Redundant Spanish Shipyard Workers May Get EU Cash

Press Release
Wednesday, August 22, 2012

The European Commission propose to grant €2-million from the European Globalisation Adjustment Fund (EGF) to help 450 redundant workers in the shipbuilding ancillary industry in Galicia get back into employment.

The funds, requested by the Spanish authorities, would help former workers from 35 small and medium sized enterprises. The proposal now goes to the European Parliament and the EU's Council of Ministers for approval.

EU Commissioner for Employment, Social Affairs and Inclusion László Andor commented: "The crisis has transformed the shipbuilding sector and much of the industry is moving to low-cost areas, particularly in Asia. Workers in the shipbuilding sector and related industries have been hit especially hard so this proposal for 2 million euros from Europe's Globalisation Fund aims to help them adapt their skills, find new jobs and build a new future."

Spain applied for support from the EGF concerning 878 redundancies from 35 manufacturers of fabricated metal products sector which operate in the shipbuilding ancillary industry in Galicia, a region in North-West Spain. Of the total 878 redundant workers, 450 workers with the most difficulty to get new jobs are targeted for assistance from the EGF.

The package aims to help the workers by offering them occupational guidance and guidance towards business creation or self-employment; various types of training and retraining and on the-job-training; accompanying measures such as job-search assistance and tutoring after reintegration into work, as well as job-search allowance and other incentives.

The total estimated cost of the package is approximately €3 million, to which the EGF would provide €2 million.


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