Commission releases €3.7 million to support 836 dismissed workers in Austria and Belgium

The European Commission has proposed to mobilise €1.9 million from the European Globalisation Adjustment Fund for Displaced Workers (EGF) to help 836 workers in Belgium and Austria after their dismissal by home decoration company Casa and motorcycle manufacturer KTM, respectively.

Since 2007, the EGF has intervened in 186 cases, allocating €727 million helping more than 181,000 people in 20 Member States.

According to the latest EGF activity report, more than eight in ten (81%) dismissed workers have found a new job within 18 months of receiving EGF support. The EGF contributes directly to the creation of a more dynamic and competitive European economy by improving the skills and employability of dismissed people and facilitating the general upskilling within European companies, leading to better quality jobs.

Commission supports 416 dismissed workers in Belgium

After facing financial difficulties for several years, home decoration retail chain Casa was declared bankrupt in March 2025 in Belgium. This led to 416 workers losing their jobs.

The EGF funding will help these workers learn new skills and quickly rejoin the labour market by financing measures such as job-search events, career counselling and guidance, and skills training.

The total estimated cost of these measures is €2.3 million, with 85% (€1.9 million) covered by the European Commission and 15% (€338,247) by the Flemish Public Employment Services. The Belgian authorities began supporting in March 2025, shortly after the bankruptcy declaration. The EGF can retroactively cover these costs.

Commission supports 420 dismissed workers in Austria

Motorcycle manufacturer KTM reported high losses and plummeting sales in 2024. Continued shortages of supplies and parts forced the company to halt production in April 2025.

The EGF-funded measures will equally help 420 of them rejoin the labour market through career counselling and guidance, job-search support, new skills training and training allowances.

The total estimated cost of these measures is €3 million, including 60% (€1.8 million) from the European Commission and 40% (€1.2 million) from the Austrian Public Employment Service. The Austrian authorities began providing support from the EGF to workers in March 2025. The EGF can retroactively cover these costs.

Next steps

The EGF proposal to support these 836 workers in Belgium and Austria now requires approval by the European Parliament and the Council. It needs a simple majority in the European Parliament and a qualified majority in the Council.

Background

Helping European workers learn and improve their skills for the demands of a quickly evolving job market is a priority for the European Commission. In April 2025, the Commission proposed to extend the scope of the EGF to enable workers threatened by imminent displacement receive training to maximise their chances to either remain employed in new business lines of the same companies or to access jobs in other companies, and to accelerate the mobilisation procedure for the EGF fund.

In November 2025, the Commission launched a Skills Guarantee pilot to support workers in transition so they can learn new skills. The flagship initiative under the Union of Skills will reinforce strategic and growing sectors, in line with the future European Competitiveness Fund.