20.08.2022
IF WE ARE IN A CONFLICT OF INTEREST, WE MAY BE BANNED FROM A SECOND JOB
One of the changes in the labor legislation is the restriction regarding the conclusion of an employment contract for performing additional work at another employer due to the protection of trade secrets and/or the prevention of conflicts of interest. What are the changes in this area?
The amendment is in Art. 111 of the LC.
Until now, the current provision regarding the conclusion of an employment contract for performing additional work at another employer gave the parties the opportunity to conclude an additional employment contract, unless otherwise agreed in the individual employment contract under the employee's main employment relationship, including a complete ban on performing additional work work for another employer.
The amendment to the Labor Code of August 1, 2022 stipulates that a ban on performing additional work at another employer can only be negotiated due to the protection of a trade secret and/or the prevention of a conflict of interest.
The amendment to the law guarantees the right to work for workers, including with another employer, while at the same time taking into account the need to protect the employer's commercial interests and/or prevent conflicts of interest that should be avoided when the worker or employee is working with more than one employer.
However, the Labor Code does not provide definitions of the terms "trade secret" and "conflict of interest". The question then is, how can the employer negotiate this statutory prohibition? In order for the employer to implement the prohibition of parallel employment, it should be borne in mind that it is limited to the requirement not to disclose a trade secret or that the employee does not work for the other employer in a conflict of interest with respect to his work. Therefore, the term "trade secret" should be clearly defined in the Labor Code.
The same applies to the definition of "conflict of interest". The employer does not have such a definition defined in the Labor Code, but may decide to use a definition established in the Law on the Prevention and Detection of Conflict of Interest, where it is said that "A conflict of interest arises when a person holding a public office , has a private interest which may affect the impartial and objective performance of his powers or duties of office'. In this case, however, it is a matter of persons holding a public office, and not parties to an employment relationship.
At the moment, the application of the legal change is in doubt. It is not clear how correct it will be if, when concluding the additional employment contract for work with another employer, the employee's main employment contract contains a clause prohibiting the conclusion of such an additional employment contract due to trade secrets or conflict of interest, without these concepts are deployed and that it is clear what they should contain, since there is no definition for them in the Labor Code.
Reference:
Art. 111 of the Labor Code
20.08.2022
OVER 340,000 JOBS HAVE BEEN PRESERVED BY THE "60 TO 40" MEASURE
Over 340,000 jobs were saved under the measure, which became known as "60 to 40". It was designed to limit the impact of Covid-19 restrictions on the labor market and ended on June 30.
The data of NSSI indicate that 13,677 employers received support under the 60/40 measure for at least one month.
Nearly 68 percent of the funds are concentrated in a total of 5 areas: Sofia-city, Stara Zagora, Plovdiv, Varna and Burgas.
With the largest relative share of 35.5 percent of reserved jobs are the enterprises with over 250 employees, and with the lowest relative share of 7 and a half percent are reserved positions in companies with up to 9 employees.
Most of the compensation paid to employers to keep their employees employed is aimed at those most affected by the pandemic: manufacturing, hospitality and catering, and trade and repair of cars and motorcycles.
19.08.2022
THE EMPLOYER INFORMS IMMEDIATELY IF THERE IS A CHANGE IN OUR EMPLOYMENT CONTRACT
In the latest changes to the Labor Code in Bulgaria from August 1, 2022 a number of revisions were made to some of the texts in the law.
The changes in the law aim to promote the security and predictability of the employment relationship, while maintaining its flexibility and guaranteeing the labor and insurance rights of workers. Also, the changes aim to improve the possibilities for reconciling work and family obligations.
In order to ensure an appropriate degree of transparency regarding working conditions, changes in the regulatory framework were implemented.
One of the changes is the employer's obligation to inform the worker or employee of a change in any of the elements of the content of the employment contract. What are the changes in the law in this area?
