The European Parliament has approved the provision of €1.2 million in aid to Lithuania in order to combat unemployment in the country.

Intended to support training, new business start-ups and job seeking assistance, the European Union (EU) money will go towards the reemployment of an estimated 1,127 former furniture and textile staff.

The European Globalization Fund will contribute €1.2 million towards a total aid package of €1.8 million following the decision by the EU Council of Ministers to back the aid proposals.

Latest aid schemes to assist jobseekers in Lithuania were recently approved by the European Parliament's Budgets Committee after the country's clothing and furniture industries were negatively impacted by the global economic downturn.

Under the European Globalization Adjustment fund, two further applications from Lithuania and one from Germany have been approved to date, with around €491 million available for the remainder of 2010.

Home to around 3.5 million people, Lithuania became a member of the EU in 2004.