Here are important details regarding the Bulgarian labor law that may turn out to be important when forming a company in Bulgaria or recruiting staff.
BULGARIAN LABOR LAW IN 5 QUESTIONS AND THEIR ANSWERS:
What is the normal duration of work?
- The normal weekly working time is 40 hours.
What is the length of paid leaves and their plan?
- According to Bulgarian labor law, paid leave is at least 20 working days per year. The period of paid leave is established by mutual agreement between the employer and the employee.
What is the redundancy scheme?
In order to avoid unfair dismissals, Bulgarian labor law provides specific and restrictive conditions for dismissals. Thus, the dismissal of an employee can only take place in the following cases:
- In the event of the company's financial difficulties.
- In the event of dissolution/liquidation of the company.
- In the event of serious breaches by the employee of the employment contract provisions and the obligations that arise from it.
The notice of dismissal can vary between 1 and 3 months depending on the notice stated in the employment contract.
What is the plan of sick leaves?
For sick leaves, Bulgarian labor law provides:
- Sick leave paid for 80% of the average income earned in the 6 months prior to illness.
- Work-related accident leave and occupational illnesses paid for 90% of the average income earned in the 6 months prior to illness.
Sick leave is supported:
- by the employer for the first 3 days of illness;
- by the health insurance system from the fourth day of the illness.
In the same context, it is worth mentioning prenatal and postnatal leave.
Prenatal leave (45 days) is paid 90% of the average income earned by the employee during the 12 months preceding her leave
Postnatal leave (365 days) is paid at the amount of 90% of the average income earned by the employee during the 12 months preceding her leave. The leave can be extended over 2 years and in this case it is paid according to the minimum wage of the country.
The payment of these holidays is supported by the national health insurance system.
What are the mandatory insurance for staff?
In addition to the compulsory social insurance in Bulgaria during the recruitment of staff (social security, pension agencies, etc.), it is advisable to insure the company (and on this occasion all its staff) for the civil liability incurred under the company's activity.
Legal holidays in Bulgaria in 2019
|March 3 - 4|
|April 26 - 29|
Reunification of Bulgaria
September 22 - 23
Independence of Bulgaria
December 24 - 26