Workers dismissed in Belgium after the closure of chip manufacturer BelGaN are set to benefit from EU support through the European Globalisation Adjustment Fund (EGF). The €930,000 proposal would support 417 people in returning to employment.
BelGaN ceased operations in July 2024. The closure resulted in 417 job losses and a 9% rise in unemployment in the municipality of Oudenaarde in East Flanders. Belgium applied for EGF support in February 2025.
The funding will help the dismissed workers through measures such as:
- counselling
- vocational orientation
- job-search assistance
- skills training
The total estimated cost of these measures is €1.1 million: the EGF covering 85% (€930,000) and Belgium’s Flemish Employment and Vocational Training Service (VDAB) financing the remaining 15% (€170,000). Belgian authorities began providing support immediately after the layoffs, in August 2024. The EGF can retroactively cover these costs.
The EGF proposal now requires approval by the European Parliament and the Council.
Background
The EGF supports dismissed workers and self-employed people who have lost their activity due to unexpected major restructuring events.
In April 2025, the Commission proposed to amend the EGF regulation to support workers at risk of imminent job loss, allowing earlier intervention by swiftly mobilising support before job losses occur.
Since 2007, the EGF has intervened in 183 cases, allocating €709 million to provide help to more than 172,000 people in 20 Member States.
Recent data from Eurofound show that large-scale restructuring events typically last over a year, with the most extensive cases taking nearly three years. EGF-supported measures complement national active labour market measures.
