The European Union Provides Financial Assistance To Unemployed Employees At The Alto TOS Textile Mill In Lithuania.

In August 6, 2008, the European Commission adopted the application of the EU's "global adjustment fund" in Lithuania to provide financial assistance to unemployed employees of the Alto TOS textile mill in Lithuania, and submitted it to the European Parliament and the European Union Council for approval.

The sum of 298994 euros will be used to help the 1089 unemployed employees of the Alto TOS textile factory get reemployment opportunities.

Regarding this, Speed La, member of the European Union responsible for employment and social affairs, said that at present, the influence of economic globalization can be felt in all walks of life of the European Union, whether this effect is positive or negative.

We are very pleased to see that the new EU member states can also benefit from the EU's "global adjustment fund".

We believe that this fund will help the government of Lithuania to enter the labour market as soon as possible for the unemployed employees of the Altos textile mill and provide new job opportunities, and help offset the negative effects of unemployment.

The relief funds obtained in Lithuania will mainly be used for re employment relief of 1089 unemployed employees in the Alto textile mill.

The termination of the multi fibre agreement resulted in a large influx of cheap textiles from the European Union, especially in Asia, to the EU market, which in turn led to the closure of a large number of EU textile enterprises.

In July 2007, the Altos textile mill, a member of the EU textile industry, declared bankruptcy.

As a labor-intensive industry, wages account for a large proportion of the cost structure of textiles.

The object of the EU's "global adjustment fund" is mainly due to the sharp increase in imports or the sharp drop in the EU market share, resulting in the structural adjustment of the industry and the fact that more than 1000 employees in a certain enterprise or a region are unemployed.

The EU's "global adjustment fund" was proposed by the European Commission.

In early 2005, the chairman of the European Commission, Barroso, proposed the creation of a special fund to help the unemployed and international trade type unemployed workers to get new re employment opportunities.

Up to now, the European Commission has received 12 similar relief applications.

The relief application for unemployed employees in the altesse textile mill in Lithuania is the eighth such relief application approved by the European Commission and submitted to the European Parliament and the Council of the European Union.

Prior to that, 6 relief applications were granted to 6910 unemployed employees, who paid a total of 21 million 700 thousand euros in relief payments.

In July 23, 2008, seventh relief applications totaling 10 million 500 thousand euros for 1589 unemployed employees were approved by the European Commission.