New mechanism to determine Bulgaria's minimum wage as of 2027

The social partners have united around a mechanism for calculating the minimum wage from 2027. The criteria for increasing the minimum wage were agreed upon during the first round of negotiations between the government, employers and unions, held at the Ministry of Finance.

The parties agreed to implement a statutory model for increasing the minimum wage and determined the criteria by which this will be done.

Among the main indicators that will be taken into account are the purchasing power of the minimum wage for the country and the cost of living, the general level of wages and their distribution, the rate of growth of labor income and the growth of labor productivity.

The participants in the meeting agreed to conduct an assessment of the adequacy of the minimum wage for the country once every four years.

Edited by Miglena Ivanova