The budget for 2027 must show the increase in wages and at least cover inflation and prices in stores. This was stated by the President of the Confederation of Bulgarian Trade Unions Plamen Dimitrov in the program “Offensive with Lyubo Ognyanov“ on NOVA.
“The budget is being forged now and people want to see their wages increase in it“, said Dimitrov. According to him, the issue is not limited to the amount of the minimum wage, as incomes are expected to follow the rise in prices of goods and services.
The Confederation of Bulgarian Trade Unions Supports Part of the Tax Changes
Dimitrov said that the Confederation of Bulgarian Trade Unions supports the proposed measures in the tax sphere with one exception - the idea of a 7% tax on food vouchers. According to him, these are funds intended for food, and taxing them is the wrong approach.
At an extraordinary meeting, the National Council for Tripartite Cooperation examined the tax changes and the minimum wage for 2027. The discussion also included the minimum and maximum social security thresholds.
The President of the Confederation of Bulgarian Trade Unions supports their increase. “This is something that brings with it rights and higher social security payments. "Minimum social security incomes cannot be close to the minimum wage," he said.
The dispute over the minimum wage formula continues
Dimitrov indicated that the union accepts the new formula for calculating the minimum wage, but not the way it is proposed to be applied in 2027.
“We like the formula, but we don't like how it is applied in 2027“, he said. According to him, the formula should have been ready by August 15. Due to the expired deadlines, the Confederation of Bulgarian Trade Unions (CTU) believes that it would be most logical to use the current mechanism for 2027.
Differences in the tax on bank excess profits
Plamen Dimitrov also commented on the proposal for a one-time tax on banks' excess profits. He rejected the central bank's argument that such a measure would make loans more expensive for everyone.
According to Dimitrov, banks do not use all available resources for lending and have the opportunity to allocate more funds. Thus, he disputed the thesis that the taxation of part of the profit will automatically be transferred to borrowers.
CTU points out four main food products
On the topic of mark-ups, Dimitrov said that the union has been monitoring prices for 16 months. According to him, four products – fresh milk, white rice, beans and cheese – are among the products with the highest prices in the European Union.
He linked the observed differences to mark-ups between wholesale prices and final prices. In the meantime, inspections by the Bulgarian Food Safety Agency, the Consumer Protection Commission and the National Revenue Agency in the warehouses of retail chains continue.
Sources: nova.bg