Factsheet for measure
BG-2020-26/1004
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Updated
– measures in Bulgaria
Measure: 'Employment for you': subsidised employment for hiring unemployed
Мярка 'Заетост за теб'
Background information
Employers from all economic sectors, with the exception of agriculture, can hire unemployed under a program, which is financed under the Operational Program 'Human Resources Development'. The measure is primarily aimed at companies in the sectors 'Hotels and restaurants' and 'Travel agency and operator activities; other travel and reservation activities'.
The aim of the project is to provide support for reintegration into employment of unemployed people who lost their jobs as a result of the pandemic and the spread of COVID-19. In response to the challenges associated with the observed rapid rate of rising unemployment in the country, the project aims to provide timely support to employers for hiring unemployed people by providing employment subsidies.
Content of measure
Unemployed persons can be employed on a full-time or part-time contract for a period of up to three months, during which they will receive funds in the amount of the minimum wage and social security contributions at the expense of the employer.
Persons must not have been employed by the same employer one month before the application was submitted. After the expiration of the three-month period of subsidised employment, employers will be obliged to further employ at least 75% of the supported workers for a period equal to the period of subsidised employment.
The number of employed workers eligible for state aid varies as follows:
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companies with up to 10 employees will be able to hire up to two unemployed people;
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companies with up to 50 employees will be able to hire up to 10 unemployed;
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companies with up to 250 employees will be able to hire up to 30 unemployed;
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companies with more than 250 employees will be able to hire up to 60 unemployed.
Employers can submit applications to the local Labour Offices.
Updates
The following updates to this measure have been made after it came into effect.
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02 December 2021
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The measure is extended up to the end of June 2023. Changes have been introduced to the content of the measure as well. The quota of BGN 50 million (€26 million) dedicated support to employers within the sectors of Hotels and Restaurant and Travel Agency Activities is abolished. Thus budget is allocated following agreed quotas on district level and accounting the unemployment rate, the number of newly registered unemployed and the number of employers from the respective districts. The employees under the measure must not be employed by the applying employer or related natural and legal persons in a period of 6 months from the date of submission of the application.
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11 October 2021
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The Employment Agency has upgraded its webpage information concerning the measure. Currently the total budget allocated to the measure is BGN 210 million (€107 million). At least 45,000 unemployed are expected to be supported through the measure. The duration of the measure has also been extended until 31 Dec 2022. Furthermore the contract period is prolonged to up to 6 months with the obligation for employers to keep 75% of the employed workers for a further period equivalent to half of the period of subsidized employment. Amendments have been introduced to the number of unemployed eligible to be hired by a certain employer:
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companies with up to 10 employees will be able to hire up to four unemployed people;
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companies with up to 50 employees will be able to hire up to 20 unemployed;
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companies with up to 250 employees will be able to hire up to 50 unemployed;
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companies with more than 251 employees will be able to hire up to 100 unemployed.
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Use of measure
The financial resource amounts to BGN 160 million (approx. €79 million), distributed on a quota basis by municipalities and consolidated by districts. Around BGN 50 million (approx. €25 million) has been set for priority support to employers in the areas of 'Hotel and Restaurant Management' and 'Travel Agency and Operator Activity'.
At least 70,000 unemployed may benefit from the programme.
The preliminary assessment (as of 22 January 2021) of the measure shows that €4 million have been paid to 2,371 employers so far. This has saved the jobs of 8,636 people.
The Employment for You scheme under Operational program human resources development, which started in July 2020 as an anti-crisis measure, has provided employment to a total of 10,080 people, and only in February employment contracts were concluded with 2,273 new unemployed.
As of 30 June 2021, under the procedure, more than 19,643 applications were submitted by employers for the creation of 50,000 jobs.
Contents
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Income protection
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Other topics
Target groups
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Workers
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Businesses
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Citizens
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Unemployed
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Applies to all businesses
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Does not apply to citizens
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Actors and funding
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Actors
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Funding
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National government
Company / Companies
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European Funds
National funds
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Social partners
Social partners' role in
designing the measure
and form of involvement:
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Trade unions
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Employers' organisations
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Role
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Agreed (outcome) incl. social partner initiative
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Agreed (outcome) incl. social partner initiative
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Form
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Consultation through tripartite or bipartite social dialogue bodies
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Consultation through tripartite or bipartite social dialogue bodies
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Social partners' role in the
implementation, monitoring and assessment phase:
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Social partners jointly
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Main level of involvement: Peak or cross-sectoral level
Involvement
The social partners were directly involved in the negotiations and debates on the drafting of the measure within the National Council for Tripartite Cooperation. This measure is part of a whole package of measures that was developed in collaboration with the social partners. The measure is a supplement and extension of an old measure, which currently aims to support specific sectors.
Views and reactions
Both employers and unions unanimously supported the measure. This measure is part of a whole package of measures that was developed in collaboration with the social partners. The measure is a supplement and extension of an old measure, which currently aims to support specific sectors.
Sources
