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Coronavirus: €17.7 million from European Globalisation Adjustment Fund to help dismissed Air France staff – The European Sting – Important Information & Insights on European Politics, Economic system, International Affairs, Enterprise & Expertise


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This article is delivered to you in affiliation with the European Commission.


Today, the European Commission proposes to help 1,580 former staff of Air France, who’ve misplaced their jobs because of the COVID-19 pandemic, with €17.7 million from the European Globalisation Adjustment Fund for Displaced Workers (EGF). The funding will assist these folks discover new jobs by tailor-made steering and recommendation, develop new expertise, and begin their very own enterprise.

Commissioner for Jobs and Social Rights, Nicolas Schmit, stated: “The COVID-19 pandemic has had a huge impact on travel and airline workers. With €17.7 million of financial support from the European Globalisation Fund, we show solidarity with nearly 1,600 former Air France workers, helping them to find their way back into the labour market. This EU support will help them retrain and find new jobs, or to start their own business.”

France utilized for EGF help to assist dismissed staff at Air France, following a drop in air passengers and flights due to the COVID-19 pandemic.

The help to the dismissed staff contains advisory companies, profession steering, job search help and the likelihood to be taught new expertise by tailor-made vocational coaching. Participants may also obtain recommendation on how one can begin their very own enterprise and a start-up grant of as much as €15,000. The help measures additionally embrace hiring advantages, wage top-ups and fast reemployment allowances for staff.

The whole estimated value of those measures is about €21 million, of which the EGF will cowl 85% (€17.7 million). Air France will finance the remaining 15%. Support to the eligible staff began in February 2021, shortly after the primary layoffs. The EGF can retroactively cowl these prices as soon as the funding may have been authorized by the European Parliament and the Council.

Background

The COVID-19 pandemic compelled Air France to cut back its flights because of journey restrictions in lots of international locations. In addition, the pandemic has had a long-term impression on the air transport sector. Increasing environmental consciousness, together with distant working might end in a change in buyer behaviour within the long-term. The restoration of air transport is due to this fact anticipated to be gradual and unsure, with Air France anticipating to achieve 95% of its pre-pandemic flight supply solely in 2023.

The area Île-de-France has been probably the most affected by the redundancies in Air France, amounting to 57% of the dismissals. Despite current enhancements, the variety of registered job seekers in Île-de-France continues to be excessive, and the lengthy–time period job seekers signify practically half of all job seekers within the area. Therefore, the French authorities anticipate that the employees impacted by the Air France restructuring will likely be in want of personalised help to seek out new jobs.

Under the brand new EGF regulation 2021-2027, the Fund continues to help displaced staff and self-employed individuals who have misplaced their exercise. With the brand new guidelines, EGF help turns into extra simply obtainable for folks affected by restructuring: all sorts of surprising main restructuring occasions might be eligible for help, together with the financial results of the COVID-19 disaster, in addition to bigger financial traits like decarbonisation and automation. Member States can apply for EU funding when no less than 200 staff lose their jobs inside a particular reference interval.

In March 2022, the European Parliament and the Council authorized a Commission proposal to help 473 former staff of merchandising machine firm Selecta in France with €4 million from the EGF. This adopted the approval in February of a Commission proposal to help 297 dismissed Airbus staff in France because of the pandemic with €3.7 million from the EGF.

Overall, since 2007, the EGF has made obtainable €668 million in 173 circumstances, providing assist to greater than 166,000 folks in 20 Member States. EGF-supported measures add to nationwide energetic labour market measures.




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