site.btaMajor Trade Union Calls for Official Calculation of Living Wage

The Confederation of Independent Trade Unions (CITUB) Wednesday called for the introduction of official calculation of the living wage. The union set forth its  socio-economic priorities and demands regarding incomes, the labour market, the green and the digital transition, social security, social dialogue and collective bargaining.

"We want the government to task the National Statistical Institute (NSI) with proposing a methodology for calculation of the living wage based on the International Labour Organization's definition and methodology," CITUB president Plamen Dimitrov said.

Any country can adapt the methodology which was adopted in March, he said. The mandatory four groups to be covered are food, education, health care and utility costs. This demand can be met within a month, Dimitrov said. According to CITUB's calculations, the net living wage in the second quarter was BGN 1,453 per month for a single worker.

CITUB demands an at least 10% increase in wages in 2025 and a horizontal income policy, for which about BGN 1.8 billion are needed.

In Q2 of 2024, the minimum wage earners (437,000 people) accounted for 19.8% of slightly over 2.2 million people employed in the economy under contracts of service, CITUB's Chief Economist Lyuboslav Kostov said, citing NSI data. He said it was high time a serious tax debate was held.

Talking about the minimum contributory income in 2025, the union's social protection consultant Asya Goneva said all groups of insured persons must be treated equally. The insurance threshold proposed by the Finance Ministry is BGN 4,130, while CITUB would suggest BGN 4,275. This would reflect the increase in the average contributory income this year, which CITUB projects at about 14%, said Goneva.