BIA'S MANAGEMENT BOARD POSITION ON THE MINIMUM WAGE AND MAIN EXPECTATIONS TO THE 2022 STATE BUDGET
On November 10th, 2021, BIA's Management Board approved its official position on basic principles related to determining the minimum wage for the country and the main expectations of the state budget of the Republic of Bulgaria for 2022.
BIA's Management Board expresses its concern at the persistent lack of a stable parliamentary majority to elect a stable government. Bulgaria faces the challenges of a series of crises - health, economic, and now energy. Going through these crises requires a long-term vision and a clear political commitment. The Management Board maintains its previously declared positions regarding the basic principles to determine the minimum wage in the country. BIA once again draws the attention of the political entities to enter the next parliament to the need to adopt a mechanism, criteria and transparent methodology for setting the minimum wage, agree on a medium-term budget forecast and suspend the administrative determination of additional payments to private remuneration sector other than those specified in the Labor Code and collective bargaining.
Regarding the Budget of the Republic of Bulgaria for 2022, the Management Board of BIA expects:
- adequate economic and fiscal policies related to the management of inflation processes;
- envisaging adequate short-term measures to support business, compensating for the increased electricity prices;
- envisaging measures in support of employment with a scope corresponding to the extended Temporary Framework for State Aid of the EC (after its official extension - at this stage until June 2022);
- stimulating gross private domestic investment (corporate investment) to accelerate the transformation of the economy and its capital modernization (easing of tax depreciation rates, subsidies, etc.);
- measures to encourage companies to invest in the so-called green and digital transition, complementing the NAP, emphasizing the circular economy, decarbonization of the economy, and removing administrative and regulatory barriers.
