The Commission proposes to mobilize €8 million from the European Globalisation Adjustment Fund for Displaced Workers (EGF) to support 2,400 workers dismissed following the bankruptcy of Belgian bus manufacturer Van Hool.
Between 2012 and 2019, Van Hool sold an average of 427 buses annually in Europe. Sales began declining in 2020 due to the COVID-19 pandemic. The war in Ukraine, rising inflation, and disrupted supply chains further pressured the company. Its bankruptcy in April 2024 significantly impacted the labor market around Mechelen, with unemployment reaching 32% in Berlaar. One-third of dismissed workers are 54 or older, and one-fourth have lower formal qualifications, complicating job searches. To assist these workers, Belgium applied for EGF support in October 2024.
The EGF will contribute €8 million (85%) to a €9.4 million support package including counseling, vocational orientation, job-search assistance, and training in new professional and digital skills. The Flemish Employment and Vocational Training Service (VDAB) covers the remaining 15% (€1.4 million). Belgian authorities started providing support immediately after the layoffs.
Background
Since 2007, the EGF has intervened in 182 cases, allocating €700 million to aid over 170,000 people in 20 Member States. Recent data from Eurofound indicate that large-scale restructuring events typically last over a year, with the most extensive cases taking nearly three years.
The proposal will now be submitted to the European Parliament and the Council for approval.
For More Information
Commission proposal for EGF support to dismissed Van Hool workers (Belgium)
Website of the European Globalisation Adjustment Fund
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