17.12.2021
THE ROMANIANS ARE BEATING US AND THE GREEKS ON THE STANDARD OF LIVING
The lowest standard of living in the EU in 2020 was reported in Bulgaria (39% below the EU-27 average in 2020), followed by Croatia, where in 2020 it was one third (32%) more low than the European Union average.
Unlike us, Romania has climbed 7 positions and its population has a higher standard than in Estonia and Greece.
This is shown by Eurostat data on actual individual consumption, published on Thursday. The indicator measures the actual consumption of goods and services in a country, whether paid for by households, the state or non-profit organizations.
Bulgaria also has the lowest GDP per capita - 45% below the EU-27 average.
In 2020, the highest standard, expressed in real individual consumption per capita, was registered in Luxembourg, 45% higher than the European Union average, according to the latest Eurostat estimate.
It is followed by Germany and Denmark, where it is 24 and 22% higher than the average, respectively, and close to the Netherlands and Austria, where it is 17 and 16% above the European average.
The closest to the average in terms of actual individual consumption per capita in 2020 were Cyprus, Italy and Lithuania, where the standard was about four percent lower than the EU average. It was 10 percent lower in Ireland and slightly above the French average.
16.12.2021
ROMANIA REQUIRES AN ELECTRONIC ENTRY FORM
Romania introduces Passenger Location Form (PLF) requisite arrivals from December 20th. The measure is in force for all citizens (Romanian citizens and foreigners) who enter the territory of Romania or transit through Romania, regardless of the purpose of their trip, the Ministry of Foreign Affairs announced.
The form can be filled in electronically through the specially created platform https://plf.gov.ro without the need to print. This must be done within 24 hours before entering the country or, exceptionally, no more than 24 hours after entering. Failure to comply with the measure will be punished by a fine of 2,000 to 3,000 Romanian lei (400-600 euros).
If they need assistance, Bulgarian citizens can contact our embassy in Bucharest at +40 21 230 21 50; +40 21 230 21 59 or on-call telephones during non-working hours: +40 21 230 21 50; +40 21 230 21 59.
16.12.2021
ROMANIA HAS POSTPONED ITS GOAL OF JOINING THE EUROZONE UNTIL 2029
The next report on when Romania plans to adopt the euro will target 2029, said Florin Georgescu, deputy governor of the central bank. Another shift back in time reflects the current situation with the macroeconomic indicators, which requires time and significant adjustments to meet the criteria of the single currency area.
"The lack of political will on the part of the governments that ruled Romania since joining the EU in 2007 is demonstrated by the number of times the date has been changed," Georgescu explained.
The review of deadlines is usually done once a year and is included in the Convergence Report submitted by the Bucharest authorities to the European Commission. Initially, the target for adopting the euro - an obligation under the EU Treaty - was set in 2014. But then the deadline was changed to 2019, then to 2024, and now it is moving for another five years.
Romania had some chance to apply for the preparation mechanism for the adoption of the euro ERM II in 2015-2017, when it technically met the Maastricht criteria for price stability, sustainability of public finances and debt, stable exchange rates and long-term interest rates. Currently, the country does not meet these criteria.
Croatia and Bulgaria expect to adopt the euro in 2023 and 2024, respectively, and according to Raiffeisen economists quoted by bne IntelliNews, there will probably be a long pause in eurozone enlargement because of the arguments for accepting the Czech Republic, Hungary, Poland and Romania did not look convincing.
16.12.2021
BGN 32.7 BILLION IS THE EXPORT TO THE EU
During the period January - September 2021 the export of goods from Bulgaria to the EU increased by 23.7% compared to the same period of 2020 and amounted to BGN 32,790.0 million. Bulgaria's main trade partners are Germany, Romania, Italy, Greece, France and Belgium, which account for 69.4% of exports to EU member states.
In September 2021 the exports to the EU increased by 24.2% compared to the corresponding month of the previous year and amounted to 3 947.1 Million BGN.
In the period January - September 2021 in the export of goods from Bulgaria to the EU, distributed according to the Standard Foreign Trade Classification, the highest growth compared to the same period in 2020 was observed in the sectors "Animal and vegetable fats, oils and waxes origin” (128.6%) and “Mineral fuels, oils and related products” (39.6%). A decrease was observed only in the sector "Soft and alcoholic beverages and tobacco" (14.8%).
The import of goods in Bulgaria from the EU in the period January - September 2021 increased by 25.3% compared to the same period of 2020 and amounted to BGN 33,199.8 million (at CIF prices). The largest is the value of goods imported from Germany, Romania, Italy, Greece, the Netherlands and Hungary.
