Labour & Social Security Legislation of Bulgaria
Legal Definitions
The labor
legislation indicates legal definitions of the basic labor terms as
follows:
Employer -
any natural person, legal entity or its division, as well as any other
organizational and economically separated formation (enterprise,
establishment, organization, cooperation, economy, institution, household,
company, etc.) which independently employs employees under labor
relations;
Enterprise –
any place (enterprise, establishment, organization, cooperation,
establishment, site, etc.) where employed labor is implemented;
Place of Work –
any premise, workshop, room, location of machinery, equipment or any
other similar territorial specific place within the enterprise where the
employee implements the labor assigned by his employer in pursuance of his
obligations arising out of the labor relationship.
General Review of the Labour legislation
The
Bulgarian labor legislation is based on principles generally applicable to
the labor law and the legal system of the European Union: freedom and
protection of labor, social dialogue between the state and employees’ and
employers’ organizations for regulation of labor relations, a ban on
discrimination, sexual equality regarding the right to
employment and remuneration, guaranteeing the labor remuneration, fixed
working hours, limitation of overtime work, guaranteeing rests and leaves,
preserving the labor relation in case of change of the employer,
collective arrangements and freedom of association of employers and
employees.
As determined
in the Labor Code, the Bulgarian labor legislation is applicable to all
employment relationships with Bulgarian enterprises and joint ventures in
this country, as well as to employment relationships between Bulgarian
citizens and foreign enterprises in this country or Bulgarian enterprises
abroad, insofar as not provided otherwise in a law or a treaty to which
the Republic of Bulgaria is a party. The employment relationships of
Bulgarian citizens sent to work abroad in foreign enterprises or joint
ventures, and of foreign nationals appointed to work in this country in
Bulgarian enterprises or joint ventures pursuant to treaties shall also be
regulated by the Labour Code, insofar as not provided otherwise in a law
or a treaty to which the Republic of Bulgaria is a party.
There is no
collective labor agreement in Bulgaria established at a national level but
there is a National Council for trilateral cooperation comprising
representatives of the Council of Ministers, representative organizations
of employees and employers. The Council has advisory functions and its own
formations on a branch, trade and municipal level.
Collective
labor bargaining exists on three levels: enterprise, branch and industry
field. For businesses that are financed by the budget of a municipality a
Collective Labour Agreement (CLA) is possible at the level of the
respective Municipality. The Collective labour bargaining regulates issues
of the labour and social security relations of employees, which are not
regulated by mandatory provisions of the law. A collective labour
agreement shall not contain clauses which are more unfavourable to the
employees than the provisions of the law or of a higher grade of CLA,
which is binding upon the employer.
Labor
contracts, individual and collective ones, are signed in writing and are
subject to subsequent registration.
A CLA should be
registered, depending on their level, at a special register of the local
or Central Labor Inspectorate. CLAs are effective for 2 years.
The individual
labour contract shall be concluded between the employee and the employer
before the commencement of the job. Individual labor contracts are subject
to registration within three days as of their signing at the respective
division of the National Revenue Agency.
Upon conclusion of the labor contract the employer shall introduce the employee to the labour obligations ensuing from the position occupied or the nature of the work performed. According to the last amendments of the Labor Code, the obligatory contents of the individual labor contract was extended and it must now specify the place, position occupied and nature of work, duration of the labor contract, date of execution and commencement of performance, amount of basic and extended annual paid leave and additional annual paid leaves, identical term of advance notices for both parties in case of termination of the labor contract, basic and additional labor remunerations of constant nature as well as the periodic terms for their payment and the duration of the working day or week.