The main goal of social policy in the coming months is to preserve people’s purchasing power, Minister of Labour and Social Policy Natalia Efremova said. She commented on next year’s draft budget on the “Why?” programme on bTV.
According to her, more than €300 million in additional funding has been earmarked for social spending. In addition, an increase has been planned for all social security payments guaranteed by the budget.
“Taken together, this will not lead to impoverishment, but rather to preserving purchasing power. That is also our goal,” Efremova said.The minister pointed out that higher revenues for the social security system are planned through an increase in the minimum and maximum insurable income, improved collection and stronger oversight. In her view, oversight of undeclared labour and income should curb the shadow economy and increase revenue.
No decision to transfer contributions to the National Social Security Institute
Efremova denied that a political decision had been made to transfer part of the social security contributions from the second pension pillar to the National Social Security Institute. She explained that ongoing talks are being held with pension funds and the National Social Security Institute on the stability of the social security system and opportunities to increase revenue.
“We have provided for higher revenues as the final political decision through increased minimum and maximum insurable income, as well as, of course, better collection and stronger oversight,” the social policy minister said.Higher maternity benefit and minimum wage
The draft budget provides for the childcare benefit during the second year to increase from €398 to €450. The minimum wage is expected to reach €660.
A 5 percent increase in remuneration has been earmarked for public-sector employees. Salaries for employees in the “Security” sector are to be frozen. Efremova justified the measure by citing the substantial increase in remuneration in the sector in previous years and the gap compared with other public-sector employees.
“For the time being, these are the budget’s possibilities,” the minister said regarding the 5 percent increase.
Christmas bonuses to be paid starting in November
Payment of the Christmas bonuses will begin in November. The amount is €50 and will be directed to eight groups of the most vulnerable low-income households and eligible individuals.
They include families with children with disabilities, pensioners, people receiving social assistance, disabled military veterans and war veterans.
Sources: bta.bg, btvnovinite.bg