The employment contract defines the main elements of the employment relationship, including working hours, place of work, remuneration, etc. The employer has an obligation to provide the worker or employee with instructions on the order and manner of performance of labor duties and exercise of labor rights, including familiarization with the rules for internal labor regulations. According to the law, the individual employment contract is concluded in writing. This means that the employer is obliged to draw up the employment contract in writing.
From August 1, 2022, information about a change in any of the elements of the content of the employment contract must now be provided to the worker or employee no later than the entry into force of the amendment, and not as before - as soon as possible or no later than one month after the entry into force of the amendment. The aim is for information from the employer to be made known to the worker or employee in a timely manner to ensure an appropriate degree of transparency regarding working conditions and to avoid possible labor disputes.
If, for example, the amount of paid annual leave is changed from 20 to 22 working days, the employer must inform the worker or employee about this change no later than the moment the change takes effect. Usually, the increase in the amount of paid annual leave is carried out with an additional agreement concluded between the parties to the employment contract.
From the moment the agreement is concluded, the employer is obliged to hand over a copy of it to the worker or employee, and from that moment it is considered that he has been informed, according to the law, of the change that has occurred in one of the elements of his employment relationship. This is assumed to be the time from which the change in the individual employment contract will take effect.
However, if the increase in the amount of paid annual leave (or any other) is the result of a collective labor agreement (CLA) concluded in the enterprise, the worker or employee who is a member of the trade union organization that concluded the CLA must be informed by the employer about the relevant a change that will affect what was agreed with his individual contract from the moment the concluded CLA enters into force.
Reference:
Art. 62, para. 1 of the Labor Code
Art. 66, para. 5 of the Labor Code
19.08.2022
LABOR OFFICES WITH PREFERENCES FOR EMPLOYERS AND THE UNEMPLOYED
Financial support to employers and registered unemployed is offered by the Employment Agency through its "Labor Office" Directorates from August 17, the agency announced.
This becomes possible after the previous week the Acting Minister of Labor and Social Policy Lazar Lazarov approved a redistribution of funds between programs and measures to promote employment from the National Employment Action Plan for 2022.
The diverted funds can subsidize the employment of nearly 3,100 unemployed persons, including about 450 unemployed with permanent disabilities, 840 long-term unemployed, 430 unemployed over the age of 50, 300 young people for a period of 3 to 24 months, depending on the program or measure , in whose scope and target group they fall.
One part of the preferences is aimed at employers who have announced vacancies in the labor offices. They can receive funding if they approve a person (representative of a target group) from among the targeted registered unemployed under a program or measure for which the employment office has free funds for a new contract.
The Employment Agency also provides financial support to stimulate the mobility or entrepreneurship of unemployed persons. They can receive funds for daily expenses incurred for intercity transport to and from the workplace, as well as for housing and other expenses when starting work in a settlement more than 50 km from their place of residence.
Starting your own business can be supported on the basis of an approved business project by receiving at once the due cash benefits in case of unemployment or reimbursement of expenses incurred up to BGN 4,000 for starting the business. In both measures, other services accompanying the launch are also provided.
Each employment office has funds under part of the programs and measures providing preferences to employers or the unemployed. Current opportunities to apply for them are announced on the website of the Employment Agency https://www.az.government.bg/bg/, under the heading "Funding announcements by region". Employers apply by submitting only a request-specification for a vacant position and a declaration according to a model and are approved in the order they are received until the financial resource under the relevant program or measure is exhausted.
The free funds are also announced on the information board in every Labor Office in the country, where you can get complete information about the possibilities, procedures and conditions for granting the preferences.
The proposed toolkit includes a wide variety of period, type and amount of subsidization, and the specific parameters of financial incentives under individual programs and measures are determined in the annually approved National Employment Action Plan.
LABOR OFFICE DIRECTORATE - BERKOVITSA
Notifies the employers from the municipalities of Berkovitsa and Varshets that it has financial means for concluding contracts for the use of programs and promotional measures for employment and training and training of adults under the Employment Promotion Act (EPA) in August 2022, as follows:
National program "Assistance for retirement" BGN 15,447.