In September 2021 the imports of Bulgaria from the EU Member States increased by 27.4% compared to the same month of the previous year and amounted to 4 166.4 Million BGN.
In imports of goods from the EU, distributed according to the Standard Foreign Trade Classification, in the period January - September 2021 the largest increase compared to the same period last year was reported in the sector "Fats, oils and waxes of animal and vegetable origin" (131.5%). No decline was observed in any of the sectors.
The foreign trade balance (FOB exports - CIF imports) of Bulgaria with the EU in the period January - September 2021 was negative and amounted to BGN 409.8 million.
16.12.2021
WHICH PROFESSIONS ARE EXPECTED TO BE IN SHORT SUPPLY NEXT YEAR
78 are the specialties of professions for which there is an expected shortage on the labor market. Among them are machine technicians, machine operators, electricians, electricians, chemist technologists, biotechnologists, glass production workers, shipbuilders, translators from and into Bulgarian sign language, polygraphists and others.
This is stated in the reasons for the draft Decree, which proposes updating the List of protected specialties of professions for the academic year 2022/2023 and updating the List of specialties of professions for which there is an expected shortage of specialists in the market of labor for the academic year 2022/2023, uploaded for public discussion. They are prepared with the participation of ministries and employers' organizations in accordance with the provisions of the Vocational Education and Training Act.
After the update of the list, the protected specialties are 50. They are in the field of mechanical engineering, metallurgy, mining, architecture, construction, transport, electrical engineering and energy, applied arts and others.
The list of state-protected specialties is supplemented by two new ones. These are "Locomotives and wagons" (profession "Railway fitter") and "Production of meat, meat products and fish" (profession "Operator in the food industry"). "Renewable energy sources" (profession "Technician of energy facilities and installations") is added to the list of specialties with expected shortages in the labor market.
The specialties "Computer-aided design and patterning of woven surface products" (profession "Textile Designer"), "Agriculture" (profession "Plant Breeder") and "Beekeeping and sericulture" (profession "Livestock Technician") will not be protected in the future. They no longer meet the criterion of territorial uniqueness because they are studied in more than four schools in the country.
The changes will be valid for the school year 2022/2023.
15.12.2021
THE MINIMUM WAGE IN THE BALKANS
With a minimum wage of 332 euros in 2021, Bulgaria is at the bottom of the European Union. But what does the comparison with our neighbors, some of whom are not members of the Community, look like?
The undisputed leader with the highest salary in the region is Slovenia, where the minimum wage is 1,024 euros. At the other pole is Turkey, where the devaluation of the Turkish lira has reduced the minimum wage to the equivalent of 229 euros at the current exchange rate. The minimum wages in Albania are lower than in Bulgaria, where workers earn at least 244 euros, and in Montenegro, where the minimum gross wage is 331 euros, according to current Eurostat data.
The following is a more detailed reference by country on the amount of the minimum wage in the Balkans:
TURKEY is the country where the euro's minimum wage has fallen the most in recent years. In 2016, workers in the country received a minimum gross wage of 519 euros, while currently the minimum wage of 3,600 Turkish lira amounts to only 229 euros (347 euros according to Eurostat statistics for the second half of 2021). Pure Turks take between 2,826 Turkish lira (171 euros at the exchange rate per day) and 3,014 Turkish lira (182 euros), depending on their marital status, but negotiations are under way to increase the minimum net salary to 3,500-4,000 pounds next year (212-242 euros). ). Under the influence of the huge devaluation of the Turkish lira, which has lost more than 40 percent of its value since the beginning of the year, the minimum wage has changed significantly and only in the last year, measured in European currency. In January this year 3,600 Turkish lira amounted to approximately 400 euros.
Things are better in terms of purchasing power. Taking into account the difference in price levels, the minimum wage in Turkey is equivalent to 1,040 euros compared to 596 euros in Bulgaria, 587 euros in Montenegro, 422 euros in Albania, according to Eurostat data on minimum wages, expressed in purchasing power parities. .
However, the consumer basket of those working on the minimum wage has shrunk in the last year - by October the number of breads that could be bought with the minimum wage decreased to 332, ie. by 65 compared to January. For pasta, the reduction is 109 packages, for tomatoes 80 kg, for chicken 44 kg, for cheese 19 kg, according to data from the Turkish Statistical Institute, quoted by the opposition.
With a minimum gross salary of 331 euros, MONTENEGRO is also below Bulgaria in the ranking of Balkan countries. The country's minimum wage has not changed since 2019, but the government has said it plans to increase it next year. According to plans, the net minimum wage in 2022 should increase to 450 euros from 250 now.
