On Thursday, the Committee on Budgets approved Belgium’s request for €704,135 in EU aid through the European Globalisation Adjustment Fund for Displaced Workers (EGF). The aid will support 632 former workers from machinery and paper enterprises Purmo and Sappi in the Flemish province of Limburg. MEPs noted that the profiles of the displaced workers, one third of which are aged 55 years or more and 30 % are with low education, translate into severe barriers on the labour market.

Both Sappi Lanaken and Purmo Group had to lay off employees due to declining demand for their products and economic challenges. Sappi Lanaken closed its plant because digitalization reduced the need for woodfree coated paper and shifting production was too costly, while Purmo Group’s Zonhoven plant ceased production due to a 60% drop in panel radiator demand, higher operational costs, and unfavourable market conditions influenced by the war in Ukraine and EU legislation favouring alternative heating…