The European Commission said on Friday it was ready to discuss financial aid with the Belgian authorities for the thousands of workers being laid off by US auto giant Ford at its Genk plant. Ford Genk will be closed down by 2014 with the loss of 4,300 jobs while another 5,000 or more among suppliers and other smaller firms nearby are threatened too - a major blow for the economy.
The Commission "stands ready to discuss with the national authorities" what could be provided from the Globalisation Fund, which was set up to help countries adjust to rapid changes in the economy, a spokesman said. With the European auto industry faltering due to the economic downturn and intense competition, the Globalisation Fund could be called on, he said. Ford said on Thursday that it was also closing down two British plants in a bid to steer its European operations back to profit, just the latest in a series of such announcements as automakers try to shed over-capacity. The spokesman noted that in the past, France's Renault and PSA had been helped in similar circumstances, along with Saab and General Motors.
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