One factory bread and 200 grams of cheese additionally per day can can be bought if the minimum wage from January 1, 2025 is raised from BGN 933 to BGN 1,077.
This is what the “Telegraph“ in connection with the submitted proposal to increase the minimum remuneration to BGN 1,077 from the beginning of next year.
Thus, if the prices do not change and remain at the current level, the Bulgarian who relies on this remuneration is expected to add to the table 830 grams of bread for BGN 2.19 and 150-200 grams of cheese at BGN 13 per kilo .
On August 27, a proposal was submitted to the portal for public consultations to increase the minimum wage from January 1 from BGN 933 to BGN 1,077, which is BGN 144 more.
On an annual basis, this represents an increase of BGN 4.80 per day. It is written in the reasons that the increase will stimulate the activity of the labor market, will contribute to the growth of incomes of the lowest income groups of employed persons and will reduce income inequality and poverty, will increase the purchasing power and living standards of the population.
On the other hand, until September 27, opinions and proposals on the decree submitted for discussion are accepted. After that, a meeting of the National Council for Trilateral Cooperation will be scheduled, where the increase will be discussed.
With an insurance income of BGN 1,077, the net salary that the workers will receive is BGN 835 after deductions.
With this salary, you can actually buy 6 times of 27 basic products of 1 kg or quantity, which are monitored by the State Commission on Commodity Exchanges and Markets.
The bill includes sugar, flour, 10 eggs, butter, meat and dairy products, and fruits and vegetables per kilogram of all. The total amount for the purchase of these foods is BGN 142.70, calculated on the basis of real prices in stores without discounts included.
For comparison, the net minimum remuneration is currently BGN 723 after deductions. Thus, with the increase, the number of consumer baskets that people receiving such a salary can buy actually grows.
The Association of Industrial Capital in Bulgaria (AIKB) declared against the changes in the Labor Code, according to which the minimum wage from 2024 should be 50% of the gross average wage for the country.
The employers' organization even contested the decision of the National Assembly in the European Commission and the International Labor Organization. Our country can be sanctioned because of the methodology for determining the minimum wage, AIKB Chairman Vasil Velev commented some time ago.
The deadline for introducing the new requirements for determining the minimum wage is November 15, and after its expiration, the European Commission will review the legislation and measures that the member countries have introduced. Only then will he find out that things are totally messed up with us.
The provision in our code was passed under the pressure of populism and constant elections and the drive to buy low-skilled and illiterate voters. And it is the following – half of the gross average salary for a year ago forms the minimum. This is wrong, as only one indicator is compared, and the European directive has specified several possibilities. Even on this one indicator, the comparison is wrong, because they compare a gross average with a basic minimum wage.
According to the statistics for the average salary for June 2024, it is BGN 2,276. We must pay attention to the fact that a large part of the money that forms the Bulgarian economy has an average salary lower than the national average. This was commented by Dobrin Mitev from AIKB to “Klinika.bg”. For example, in agriculture it is BGN 1,695, water supply and sewage services – BGN 1,580, hotel and restaurant industry – BGN 1,490, culture, spot and entertainment – 1990 BGN, and others.
We have an alarming convergence of the minimum wage and the average wage in some economic activities. For the second quarter of 2024, in the Vidin region, on average, they receive BGN 1,600, and in Smolyan – BGN 1135.
It appears that after the increase, highly skilled workers will receive very little more than people without qualifications, as that is what is owed to anyone working on a contract.
Minimum wage to be paid against minimum expectations of workers. This is one of the comments under the draft decree in the government portal. The idea is to leave employees' personal phones at the portal or lock them in a safe, banning personal phone calls except with family members or their mentors.
Also mandatory exclusion from personal profiles in social networks and personal emails. In case this is not prohibited, the employer should receive a report on how many hours his employees have spent on social networks during working hours.
So that the pay is adjusted according to the work actually done, and not according to the presence at the workplace to submit, apart from work, social and third personal cases.