Bulgaria
New maximum Social Security threshold
Impact date: 1 August 2026 The maximum Social Security threshold is being increased from €2,111.64 to €2,300.
Employer implications/action needed Update payroll and HR systems to reflect the new threshold.
Employer risk Incorrect application of the new maximum social security threshold may lead to payroll errors, incorrect employee entitlements, and potential claims.
Link N/A
Changes to the calculation of length of service
Impact date: 1 September 2026 Under the current rules, Article 355(2) of the Bulgarian Labour Code provides that one day of employment service is recognized when the employee has worked at least half of the statutory working day. The statutory working day is eight hours, therefore an employee working four or more hours per day is currently credited with one full day of employment service for each day worked.
The amendments to Article 355, introduced by the 2026 State Budget Act, change this approach. Under the new rules, where an employee works part-time, the employment service is calculated proportionally to the statutory working time. Accordingly, an employee working four hours per day where the statutory working day is eight hours will accrue half a day of employment service for each day worked, rather than one full day.
Service will be calculated separately for each employment relationship. Periods accrued before 1 January 2027 will remain subject to the current rules.
Employer implications/action needed Update payroll and HR systems to reflect the new proportional calculation of employment service for part-time employees. Review employees’ accrued service and related entitlements, such as paid annual leave and seniority-based pay.
Employer risk Incorrect calculation of employment service may lead to payroll errors, incorrect employee entitlements, and potential claims.
Link N/A
Minimum wage
Impact date: 1 January 2027 The current automatic mechanism for determining the national minimum wage will be discontinued. In 2027, the minimum wage will remain at the 2026 level of €620.20.
This applies to an eight-hour working day and a five-day working week. The amount will remain unchanged until new rules for determining the minimum wage are adopted at the end of September 2026.
Employer implications/action needed No immediate action is required.
Employer risk The worker/employee may file a claim if their employer fails to update the minimum wage.
Link N/A
Pay Transparency
Impact date: Awaited Bulgaria is at an advanced stage in its preparations for transposing the EU Pay Transparency Directive. The main provisions of the Directive are to be incorporated into the Protection against Discrimination Act and supplemented by amendments to the Labour Code.
The draft law was subject to public consultation until 18 June 2026, but it is yet to be adopted by the National Assembly. The legislative changes are expected to be effective first, with the reporting and joint pay assessment provisions applying to larger employers, expected to enter into force on 7 June 2027 for employers with 150 or more employees, and 7 June 2031 for employers with 100 to 149 employees.
Employer implications/action needed Employers should continue with their pay transparency preparations and continue to monitor the Directive transposition progress in Bulgaria and across the EU.
Employer risk The worker/employee may file a claim for damages as a result of the equal pay principle violation. The general rules for civil litigation apply. No upper limit is legally set.
Link N/A
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