Employees and self-employed in temporarily closed businesses will receive compensation

15.10.2021

EMPLOYEES AND SELF-EMPLOYED IN TEMPORARILY CLOSED BUSINESSES WILL RECEIVE COMPENSATION

Employees and self-employed persons in economic activities temporarily closed by an act of a state body due to Covid-19 will receive compensation in the amount of 75% of their insurance income for July for the time during which they used unpaid leave due to the imposed restrictions. This was decided by the government with the adoption of a Decree of the Council of Ministers to determine the terms and conditions for payment of this type of financial support by the end of 2021.

When the agreed working time in the month for which compensation is paid is less than the agreed working time in the month from which its amount is determined, it will be paid proportionally.

The monthly amount of the compensation of the self-insured persons is 75% of the minimum insurance income for this category determined by the State Social Insurance Budget Act for the month for which the compensation is paid.

The amounts for compensations are admissible from the date of issuance of the order for unpaid leave - for the employees or the date of the act of the state body - for the self-insured persons, but not later than December 31, 2021.

The financial resources necessary for the payment of the compensations will be provided in advance with budgetary funds at the expense of the Ministry of Labor and Social Policy. Subsequently, the funds can be recovered from the expected additional redirection of funds for Bulgaria in 2022 under the REACT EU instrument to support the countries affected by the crisis with Covid-19.