A Labour MEP for Yorkshire and Humber, Richard Corbett has called on the Government to immediately apply for money from the European Globalisation Adjustment Fund (EGAF) if the £12.2billion takeover of mortgage giant HBOS by Lloyds TSB leads to massive jobs losses in the region.
EGAF was established by the European Parliament in 2006, with a budget of 500 million euros per year, to provide money for people who lose their jobs as a result of the effects of globalisation in cases where at least 1000 workers in a company are made redundant as a result of major structural changes in the global economy.
Richard said: "At this time of global financial turmoil, we have to do all we can to protect the hundreds of HBOS workers across Yorkshire and protect against job losses.
"This fund is designed specifically for cases such as this, when a company suffering from the international financial is forced to shed jobs."
He added: "Unlike Portugal, Germany, France, Malta and Finland, the UK has never made use of this fund. If the Lloyds TSB takeover of HBOS leads to large-scale job losses in Yorkshire and across the UK, the Government must immediately apply for this European money."
- HBOS employs 14,000 staff in Yorkshire & Humber
- The EGAF offers: job-search assistance, occupational guidance, tailor-made training and re-training including IT skills and certification of acquired experience, outplacement assistance and entrepreneurship promotion or aid for self-employment.
- Special time-limited measures, such as job-search allowances, mobility allowances or allowances to individuals participating in lifelong learning and training activities.
- Measures to stimulate in particular disadvantaged or older workers, to remain in or return to the labour market.
- It is intended to complement support provided by the employers and national authorities concerned in terms of active employment measures. It will not fund passive social protection measures such as retirement pensions or unemployment benefits, which are the competence of the Member States.
- To learn more about the European Globalisation Adjustment Fund visit: http://ec.europa.eu/employment_social/egf/index_en.html
- At the current exchange rate 500million euros converts to £395,094,562.54
more information
Press enquiries: Contact Luke Thorne, Press and Communications Officer to Richard Corbett MEP
- phone 0113 245 8987
- e-mail luke@richardcorbett.org.uk
© 2003-2006 Richard Corbett MEP