Laid off auto workers in Spain are to receive assistance from the European Union (EU) after administrative problems holding up the handout appear to have been resolved.
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The European Commission announced today (22 June) it had paid EUR2.7m from the European Globalisation adjustment Fund (EGF) to Spain.
This money will help 588 workers made redundant. Some worked at the US-owned Lear Corporation and Nachi group – who have bases in Castilla y León, and who were expected to receive assistance.
However, money will also go to three companies located in Aragon – Delphi Packard España, Automotive Connections and Equipments, Auxiliar de Componentes Eléctricos which all looked likely to lose access to the subsidy because their regional government would not stump up matching funds.
But these difficulties have vanished: money will now also come from the Spain’s national and lower level governments, making the overall package EUR5.4m to fund retraining and job-seeking advice.
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By GlobalDataEU employment commissioner Vladimír Špidla said: “These funds will help those car sector workers to retrain and get back onto the labour market as soon as possible.”
A commission note added that the redundancies were caused by production being shifted to countries outside the EU (Morocco, Turkey and Taiwan) and increased car imports.
Keith Nuthall
