site.btaPublic Sector Wages Will Be Increased by Different Rate

110 ECONOMY-WAGES-MINSTER-REMARKS

Public Sector Wages
Will Be Increased
by Different Rate


Sofia, September 12 (BTA) - A 10 per cent increase of wages in the public sector from 2019 will require an additional budget allocation of 1,000 million leva for wages and insurance payments, Finance Minister Vladislav Goranov told journalists on Wednesday. The increase will apply to 433,000 public servants. Teachers' wages are slated to increase by 20 per cent.

The hike is possible due to the higher GDP and the better implementation of budget revenues. Given the record-low unemployment since 1991 good public servants are scarce. The Minister said that the increase is expected to prompt higher incomes in the private sector, too. The increase is envisaged in the budget draft for 2019, said Goranov.

Wages won't be increased by the same rate and managers will decide how to distribute the additional money.

The wages of military personnel will be increased based on another model.

No increase of pensions is envisaged as they are adjusted under the Social Insurance Code.

The Finance Minister denied that the increase had something to do with next year's elections. LI/PP