In ALBANIA, the minimum gross wage is estimated at 244 euros (about 214 euros net salary). A few days ago, Albanian President Ilir Meta returned to parliament for revision of the 2022 budget, citing the fact that it does not provide additional economic assistance to more than 258,000 citizens living on $ 0.7 a day. The budget plans to increase the minimum wage in Albania to 32,000 leki (262 euros).
In the REPUBLIC OF NORTH MACEDONIA, workers receive a minimum of 359 euros gross per month. The unions are demanding that the minimum wage be increased to at least 60 percent of the national average, or 18,000 denars (293 euros net), and that all other wages be raised in stages in accordance with collective agreements. The Minister of Economy, Kresnik Bekteshi, recently spoke about the increase in the minimum wage, announcing that it would increase to 18,000 denars.
The minimum wage in the country was introduced in January 2012 by VMRO-DPMNE and then amounted to 8050 denars, except for the textile and leather industry - sectors in which this amount was reached only in 2015. The last legally approved minimum wage was adopted in 2019 when it was set at 14,500 denars net, but with the updating of income with living expenses it reached 15,401 denars (250.5 euros net).
In SERBIA, where the gross wage is 366 euros, minimum wage earners receive a mere 32,000 dinars (273 euros), an amount that covers 81.5 per cent of the consumer basket. About 350,000 people earn their living on the minimum wage in Serbia, but unions say the number of people living on the country's minimum wage is probably twice as high. According to official figures, they make up about 15 percent of all workers.
Serbia's minimum net wage is expected to increase by 9.4 per cent next year to exceed 35,012 dinars (almost 300 euros). Finance Minister Sinisa Mali said that according to the "Serbia 2025" plan, the minimum wage will be equal to the price of the minimum consumer basket by the end of 2023.
Calculations by the Union of Independent Trade Unions show that with the proposed increase, a family of three will be able to spend 530 dinars a day on food (4.5 euros) a month.
In CROATIA, which plans to adopt the euro on 1 January 2023, the minimum gross wage is 567 euros. Purely Croatians received 425.5 euros in 2021, and the minimum net salary is expected to increase to 500 euros from January 1st next year.
In ROMANIA, the minimum gross wage is 2,300 lei (464 euros at the exchange rate of the day or 467 euros in Eurostat statistics for the second half of the year). Purely Romanians, who have an education and one year of work experience, receive a minimum wage of 1,413 lei for their work, ie 286 euros. That's enough to buy two hundred and eighty loaves of bread, 70 kg of pork, 706 kg of potatoes or 47 kg of cheese. If the person has no education, the net salary falls to 1386 lei (280 euros). Nearly 1.3 million people out of a total of about 5.6 million workers receive it.
Every Romanian needs 2,818 lei (569 euros) a month to live a decent life, according to trade unions and NGOs. 516 lei (104 euros) are spent on food, 206 lei (41 euros) on clothing and 230 lei (46 euros) on overheads, according to the Declick Civil Movement. The monthly expenses of a family with two children amount to 7,278 lei (1,470 euros).
Romania's working poverty is 15 per cent, while the average European working age poverty rate is around 8.2 per cent, according to Romanian government officials.
The new broad coalition government plans to increase the minimum gross wage from January 1, 2022 to 2,550 lei (515 euros). From the increase of 250 lei gross, people will actually reach 138 lei (nearly 28 euros).
In GREECE, the minimum wage was 758 euros gross in 2021. However, from January 1 next year, Greeks will receive a minimum of 663 euros net (compared to 650 now) after the entry into force of a 2 percent increase in the minimum net wage. However, given that due to the Easter and Christmas bonuses in Greece, workers receive 14 salaries per year, this makes the minimum wage actually 773 euros per month.
In addition, the lowest minimum wage rate in the country applies only to newly hired persons without length of service, while there is a table that calculates the amount according to the years the employee has worked and his marital status. As a result, the minimum wage for workers with a family and more seniority can be increased by up to 195 euros, and in the highest category - for family employees with more than 9 years of service reaches 928.20 euros. The lowest hourly rate since the beginning of the new year will be 29.62 euros.
Last year's deflation, as well as declining social security contributions, increased the purchasing power of minimum wage earners by about 250 euros a year, according to estimates by the Greek Ministry of Labor, but rising inflation threatens to reverse that situation. In November, inflation in Greece, according to Eurostat, reached 4.3 percent - well above the planned increase in the minimum wage.
