The Swedish ESF Council is investing 35 million kronor to address the current layoff situation in Norrbotten and Västerbotten.
It has now been confirmed that the state-run ESF Council is allocating 35 million kronor to address the current redundancies situation in Norrbotten and Västerbotten.
"Following Northvolt's significant lay-offs, many people are left without jobs. At the same time, the demand for labour is enormous – the public sector will need more than 47,000 new employees in the coming years. The ESF Council is now stepping in with 35 million kronor to strengthen organisations' capacity to hire those who have been laid off," the council states in a press release.
– The lay-offs at Northvolt impact both their employees and local subcontractors. This initiative aims to help more people remain in our region, where the demand for labour is significant, says Emma Engelmark, ESF's regional director for Upper Norrland.
The council also states that the funds will support public sector employers in hiring individuals who have been laid off. This support may include language training, vocational education, or assistance in integrating into the Swedish labour market.
Who can apply for the funding?
– Typically, regions or municipalities can apply for funding to enhance the skills of individuals to better align with the needs of the public sector. For instance, this could involve language training, says Engelmark, adding:
– The initiative is designed to help organisations prepare to welcome new personnel, while Arbetsförmedlingen focuses on supporting affected individuals directly.
The battery manufacturer Northvolt is undergoing reconstruction, and hundreds of employees have been made redundant.
Is any co-funding required?
– Recipients of the funds are expected to contribute matching resources. This typically involves dedicating staff time to the initiative, covering facility costs, or allocating funds from their own development budgets.
Engelmark explains that the European Social Fund has previously provided similar support during the covid-19 pandemic, the war in Ukraine, and the major layoffs at Volvo several years ago.
– These funds are specifically designed to assist in managing rapid transitions and crises, which is precisely the situation we are currently facing in Västerbotten and Norrbotten, she says.