Training of persons under Article 63, Paragraph 1, Item 1. of the EPA, in accordance with Art. 63 of regulations for implementation of EPA (to acquire a professional qualification from unemployed persons) BGN 1,278
Training of persons under Article 63, Paragraph 1, Item 3. of the EPA, in accordance with Art. 63 of regulations for implementation of EPA (for the acquisition of Key Competences of employed persons for employers - "micro-" and "small" enterprises) BGN 423.
Training of persons under Article 63, Paragraph 1, Item 3. of the EPA, in accordance with Art. 63 of regulations for implementation of EPA (for the acquisition of Key competences of employed persons with employers - "medium" enterprises) BGN 170.
19.08.2022
HOW PENSIONS FOR WHICH THE DISABILITY PERIOD HAS EXPIRED ARE PAID
Disability pensions for which the term of disability has expired in the period from March 13, 2020 to June 30, 2022, will continue to be paid by the National Social Security Institute (NSSI) until the end of December this year.
The condition for this is that the persons have submitted an application-declaration for re-certification by TEMC from March 13, 2020 to July 15, 2022, and that no other expert decisions of TEMC/NEMC with new circumstances have been received by the NSSI after re-certification of the persons receiving these pensions.
The National Social Security Institute prioritizes the processing of the data received from the Regional Health Inspections and will extend the period of payment of pensions and supplements for foreign aid to all pensioners who fall within the scope of the current provision.
The sums owed to the persons who receive their pensions through the post offices in the country will be paid with a separate pension record, and those who receive the pensions are on a payment account - with an additional transfer within the current month.
For persons for whom a new expert decision of the medical examination bodies has been received by the National Social Security Institute, which determines a new term of disability and a percentage of permanently reduced working capacity/type and degree of disability that gives the right to a disability pension, it is regulated 4-monthly period, in which the NSSI should issue an order and, accordingly, the payment of their disability pensions should be continued.
Irrespective of the quoted term, when expert decisions of TEMC/NEMC are received in the Territorial Departments of NSSI, an organization has been created for their immediate and automated processing in order to pay the amounts due to the persons in the shortest possible time.
12.08.2022
BGN 56 MILLION IS BEING INVESTED AGAINST YOUTH UNEMPLOYMENT
With BGN 56 million from the Recovery and Sustainability Plan, skills will be developed among young people up to the age of 29 who are unemployed, have dropped out of the education system or are at risk of leaving school. This was announced by the Ministry of Education and Science (MES) on its Facebook page.
They will be trained in youth centers that will work in partnership with businesses. BGN 40 million has been earmarked for the construction of these centers in regional cities. The rest of the funds will be for cities that are not regional centers.
It is envisaged that the youth centers will have classrooms for training in digital and media literacy, identifying fake news and language courses.
In parallel with the trainings, activities for business consulting, support of youth entrepreneurship, consultations and other assistance for developing own business ideas are planned. An opportunity will also be created to involve young people in volunteer activities.
12.08.2022
ENTREPRENEURSHIP: WHAT WE CAN LEARN FROM NAVY SEALS ABOUT DECISION MAKING
From deciding what to wear to choosing which task to tackle first when we go to work, we make thousands of decisions every day. Some are trivial, but others can have quite serious consequences, both for ourselves and for others. When making these choices, it can be easy to get lost in thought, methodically weighing all the possibilities. While this may seem like a sensible process, it can also lead to a number of missed opportunities. Sometimes you have to make a decision quickly and decisively.
In today's world, we're overwhelmed with information, which causes many people to suffer from what's known as "analysis paralysis," says Ryan Angold, a former Navy SEAL and CEO of military equipment supplier ADS, Inc. “You want to research things and take advantage of all the resources you have access to so you can make the right decision. But you can't be idle forever. At the end of the day, there is no 100% perfect solution,” he says.
