The European Globalisation Adjustment Fund (EGF) provides support to people losing their jobs as a result of major structural changes in world trade patterns due to globalisation, for instance when a large company shuts down or production is moved outside the EU, or as a result of the global economic and financial crisis. This fund is designed to help workers made redundant find another job or set up their own business.
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 can also provide training allowances, relocation allowances, subsistence allowances or similar support.
It can fund up to 60% of the cost of projects designed to help workers made redundant find another job or set up their own business.
As a general rule, the EGF can be used only where over 500 workers are made redundant by a single company (including its suppliers and downstream producers), or if a large number of workers are laid off in a particular sector in one or more neighbouring regions.
The EGF does not co-finance social protection measures such as pensions or unemployment benefit.