Among a total of 21 EU member states with a regulated minimum wage, Greece is in the middle of the ranking in terms of its size. It ranks 11th in terms of the nominal value of the minimum wage and 13th in terms of its purchasing power.
SLOVENIA ranks first among the Balkan countries in terms of the minimum gross wage. In the country that adopted the euro in 2007, the minimum gross wage is 1,024 euros. This amount covers 120 percent of the minimum cost of living.
15.12.2021
HOW TO DETERMINE THE AMOUNT OF UNEMPLOYMENT BENEFIT
How is the amount of the unemployment benefit determined and are there any peculiarities for determining it in some individual cases?
The daily unemployment benefit is 60 percent of the average daily wage or the average daily insurance income on which insurance contributions have been paid or are due for the Unemployment Fund for the last 24 calendar months preceding the month of termination of insurance, and cannot be less than the minimum and greater than the maximum daily amount of the unemployment benefit determined by the State Social Insurance Budget Act for each calendar year.
The minimum and maximum amounts of the compensation determined for 2021 are BGN 12.00 and BGN 74.29, respectively.
When the period from which the average daily remuneration or the average daily insurance income is determined includes time which is considered as insurance length of service without social security contributions or during which the person is not insured for unemployment, when determining the insurance income:
- for the time of paid and unpaid leave for raising a child, of unpaid leave for temporary incapacity for work and for pregnancy and childbirth and of unpaid leave of up to 30 working days in one calendar year - the average daily minimum wage for the country for the respective period;
- for the period of paid leave for temporary incapacity for work and for pregnancy and childbirth, as well as leave for adoption of a child up to 5 years of age - the income from which the monetary compensation is determined under the legal relations under which the person is insured for unemployment;
- for the time, considered for insurance length of service under the legislation of another state on the basis of an international agreement to which the Republic of Bulgaria is a party - the average daily minimum wage established for the country for the respective period;
- for the time during which the person is not insured for unemployment - the average daily minimum wage for the country for the respective period.
Unemployment benefits are granted, amended, refused, suspended, terminated, resumed and restored by order of the official entrusted with the management of unemployment insurance or another official appointed by the head of the territorial division of the National Social Security Institute. The order shall be issued within 14 days from the acceptance of the application or from the declaration of the respective circumstances.
An official may amend or revoke an order which has entered into force where:
- new documents or evidence have been submitted that are relevant for determining the right, amount and period of monetary compensation;
- the monetary compensation was incorrectly granted or incorrectly refused.
The same official shall also issue an order for the recovery of bona fide and unscrupulously received unemployment benefits.
Reference:
Art. 54b, para 1 Social security code,
Art. 54b, para. 7 SSC
Art. 54g, para. 1-3, art. 54e, para. 4 SSC,
Art. 11 of the State Social Security Budget Act for 2021
Art. 5, para. 1 Ordinance for granting and payment of unemployment benefits
15.12.2021
UNEMPLOYMENT REACHED 4.8% IN NOVEMBER
The registered unemployment rate in Bulgaria in November was 4.8%, according to data from the Employment Agency. Compared to the previous month it increased by 0.1 percentage points and decreased on an annual basis by 1.9 percentage points. Compared to the end of November 2019, which was a record in terms of employment, the unemployment rate also decreased significantly - by 1.0 points.
The registered unemployed at the end of November were a little over 158 thousand, which is about 3 thousand more than in October and 60 thousand less than a year earlier.
In November, 24,650 new unemployed people registered with the labor offices, which is 682 less than in the previous month, and compared to November 2020 there was a decrease of 4,455 people. Another 416 people from the groups of jobseekers, students and retirees also registered with the Employment Agency during the month.
In November, just over 13,000 unemployed people started working. This is about 2,000 fewer people than in October and 4,000 less than in the same month last year, which corresponds to the more limited demand for new staff during the winter season and the reduced number of registered unemployed. Another 199 people from the groups of pensioners, students and employees have found a new job through the employment offices.
75% of those who started work in November are employed in the real economy, most of them employed in the manufacturing sector - 22%, followed by trade - 18%, hotels and restaurants - 6.7%, government – 5.6%, construction - 5.3%, administrative and support service activities - 4.5%, etc.
A total of over 3,200 unemployed people from the risk groups were employed in subsidized jobs during the month - under employment programs and measures and under schemes of the OP "Human Resources Development".
The "Employment for you" scheme, which started in October 2020 as an anti-crisis measure, has provided employment to just over 41,000 unemployed, and in November alone employment contracts were signed with 2,190 new unemployed.