"All the solutions are essentially the same," says VMWare Chief Digital Transformation Officer Mike Hayes, who is a former Navy SEAL commander and author of Never Enough: A Navy SEAL Commander on Living a Life of Excellence, Agility, and Meaning'.
During his 20-year career with the SEALs, Hayes has learned that decision-making when it comes to a matter of life and death is no different in process than any low-stakes decision
"Whether I'm making an investment decision about what the company needs to do right now or deciding what actions my SEAL squad needs to take, it all boils down to the same decision-making framework," he says.
Gather feedback, ideas and perspectives
When you're a leader or a high-performing team member, you likely have a built-in experience to draw from
"The requirement in Navy SEALs is to be prepared for many different scenarios, to have trained for operations in the most extreme and to be prepared for the worst," says Angold. "These reference points are useful because they allow you to say, 'OK, we've seen this before.' Maybe the situation isn't identical (it never is), but the experience helps you make quick decisions," he adds.
Gathering feedback from others is key. Hayes, who served as a White House fellow and director of defense policy and strategy on the National Security Council under the Bush and Obama administrations, says it's important to seek out the opinions of people who don't think like you.
"Too often we tend to seek feedback from like-minded people," he says. "When you accept feedback from people who don't think like us, and you foster a culture that encourages the expression of different ideas, it's easier for your team members to say something like, 'I don't think that's a great idea. I would do the following." That framework gives you the ability to arrive at the best decisions," explains Hayes.
"Too many leaders feel they have to make the decision themselves," adds Angold. "Relying on your team is not a sign of weakness. "Strong leaders use their resources," he says.
Decide when to make a choice
"The first part of the decision-making process is actually choosing when to make it," says Hayes. "This is the step where most people go wrong."
Knowing when to make a decision depends on getting the best possible data needed to make a choice as quickly as possible. Sometimes the decision time is 30 seconds, such as deciding when to drop a bomb. Other times the decision time can be two weeks.
"There are times when gathering more information is helpful in making a decision, but in other situations you have to act on instinct," Hayes explains.
Waiting too long can also affect the decision, Angold says. "You can't sit on one forever," he says. "People are waiting for you to make a choice because other decisions may depend on it. Sometimes, if you delay too long, the effect of making the right decision is lost because you missed the right moment,” he adds.
Be prepared for adjustments
There is always the possibility that you have made the wrong decision. Hayes and Angold say humility will help you both make the right decision and deal with the situation you'll find yourself in if you get it wrong.
"When making decisions, many senior executives let their egos dictate the rules," says Hayes. "They think that backing away from the position they've taken will make them look bad." You have to be comfortable with the idea of saying, “There's new information, let me review it. We may have to change course, he adds.
According to him, this is the clearest sign of good leadership, because it shows that the leader is ready to put the organization before himself and make the right decision.
Angold shares his view. "It takes a lot of humility to admit that you made the wrong decision," he says. “This is where communication and that transparency with your team is important. You can gain a lot of extra trust from your people when you admit your mistakes,” he adds.
Source: Manager magazine
11.08.2022
COMPENSATION FOR UNUSED PAID ANNUAL LEAVE UPON TERMINATION OF EMPLOYMENT
My employment is about to be terminated, but I have leave that I haven't used yet. Is there an obligation for the employer to pay me the days of paid annual leave that I have not taken, or can I transfer them to my next employer?
According to Art. 224, para. 1 of the Labor Code (LC), upon termination of the employment relationship, the worker or employee has the right to monetary compensation for the unused paid annual leave, the right to which has not been extinguished by statute of limitations. The compensation under the mentioned paragraph is calculated according to the order of Art. 177 LC as of the day of termination of the employment relationship (art. 224, paragraph 2 LC).
There is no legal basis in the law for transferring unused paid annual leave from one employer to another.
