The European Globalisation Adjustment Fund (EGF) enables the European Union (EU) to show solidarity with workers who have been affected by mass redundancies triggered by shifting world trade patterns, followed by the closure of a large company or when production moves outside the EU. Member States can also call on the fund to assist workers made redundant due to the global financial and economic crisis.
Only EU member states are entitled to apply for financing from EGF. When a Swedish company is affected, Arbetsförmedlingen (the Public Employment Office) gets a mandate from the Government to apply in accordance with the Regulation of the European Parliament (EU) no 1309/2013 of 17 December on the European Adjustment Fund 2014-2020.
Arbetsförmedlingen is also responsible for implementation of the measures, which are in the form of different projects that are ongoing up to two years and in which EGF covers 60 per cent of the costs.
The EGF is a special instrument, which is not included in the EU’s multiannual financial framework, and has been allocated EUR 150 million a year for the period 2014-2020.
The EGF can only be used for co-financing active labour market measures such as: help with looking for a job, career advice, education and re-training, mentoring and coaching, entrepreneurship and business creation.
Arbetsförmedlingen has been appointed by the Government to act as Managing authority. A separate managing function is established with overall responsibility for managing and supervising the implementation of the programs and has the responsibility for the financial administration. The managing function is furthermore responsible for submitting a final report on the EGF funded programs.
Arbetsförmedlingen is also responsible to ensure that all eligible expenses are within the fund’s framework of rules and that activities must be carried out in accordance with the goals set out under the Regulation (EU) no 1309/2013 of the European Parliament. The control is carried out by a separate certifying function, which is separated from the managing function and the ongoing EGF projects.