May 7 (SeeNews) - The European Commission said on Wednesday it has proposed to provide Romania with 3.6 million euro ($5.0 million) to help 1,000 former workers of the steel products manufacturer Mechel Campia Turzii and the downstream producer Mechel Reparatii Targoviste to find new jobs.
The money would come from the European Globalisation Adjustment Fund (EGF), the commission said in a statement.
The proposal now goes to the European Parliament and the EU's Council of Ministers for approval.
"The manufacture of finished and semi-finished steel products in the EU has been seriously disrupted due to intensified competition from countries outside the EU, particularly China. Today's proposal would help to prepare some 1,000 former steelworkers from the Cluj region in Romania for new job opportunities or to set up their own businesses," EU Commissioner for Employment, Social Affairs and Inclusion Laszlo Andor said.
Romania applied for support from the EGF following the dismissal of more than 1,500 workers in the two companies as a result of increased competition from steel products manufacturers elsewhere in the world.
The measures co-financed by the EGF would help 1,000 workers in finding new jobs by providing them with career guidance and skills assessment, training, support to entrepreneurship and a variety of allowances. One of the flagship measures will be to help 250 of them to set up a cooperative enterprise that will manufacture sports equipment, the statement said.
The total estimated cost of the package is 7.14 million euro, of which the EGF would provide half.
($ = 0.7184 euro)