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Bulgaria

Introduction

The Republic of Bulgaria is a country in Southeastern Europe. It is bordered by Romania to the north, Serbia and North Macedonia to the west, Greece and Turkey to the south, and the black sea to the east. The capital and the largest city is Sofia.  

Bulgaria became an EU Member State on January 1, 2007. Consequently, the EU regulations (including those ...

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Hiring

A.    Basics of Entering an Employment Relationship

According to the Bulgarian labour law, the employment relationship between an employer and an employee commences with concluding of a written employment contract with minimum required contents, such as parties identification, place of work, job position and description, basic ...

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Compensation

A.    Minimum Wage

The minimum monthly wage required by law as of January 2020 is BGN 610 and the minimum hourly rate is BGN 3.66. These minimum rates apply to everyone, irrespective of their age, industry and experience. The government regulates the minimum wage annually. In addition, depending on the industry and the occupied position, ...

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Time Off/Leaves of Absence

A.    Paid Time Off

•    Sick Leave Pay For the first three working days of absence, the employer pays the employee 70% of their average daily gross wage. The National Social Security Institute pays for the remaining time of sick leave prescribed under the respective sickness medical certificate (indemnity ...

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Discrimination and Harassment

A.    Discrimination 

•     Protected Classes •    Protected Activities  The Protection from Discrimination Act (PADA): -    prohibits all forms of discrimination, such as direct and indirect discrimination. -    regulates ...

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Termination/Dismissal Issues

A.    Overview

Notice periods Notice periods depend on the type of contract: -    Indefinite term contract. A 30-day termination notice period applies, unless otherwise agreed by the parties, but in all cases it must not exceed three months. -    Fixed-term contract – mandatory fixed ...

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Layoffs/Work Force Reductions/Redundancies/Collective Dismissals

A.    Overview

Redundancy/layoff is defined as a decrease or future elimination by the employer of separate units of the approved total number of employees where the respective labour function is effectively removed. The employer can carry out redundancies in cases of: -    Closure of the enterprise or a part of ...

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Unfair Competition/Covenants Not to Compete

Restriction of activities An employee can enter into another employment relationship during the course of employment, unless the employment contract provides otherwise.

Post-employment restrictive covenants Restrictions imposed on an employee's future employment are generally invalid and unenforceable.

A.    Trade ...

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Personnel Administration

A.    Payroll Requirements

•    Method of Payment (Ref. Section II-B above)

•    Payment Frequency The employment remuneration is paid on a montly basis. Advance payment and final payment are allowed by law. The Employer and the employee may agree another period of payment – ...

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Privacy

Employees' data protection rights Personal data of employees can only be gathered and processed after the employer, acting as data controller, provides full information about the processing to the individual concerned. The information that is to be provided to the employees should comply with all requirements of the Regulation 2016/679 of the ...

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Employee Injuries and Workers Compensation

A.    Work Related Injuries

There are two main types of work related injuries recognized by Bulgarian law: labour accident and occupational disease. Labour accident is any sudden damage to health occurred during and in connection with or in connection with the work performed, as well as any work performed in the interest of the enterprise, ...

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Unemployment Compensation

A.    Eligibility

The right to cash unemployment compensation payable by the state have persons for social security contributions have been paid or are payable to the Unemployment Fund for at least 12 months in the last 18 months prior to termination of the insurance and who: -    are registered as unemployed at the ...

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Health and Safety

A.    Overview

Special rules apply to employers' health and safety obligations, such as: -    Mandatory preliminary health check at the employee's expense before commencement of the employment. -    Adopting and complying with internal health and safety rules. -   ...

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Trade Unions – Industrial Relations

A.    Overview

The trade union of employees, is a non-profit legal entity. It is an independent, non-political organization whose main purpose is to defend the employment and social security rights of citizens. In order to achieve this, trade unions act in several ways, defined in the Labor Code, and specified in their statutes. ...

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Immigration/Labor Migration

A.    Overview Business Immigration Policy

•    What is the general policy of your jurisdiction toward business immigration? In early 2016, the Bulgarian legislator adopted a new Labour Migration and Labour Mobility Act. This Act maintains the general procedure applicable to foreign nationals (that is, ...

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