Prime Minister Academician Denkov: The new minimum wage will reduce inequality. The growth is almost 20%

BGN 933 becomes the minimum wage from January 1, 2024. It is currently BGN 780. With this growth of almost 20%, combined with other measures, "we will fulfill one of our commitments to reduce inequality in Bulgaria, which is too high for European standards." This was stated by the Prime Minister Academician Nikolay Denkov before the meeting of the government, at which the new amount of the lowest remuneration for the country will be determined.

"Bulgaria continues to be the country with the lowest minimum wage in the European Union. We must step by step get out of the situation of an economy that attracts investors mainly with its low remuneration", the Prime Minister motivated the decision.

Academician Denkov emphasized the cabinet's desire for our country to offer high-quality production, high added value and a well-trained workforce. He noted the efforts of the ministers in this direction.

From 2024, the minimum wage will increase by BGN 153. This increase will improve the living standards of more than 500,000 workers, who currently receive wages from BGN 780 to BGN 933. It significantly exceeds inflation in the last year - in August 2023 compared to August 2022, it is 7.7%.

The government determines the new amount of the lowest remuneration according to the requirements of the Labor Code. The law states that the minimum wage for the following calendar year is set at the rate of 50 percent of the average gross wage for a period of 12 months, which includes the last two quarters of the previous year and the first two quarters of the current year. The new minimum wage cannot be lower than the one set for the previous year.