Government Proposes Raising Minimum Wage to €660

The government is proposing to increase the minimum wage to €660 from next year. The proposed amount is below the upper limit set under a new formula adopted this summer. It is €12.80 lower than the maximum possible figure.

Speaking from Brussels, the Prime Minister said the country’s financial situation did not allow for a larger increase, while the Social Affairs Minister stressed that the amount had not yet been finalised.

Gergina Mitova, from Veliko Tarnovo, works in a factory on the minimum wage, which barely covers her expenses.

Gergina: “The costs of raising a child… Once you start paying for clothes and upkeep, and if the child goes to school, it becomes much harder. You have to give them €10 for breakfast. It’s very difficult. We’re trying to find work elsewhere as well to bring in extra income.”

She believes that even a minimum wage of €660 would not be enough.

“It’s impossible with inflation at this level.”

“And prices are up by 140%.”

“It should be at least €1,000.”

Speaking from Brussels, the Prime Minister agreed that the minimum wage should be higher.

Rumen Radev, Prime Minister: “At the moment, we do not have the capacity to do that. You know the excessive deficit we inherited in the state budget. The final figure has not yet been decided. We are holding the last rounds of discussions on the budget, and I hope we can reach a sound and balanced decision.”

The opposition says the proposed mechanism for setting the minimum wage works against both workers and businesses.

Temenuzhka Petkova, GERB-UDF: “Everything is being left in the hands of the governing parties, and they will set the minimum wage at whatever level suits them.”

Venko Sabrutev, We Continue the Change: “This is Radev’s fight. He promised to fight the oligarchs, but they turned out to be working people, including teachers.”

Bozhidar Bozhanov, Democratic Bulgaria: “The government has been given a blank cheque. We expect the governing parties to tell us what the deficit is.”
The Social Affairs Minister said discussions were still under way.

Natalia Efremova, Minister of Social Affairs: “My ambition is to get as close as possible to the upper limit of €672.80. Yesterday, the draft budget estimates were sent to Brussels for consultation, as we have commitments to the European Commission in connection with the excessive deficit. There is still room for adjustments: some parameters may be accepted, others may be rejected, and revenue could be increased.”

The final minimum wage is expected to be announced within two weeks.