etc.
EGF provides a maximum of 50% of the costs to reintegrate employees into the labour market. The remaining costs are covered through national, regional or private financing.
Support from EGF should be additional: it constitutes a supplement to actions of the member states on a national, regional and local level and of measures that companies carry through because of national legislation or collective labour agreements. Therefore, a social agreement needs to be established before a demand for support from EGF can be submitted.
EGF already has allocated support to three Flemish projects.
EGF operates under the responsibility of the federal (Belgian) labour minister.