Former workers at Lufthansa Technik Airmotive are to avail of a €2.5m grant from the European Commission.

It comes after the company plant in Dublin closed with the loss of 424 jobs early last year.

The money is to go towards helping former employees find new jobs.

It is part of the European Globalisation Fund, which was set up to support EU workers who lost their jobs due to globalisation and the economic crisis.

Ireland applied for support from the fund following the dismissal of the workers from Lufhansa and two of its suppliers.

Under new rules, the money would also help 200 young people not in employment, education or training to find job opportunities.

The proposal now goes to the European Parliament and the EU Council of Ministers for approval.

The scheme would be co-financed by the Irish government, giving a total of €4.1m in the pacakage.

Phil Hogan, EU Commissioner for Rural Development said: "Today's announcement demonstrates the practical assistance that the EU can provide to people who have had the unfortunate experience of losing their jobs."

Airmotive Ireland aircraft maintenance and repair and overhaul was originally set up by Aer Lingus in Rathcoole, Dublin in 1980. Lufthansa took full ownership in 1999.

The company closed its doors in early 2014.