The number of jobs advertised on the primary labor market in November was 10,109, or 1,646 less than in the previous month and 2,277 less than in the same month in 2020, which is typical for the autumn-winter season.
The largest share of vacancies in the real economy is declared in the manufacturing industry (30%), followed by trade, repair of motor vehicles and motorcycles (13%), administrative and support service activities (10%), hotels and restaurants (9%) management (7%) and education (5%).
The most sought-after professions in business during the month are: machine operators of stationary machines and equipment; sellers; security and protection personnel; skilled workers in the production of food, clothing, wood products and related; personnel employed in the field of personal services; workers in the mining and processing industry, construction and transport; metallurgists and others.
15.12.2021
COMPETITION BETWEEN PENSION COMPANIES WILL INCREASE
Attitudes towards the activities of pension insurance companies remain positive and optimistic until the end of this year, despite expectations of a slowdown in economic growth and a recovery in employment. We read this in the publication "Financial Sector: Estimates and Expectations" prepared by the Ministry of Finance, which presents the expectations of a wide range of financial intermediaries in terms of key macroeconomic indicators and factors related to their activities.
The summary estimates of these companies show that the assets in both the supplementary mandatory pension funds and the supplementary voluntary pension funds will continue to grow.
The optimism of the insurance companies is justified. Moreover, in the third quarter the accumulated net assets in the supplementary pension funds continued to grow. As a result, at the end of September this year they reached BGN 18.8 billion, as their annual increase was in double digits (+14.4%), and compared to the second quarter of the year the increase was 2%.
The forecast is that the number of insured persons will increase in the last quarter, as expectations for those in the supplementary voluntary pension funds are more optimistic than in recent months.
The pension companies also forecast that the value of one share in the additional mandatory and voluntary pension funds will be higher in the last quarter of this year.
The figures show that the market share of universal pension funds in the amount of their net assets did not change significantly in the third quarter, and competition between pension insurance companies will increase significantly compared to estimates from the beginning of the year.
15.12.2021
HOW TO PREVENT BURNOUT OF EMPLOYEES
Burnout of employees is a crucial factor for employers and they must also work hard to prevent it.
The online edition of business2community.com looks at some of the reasons for burnout and what we can do to prevent it.
How engagement prevents/causes employee burnout
Everyone knows that you have to work hard if you want to be successful, but that has its limits. You can depress the accelerator too much, take a break and end up with a heavy burnout. So all your work can be counterproductive.
The first step to preventing burnout is to find out what is causing it.
It is important to have a balance in life between all the emotional and physical needs of people, as well as meeting the requirements for professional development.
Burnout occurs when there is a mismatch between needs and requirements. For example, a burnout can happen to an accountant who is looking to make new friends, but whose work offers few opportunities to do so. Or a manager who does not like to be central or in a leadership role. In both examples, there is a mismatch between the individual needs of employees and the requirements of the job.
Practical consequences of burnout
When your daily responsibilities meet your emotional needs and your career plans, you will resist burnout. It is good to start with self-inventory. Of course, things get a little more complicated here, but it's still worth asking the following questions:
What motivates you? Think about the tasks or responsibilities that make you feel most energetic and those that make you feel the worst.
Which daily activities or responsibilities exhaust you the most? These will be the things you fear most.
How emotionally satisfied does your job really leave you, and do you think it takes a change of position to have a truly satisfying work life?
How well do the personality types and internal motives of your employees match their responsibilities? If your team lacks motivation or energy, it may be due to the fact that you have given all the wrong roles.
Interventions that prevent or correct such inconsistencies can increase workplace well-being and reduce the risk of burnout.
Steps to prevent burnout in employees
According to new research published by the US Bureau of Labor Statistics, today's employees are overworked and overworked. This is a critical issue not least because it affects the end result of your business. Overworked and overworked employees are simply not as productive, as energetic or as creative.
The way to overcome burnout is through commitment. Bring your employees to a better understanding of the big picture and their place in it. Employees will not feel overwhelmed by ungrateful work when they see what the vision is and how their role matters.
Provide your employees with someone they can talk to. Employees who feel alone are more likely to feel burned out. Create small discussion groups in your company to help employees feel connected to each other and have a broader sense of community. Discussion groups should be safe places where everything can be said.
Don't neglect the little things. Encourage your employees to take breaks, go for a walk around the office, leave early on Friday or, if necessary, decorate the office for the holidays. These little things help stressed employees feel a little more valued.
Keep the focus on productivity. Things like how many hours your employees spend in the office don't really matter; these are not significant indicators. Focus on how they achieve the company's broader goals.
