European Globalisation Adjustment Fund (EGF)

Image: EGF, European Parliamentary Research Service Blog


European Globalisation Adjustment Fund

The European Globalisation Adjustment Fund provides support to people losing their jobs as a result of major structural changes in world trade patterns due to globalisation, e.g. when a large company shuts down or production is moved outside the EU, or as a result of the global economic and financial crisis.

Budget

The EGF has a maximum annual budget of EUR 150 million for the period 2014-2020.

Activities funded

The EGF can co-finance projects including measures such as:

  • help with looking for a job
  • careers advice
  • education, training and re-training
  • mentoring and coaching
  • entrepreneurship and business creation

It is however important to note that the EGF does not co-finance social protection measures such as pensions or unemployment benefit. The EDG can only be used where workers are made redundant (as a general rule, minimum 500 workers in a single company) or where a large numbers are laid off in specific sectors or regions. In such case, the Fund can cover up to 60% of the cost of projects designed to help workers made redundant find another job or set up their own business.