Eurofound's EU PolicyWatch collates information on the responses of government and social partners to the COVID-19 crisis, the war in Ukraine, rising inflation, as well as gathering examples of company practices aimed at mitigating the social and economic impacts.
Factsheet for measure BG-2020-26/1002 – Updated – measures in Bulgaria
|Country||Bulgaria , applies nationwide|
|Time period||Temporary, 26 June 2020 – 31 May 2021|
|Type||Legislations or other statutory regulations|
Employment protection and retention
– Income support for people in employment (e.g., short-time work)
|Author||Tsetomila Sabcheva and Luboslav Kostov (Citub)|
|Measure added||16 July 2020 (updated 18 April 2023)|
The instrument has been added by the national Employment Agency into the national 'Human Resources Development' 2014-2020 programme, in the chapter 'Improving access to employment and quality of jobs'.
This measure is aimed at employers and self-employed in the sector of transport and tourism. Applicants must prove that they have at least a 20% drop in sales revenue and have paid their taxes and social security contributions for 2019. The duration of the measure is six months. The measure is projected to help maintain the employment of more than 22,000 people.
The total amount provided for this measure is BGN 40 million (€20 million).
The measure may be combined with measure 'COVID-19: Income support for workers 60/40'. In this way, sector-specific support can become 80/20.
The measure aims to maintain the employment of workers and self-employed engaged in the sectors - hotels and restaurants, transport and tourism, by providing compensation for part of the salary, taxes and social security contributions in amount of BGN 290 (€148) monthly, for a period up to six months.
The requirement towards the employers, who benefit from the programme, is to sustain the employment of the supported workers and self-insured persons for the entire period of subsidised employment, as well as for an additional period equal to half of the period for which the compensations have been paid. For example, if they receive benefits for six months, they must keep the particular worker at work for at least nine months. This will ensure a relatively sustainable employment of people for a longer period of time.
The following updates to this measure have been made after it came into effect.
|18 March 2021||
The deadline for payment of compensations for maintaining employment in the "Transport", "Hotel and Restaurant" and "Tourism" sectors is extended until 31 May 2021.
The measure is projected to help maintain the employment of more than 22,000 people. Interested employers and self-employed persons may submit an application to a local 'Labour Office' directorate. In cases of multiple sites, the employer submits an application to only one directorate. The application shall be submitted on paper, electronically or by registered letter with acknowledgment of receipt through a licensed postal operator.
The decision of the Council of Ministers is from 26 June 2020. The measure itself came into force on 01 July 2020. There is still no confirmed official information on the number of submitted applications. Data for July will be released in August 2020.
The preliminary assessment of the measure shows that €14.5 million have been paid so far (only Transport and Tourism sectors). The amount was received by 2,055 employers across the country, allowing 27,529 jobs to be maintained in these sectors.
As of the 22 January 2021 the preliminary estimate of the measure for the hotel and restaurant sectors shows that €41 million have been paid to 1,058 employers, which has allowed the retention of about 30,000 jobs so far.
|Applies to all workers||
Sector specific set of companies
||Does not apply to citizens|
Social partners' role in designing the measure and form of involvement:
|Trade unions||Employers' organisations|
|Role||Agreed (outcome) incl. social partner initiative||Agreed (outcome) incl. social partner initiative|
|Form||Consultation through tripartite or bipartite social dialogue bodies||Consultation through tripartite or bipartite social dialogue bodies|
Social partners' role in the implementation, monitoring and assessment phase:
The measure was proposed by the social partners and developed during the negotiations in the National Council for National Cooperation. The measure is proposed by the unions.
The unions fully support the measure. It builds on the existing measure 'COVID-19: Income support for workers 60/40' by focusing on the most affected sectors of the crisis in the Bulgarian economy.
This case is sector-specific
|Economic area||Sector (NACE level 2)|
|H - Transportation And Storage||H49 Land transport and transport via pipelines|
|H50 Water transport|
|H51 Air transport|
|I - Accommodation And Food Service Activities||I55 Accommodation|
|I56 Food and beverage service activities|
This case is not occupation-specific.
Eurofound (2020), Measures for maintaining employment in transport and tourism, measure BG-2020-26/1002 (measures in Bulgaria), EU PolicyWatch, Dublin, https://static.eurofound.europa.eu/covid19db/cases/BG-2020-26_1002.html
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Disclaimer: This information has not been subject to the full Eurofound evaluation, editorial and publication process.