With 577 votes in favour, 47 against, and 15 abstentions, Parliament approved Germany’s request for €3,085,166 in EU aid from the European Globalisation Adjustment Fund for Displaced Workers (EGF) for workers laid-off following the closure of Goodyear’s tyre production site in Fulda and the partial shutdown of its plant in Hanau, Germany.
The funds will cover 60% of the total costs of the planned reintegration measures, such as career guidance, acquiring new skills, support for business start-ups, and help with efforts to find a new job. German authorities started providing funding to these workers in November 2024, shortly after the layoffs occurred, and the EGF money will retroactively cover these costs.
In 2024, Goodyear restructured due a significant decline in demand, rising costs, and increasing competition from low-cost imports from Asia. MEPs noted that the redundancies at Goodyear pushed the annual unemployment rate in the Fulda region above 10%. This disproportionately affected male workers and those over 50, many of whom hold qualifications and skills that no longer match current labour market demands.
Background
Under the EGF regulation 2021-2027, the fund supports displaced workers and self-employed people who have lost their job due to unexpected major restructuring events. Member states can apply for EU funding when at least 200 workers lose their jobs within a specific reference period. If the application meets the EGF criteria, then the Commission proposes mobilising funds, which must be approved by the European Parliament and the Council. According to the Commission, the EGF has been used in 183 cases since 2007, allocating €709 million to provide help to more than 172,000 people in 20 EU countries.
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