PART THREE

General safeguards

CHAPTER I

GENERAL PROVISIONS

Readaptation

Article 23

1. If in consequence of the establishment of the common market some undertakings or parts  of undertakings should be compelled to discontinue or alter their activities during the  transitional period defined in Article 1 of this Convention, the Commission shall, on  application by the governments concerned, assist as provided below in ensuring that the  workers do not have to bear the brunt of the readaptation and in affording them productive  employment, and may provide non repayable aid to some undertakings.

2. On application by the governments concerned, the Commission shall take part, as provided  in Article 46, in studying the possibilities for re employing redundant workers in existing  undertakings or through the creation of new activities.

3. The Commission shall facilitate, in the manner laid down in Article 54, the financing of  programmes submitted by the governments concerned and approved by itself for the  conversion of undertakings or for the creation, either in the industries within its jurisdiction  or, with the assent of the Council, in any other industry, of new and economically sound  activities capable of reabsorbing the redundant workers into productive employment.Subject  to the approval of the government concerned, the Commission shall give preference to  programmes submitted by undertakings which have to close as a result of the establishment of  the common market.

4.The Commission shall provide non repayable aid towards:

a. The payment of tide over allowances to workers, where undertakings are closing altogether  or in part;  
b. The payment of allowances to undertakings to enable them to continue paying such of their  workers as may have to be temporarily laid off as a result of the undertakings' change of  activity;
c. The payment of resettlement allowances to workers;
d. The financing of vocational retraining for workers having to change their employment.

5. The Commission may also provide non repayable aid to undertakings which have to close  as a result of the establishment of the common market, provided that this state of affairs is  directly and solely due to the fact that the common market is confined to the coal and steel  sectors, and is leading to a relative increase in the production of other Community  undertakings. The aid shall be limited to the amount required to enable the undertakings to  meet their immediate liabilities.

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