The Council has adopted a regulation that will broaden the scope of the European Globalisation Adjustment Fund for Displaced Workers (EGF), extending support to workers facing imminent unemployment. The new rules will apply until the end of 2027, when the current EGF programme expires. The current purpose of the EGF is to show solidarity with workers and self-employed people who have already lost their job due to company restructuring, helping them get back into employment. However, lay-offs caused by restructuring often occur in waves, meaning that people who are at risk of redundancy also need access to training and other support and would benefit from receiving it at an earlier stage, before they are dismissed. Under the revised regulation, workers who are at imminent risk of losing their job as a result of company restructuring would also have access to support under the EGF, to reduce the rate of dismissals and help workers transition to new roles. Support measures that can benefit from EGF financing include active labour market policy measures geared towards equipping workers with the skills needed to move into a different role or find new jobs, and may include up-skilling and re-skilling, certification of skills, job-search assistance or careers advice. Next stepsThe regulation will enter into force the day following the publication in the EU’s Official Journal. BackgroundOn 1 April 2025, the Commission adopted a proposal to amend Regulation (EU) 2021/691 (the regulation on the European Globalisation Adjustment Fund for Displaced Workers) as regards support to workers affected by imminent job displacement in enterprises undergoing restructuring. The Commission first announced its intention to amend the EGF regulation in the Industrial Action Plan for the European Automotive sector, published on 5 March 2025 as part of the Commission’s actions to support industrial sectors such as automotive and steel in the context of economic disruptions and geopolitical challenges. The revision was put forward alongside a proposal to amend the European Social Fund Plus (ESF+), which is the EU’s main instrument for investing in people and supporting the implementation of the European Pillar of Social Rights. On 18 September 2025, the Council adopted the regulation amending the ESF+ as part of the ongoing mid-term review of the EU’s cohesion policy.
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