What does the Council of Minister’s Decree envisage on the employment protection measure by offsetting 60% of social security income?

Who are the eligible beneficiaries of the remedy?

The remedy is directed towards two groups of Employers:

  1. An Employer, who has, by his own order, suspended work activity of the entire enterprise or a part of it, as a result of complying with an order from a State Authority (that being, at the moment, an order from the Health Minister).

This includes enterprises in the following sectors:

  • retail (with a few exceptions defined in the Decree);
  • certain groups in the transportation sector;
  • hotel industry;
  • restaurant business, bars and cafes;
  • tourism;
  • film projection;
  • congress, trade fair organization;
  • private preschool education;
  • artistic and creative activity or other activities in the cultural sphere;
  • sport, relax and entertainment, physical condition maintenance;
  1. An Employer, who has suspended the work activity of the entire enterprise, a part of it or that of individual workers; or an Employer, who has established a part time work schedule of the enterprise or an enterprise unit. These Employers can be active in any sector, with the exception of the explicitly enlisted in the Decree, but are obliged to prove that their sales revenue for the month prior to the compensation application decreased by at least 20%, compared to the same month in 2019. If the enterprise is established after March 1st, 2019, however, the turnover decrease should be based on the month, preceding the month of filing the average earnings for January and February 2020.


     What is the compensation amount?

The amount is 60% of the insurance income for January 2020 of the workers, subject to this measure. In case of an implemented part time work schedule, the compensation is proportional to the reduced working time, but not less than 4 hours.

To apply the remedy to the case of a particular employee, however, his/her employment needs to be guaranteed for a time period, equal to the measure duration. During this period, his/her full remuneration amount should be paid.

The compensation is to be received within the period of duration of the Law on the Measures and Actions during the State of Emergency, but not more than 3 months.

The exact conditions for receiving the compensation, to which the Employers should be in compliance with, as well as the application procedure, are reviewed here below in Bulgarian language.