site.btaLabour Minister Kalfin: Minimum Wage Setting Should Reflect Country Specific Factors

Labour Minister Kalfin: Minimum Wage Setting Should Reflect Country Specific Factors

Riga, April 22 (BTA) - Addressing an informal meeting of EU
Ministers for Labour and Social Policy, Bulgarian Labour
Minister Ivailo Kalfin said that it is not enough to tie the
minimum wage with labour productivity only.

He said that when setting the minimum wage a larger number of
factors should be considered including the country's economic
situation, the effect of the increase on labour activity, tax
changes, social assistance and the effect on economic activity
and economic indicators,

At a plenary session dedicated to the relation between social
dialogue and wage setting, Kalfin cited negotiating minimum
insurance incomes as a successful example of social dialogue in
Bulgaria. He said that from 2003 employers and trade unions
agree each year minimum insurance income by economic activity
and professions. Kalfin said that the introduction of minimum
insurance thresholds increased social security for workers and
is a tool against unlawful labour payments.