Tuesday, 26 February 2019
Department of Education and Skills
European Globalisation Fund
194. To ask the Minister for Education and Skills if clarification on the application process to the European globalisation fund in the context of the decarbonisation restructuring strategy of Bord na Móna and the significant job losses in the midlands will be provided; and if he will make a statement on the matter. [9296/19]
Under the current EGF Regulation, when making an application for EGF support to the European Commission, a Member State must provide a reasoned analysis of the link between the redundancies and major structural changes in world trade patterns due to globalisation, demonstrated by:
- A substantial increase in imports into the EU;
- A serious shift in EU trade in goods or services;
- A rapid decline of the EU market share in a given sector; or
- A delocalisation of activities to third countries.
The Regulation ordinarily restricts eligibility to redundancy situations involving at least 500 redundancies in a specific company (including suppliers and downstream producers) within a 4 month period, or at least 500 redundancies in a specific sector in a 9 month period. However, in exceptional circumstances applications can be considered where the number of redundancies is not entirely met, when the redundancies will have a serious impact on employment and the local, regional or national economy.
In the context of the redundancies arising due to Bord na Móna’s decarbonisation strategy, my officials in the EGF Managing Authority are considering whether a such a reasoned analysis can be made.
I understand that the closing date for expressions of interest in Bord na Móna’s voluntary redundancy programme was 31 January 2019 and that no redundancy notifications have yet issued. I also understand that the company has engaged in a detailed support facility for its employees to look at other opportunities.
EGF applications must specify the number of redundancies that have occurred within the applicable reference period and must be submitted within 12 weeks of the end of that period.
The potential for an EGF application will be considered having regard to the issues outlined.