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Eurostat: Bulgaria has the highest growth in wage increases

Labor costs in our country increased by 13.6 percent, compared to an average of 4% for the Union

Sep 21, 2025 21:08 1 209

Eurostat: Bulgaria has the highest growth in wage increases  - 1

The highest wage growth in the entire European Union was recorded in Bulgaria. Labor costs in our country increased by 13.6 percent, compared to an average of 4% for the Union, BNT reported.

The data are from Eurostat. What is the reason for this growth and whether people are feeling it in their pockets, we are checking now.

In the second quarter of 2025, compared to the same quarter of the previous year, Bulgaria recorded the largest increases in hourly wage costs for the entire economy (+13.4%) and Hungary (+11.0%).

Three EU member states recorded an increase of 10% or more: Romania (+10.4%), Estonia (+10.3%) and Greece (+10.1%). The lowest increases were recorded in France (+1.4%), Denmark (+1.5%) and Malta (+1.9%).

As a part-time salesperson in a clothing store, Lilia Bekyarska is not included in the record growth reported by Eurostat.

"My salary has not been raised in the last year. Overall, it is not enough for me. I have a child and I have higher expenses," said Liliya Bekyarska, a sales consultant.

University lecturer Assoc. Prof. Evdokia Petkova has received a 20% salary increase for the last year. The money is enough, but only for a single person.

"For any normal person, yes, if I live alone, if I have a large family - no. It depends on whether it will be enough", she commented.

Employment organizations and economists do not see the data as a surprise, and the reason is the double-digit growth of the minimum wage in recent years.

"When the minimum wage changes, not only the labor cost of low-skilled or uneducated people who are employed changes, but all wages change. The state budget also included a fairly serious increase in salaries in the Ministry of Internal Affairs, which also has an impact. And the same influence will be felt at the beginning of next year, when a double-digit increase is expected again," explained Vasil Todorov, Deputy Chairman of the Board of the Bulgarian Chamber of Commerce and Industry.

"The inappropriate increase in salaries in the public sector in recent years has placed an enormous burden on the budget and the fact that salaries in the public sector are ahead of those in the private sector".

And with the increase in the minimum wage formula, the expectations are for an increase in inflation:

"The fears that the government has - that this will not be used and that it will not be a motive for entering the eurozone to raise prices, unfortunately this increase in the minimum wage - somewhere over 1200 leva. It will coincide with Bulgaria's entry into the eurozone," said Vasil Todorov.

"In order to stop linking the need for wage increases to inflationary processes, as has been the case in recent years, we must start managing public finances effectively.

3 times in 3 years - this is the assessment of another university professor - Ivan Todorov.

"Honestly, I have enough, but I am not married, I do not have children, so if I had children and was married, I suppose there would be none.

Although the data on income growth is ahead of the data on annual inflation of 5.3 percent, people's subjective feeling remains for an increase in prices - more serious than the increase in salaries.