According to the provision of Art. 123, para. 1 LC, the employment relationship with the worker or the employee is not terminated upon a change of employer as a result of:
In the cases under Art. 123, para. 1 of the LC, the rights and obligations of the transferring employer prior to the change, which arise from the employment relationship as of the date of the change, are transferred to the new acquiring employer (Article 123, paragraph 2 of the LC). This means that upon changing the employer in accordance with Art. 123 of the LC, there is no basis for payment of compensation under Art. 224, para. 1 LC.
According to Art. 42, para. 2 of the Ordinance on working hours, rest and leaves (OWHRL), compensation for unused paid annual leave under Art. 224 of the LC is also paid in cases where, on the date of termination of the employment relationship, the worker and the employee do not have an acquired right to leave. Workers and employees are entitled to cash compensation for unused paid annual leave when they have acquired at least 1 full month of work experience. The last month of work experience of more than 1 month is considered complete if the worker and the employee have served at least half of the working days of the month - Art. 42, para. 3 OWHRL. The amount of compensation for unused paid annual leave under Art. 224, para. 1 of the Labor Code is determined in proportion to the time that is recognized as work experience in the enterprise on the day of termination of the employment relationship (Art. 42, Para. 4 OWHRL).
Cash compensation is due for paid leave that has not been used and has not lapsed
According to Art. 176, para. 1 LC, the use of paid annual leave can be postponed to the next calendar year by:
When the leave is postponed or not used until the end of the calendar year to which it refers, the employer is obliged to ensure its use in the following calendar year, but no later than 6 months, counting from the end of the calendar year to which it refers applies (art. 176, para. 2 LC). When the employer has not authorized the use of leave in the cases and within the terms under Art. 176, para. 2 of the LC, the worker or employee has the right to determine the time of its use by notifying the employer in writing at least 14 days in advance (Art. 176, paragraph 3 of the LC).
Regarding Art. 176a, para. 1 LC, when the paid annual leave or part of it is not used until the expiration of two years from the end of the year for which it is due, regardless of the reasons for this, the right to use it is extinguished by statute of limitations. When the paid annual leave is postponed under the conditions and according to the order of Art. 176, para. 1 LC, the worker's or employee's right to use it is extinguished by statute of limitations after the expiration of two years from the end of the year in which the reason for not using it ceased to exist (art. 176a, para. 2 LC).
In the event that the prerequisites for liability on the part of the employer of the compensation under Art. 224, para. 1 of the LC, it is paid regardless of the type of reason for terminating the employment contract.
For the duration of the paid annual leave, the employer pays the worker or employee remuneration, which is calculated from the average daily gross labor remuneration charged at the same employer for the last calendar month preceding the use of the leave, during which the worker or employee worked at least 10 working days - Art. 177, para. 1 LC. When there is no month in which the worker or employee has worked at least 10 working days for the same employer, the remuneration under para. 1 is determined by the basic and additional wages of a permanent nature agreed in the employment contract (art. 177, para. 2 LC.)
In Art. 17, para. 1 of the Ordinance on the structure and organization of the salary (OSOS) provides that in the gross remuneration for determining the remuneration for paid annual leave under Art. 177 or the benefits under Art. 228 of the Labor Code, include:
In the gross remuneration for determining the remuneration for paid annual leave under Art. 177 of the Labor Code, the corresponding proportional part of the additional periodic or annual remunerations paid after the use of paid leave is included, and for this purpose the paid remunerations for paid leave are recalculated (Article 17, Paragraph 2 OSOS).
According to Art. 18. para. 1 OSOS, the average daily gross labor remuneration under Art. 177, para. 1 of the Labor Code is established by dividing the gross remuneration charged at the same employer for the last calendar month preceding the use of leave, during which the worker or employee worked at least 10 days, by the number of days worked in that month. The average daily gross remuneration under Art. 177, para. 2 of the Labor Code is established by dividing the basic and additional wages of a permanent nature agreed in the employment contract by the average monthly number of working days during the relevant calendar year. At a certain monthly amount of the labor remuneration established under Art. 18. para. 1 OSOS, sentence one, the average daily gross remuneration is adjusted by a coefficient obtained from the ratio of the number of working days of the month, accepted as a base, and the number of working days of the corresponding month, during which the leave is used (Art. 18. para. 2 OSOS). In the case of a cumulative calculation of working hours, the number of days worked is determined by dividing the hours worked in the month after the conversion of night hours into daytime hours by the daily duration of working hours established for the workplace in the case of daily reporting of working hours (Art. 18. para 3 OSOS).
