Brussels, 19/12/2006 (Agence Europe) - Less than one week after the European Parliament gave its endorsement at first reading after adoption of the Bachelot Narquin report (see EUROPE 9327), Tuesday's Agricultural Council approved the fact that the European Globalisation Adjustment Fund (GAF) would take effect on 1 January 2007. This new Community instrument is likely to provide financial aid of €500 million annually (over the 2007-2013 period) for the training, retraining and vocational re-insertion of workers who fall victim to international restructuring plans, relocation or the adverse effects of globalisation. The GAF will support active labour market-related measures above all for assistance in job seeking, vocational guidance, “tailored made” training and allocations for job hunting and mobility. One of the guiding principles is that it must not be used to finance the restructuring of companies or sectors but to give financial support to workers who have lost their jobs. At the most, the Union may cover half the cost of actions and financing may be for one year at most. In order to qualify for such support, job losses should be clearly linked to changes in the structure of global trade and have significant adverse impact on the regional or local economy. Within ten weeks from the moment when conditions for intervention are met, a request for GAF contributions should be put to the Commission by the Member State concerned. The Commission will assess whether the criteria for granting financing are met in collaboration with the Member State. It will then forward the dossier to the relevant Parliament and Council financial bodies that will take the final decision as to whether or not to grant GAF financial support. GAF assistance will complete aid provided by the European Structural Funds and national Member State aid measures. It will not be a substitute for actions arising from corporate liability towards workers dismissed under national legislation or collective agreements. (eh)