site.btaUPDATED Real Salary Growth Must Be Achieved in 2024, Not Just Compensating for Inflation - Trade Union Leader

A real increase in wages must be achieved in 2024 and not just compensation for inflation, said here on Wednesday Confederation of Independent Trade Unions (CITUB) President Plamen Dimitrov. He explained that this means a double-digit percentage increase in remuneration. Dimitrov added that there should be an increase in salaries in both the public and private sectors.

The CITUB President commented that the practice of tying remuneration to labour productivity should be stopped. Digitalization has caused huge changes, and if a company does not take advantage of new technologies to increase its productivity, it is the employer's problem, not the employees, Dimitrov pointed out. He noted that the discussion about ending the practice of tying wages and productivity is yet to be held in depth. However, according to CITUB,  the "productivity" indicator no longer forms even 30% of the amount of remuneration, and other factors are important.

Dimitrov added that in the near future the trade union's experts will have talks with the Ministry of Finance on next year's budget. He noted that the subject of the closure of the Maritsa coal-powered plants and the renegotiation of the conditions laid down in the Recovery and Resilience Plan should be discussed again. A discussion about changes in the ways of evaluating labour in the public sector is also needed, added Dimitrov.

The CITUB President said that the budget for next year should include more significant mechanisms for overcoming the demographic crisis, including attracting people from the Bulgarian diaspora to settle and work in the country.

The transposition of the directive on adequate minimum wages in the EU and the promotion of collective labour agreements should be done by the end of next year, but the CITUB wants it to be implemented in the next several months, said Dimitrov.

According to the directive, Bulgaria must reach a 80% coverage with collective labour agreements, compared to the current 28%.

Dimitrov said that amendments to at least 5-6 laws would be necessary and specified that these are acts that currently hinder collective bargaining. As an example, he pointed to the Civil Servants Act.

The CITUB President also said that, based on the directive, this country will have to establish a mechanism for determining minimum wage which includes at least two elements and is no less than 50% of the average wage in the country.