In Art. 22, para. 1 of the LC, it is established that the gross remuneration for determining the benefits under this section (including the compensation under Art. 224 of the LC) is the gross remuneration received by the worker or employee for the month preceding the month in which the reason arose for the corresponding compensation, or the last monthly gross remuneration received by the worker or employee, unless otherwise provided.
11.08.2022
OVER 3,000 UNEMPLOYED WILL ADDITIONALLY START WORK UNDER THE NATIONAL EMPLOYMENT PLAN
The Ministry of Labor and Social Policy provided nearly BGN 5.7 million under the National Employment Action Plan. Additional funds will be directed to employment and training programs and measures for people from vulnerable groups on the labor market. Providing the funds will enable 3,097 unemployed people to start work, and 257 people to be included in training.
The redistribution of the financial resource was approved today at a meeting of the National Council for the Promotion of Employment. The predominant part of the funds will be used for the inclusion in employment of young people, long-term unemployed, people with disabilities, unemployed in pre-retirement age and people entitled to temporary protection.
In this way, the total number of people who will start work under programs and measures of the National Employment Action Plan in 2022 will reach 25,051 people. Those included in the trainings will increase to 10,743 people.
11.08.2022
THE EUROPEAN COMMISSION HAS APPROVED THE "HUMAN RESOURCES DEVELOPMENT" PROGRAM FOR THE 2021-2027 PROGRAMMING PERIOD
The "Human Resources Development" program (2021-2027) has been officially approved by the European Commission and is the first program in Bulgaria to receive a "green light" from Brussels. The HRDP (2021-2027) is co-financed by the European Social Fund + and the national budget. The budget of the program amounts to more than BGN 3.8 billion, which is expected to support more than 740,000 people in Bulgaria.
Through the implementation of the Human Resources Development Program, support will be provided for the development of the workforce in Bulgaria and overcoming the challenges facing the labor market. In the next seven years, measures will be implemented that will provide more opportunities to increase the qualifications, knowledge and skills of the employed. The most vulnerable groups in society - unemployed, people with disabilities, people living in poverty, children, adults, representatives of the Roma community will receive support for full inclusion in the economic and social life of the country.
Under the HRDP, support will be provided to vulnerable people and their families. The support will be complex - on the one hand, opportunities for professional realization will be created, and on the other - their access to quality social and health and social services will be improved. The socio-economic integration of disadvantaged people will be promoted by increasing the range and quality of services provided. It is planned to identify the individual needs of each person in need and prepare profiles with the most appropriate measures for the person concerned. With European funds, services and quality care will be provided in the community or in a home environment.
For the first time, "Youth employment" is separated into an independent priority in the program. With a budget of over BGN 735 million, measures will be implemented to identify, inform and motivate inactive young people, include them in employment, internships, apprenticeships, training and support for their first job. An individual approach and complex support will be provided for young people in a disadvantaged position on the labor market. The main objective of the measures will be to facilitate the transition from education to employment.
A total of BGN 20 million from the Human Resources Development Program (2021-2027) will be directed to projects for social experimentation, testing and implementation of social innovations in the field of the labor market and social inclusion. Part of the funds will encourage the testing and evaluation of innovative solutions before their implementation on a larger scale. Social and solidarity economy enterprises can play a key role in achieving social innovation. The activity of the Competence Center for Social Innovations will be supported through the HRDP. In this way, the development of social innovations in the enterprises of the social and solidarity economy will be supported.
