Employers and self-insurers from transport and tourism can receive BGN 290 per month to keep their employees employed

Employers and self-insured persons from the "Transport", "Hotel and Restaurant" and "Tourism" sectors, whose income has decreased by no less than 20% for a certain period, will be able to receive compensation in the amount of BGN 290 per month for preservation of the employment of workers and employees. This was decided by the government by approving the terms and conditions for the payment of compensation in the enterprises directly affected by the restrictive measures to combat the coronavirus epidemic.

About 22,000 workers are expected to receive such support. The financial means needed to pay the compensations will be provided by the Operational Program "Development of Human Resources", with the determined budget amounting to BGN 40 million. According to the Decision of the Council of Ministers, the compensations will be paid for an entire calendar month, starting from 01.07. .2020, but for no more than six months.

Employers applying for compensation must meet several basic requirements, including: not being declared bankrupt or in bankruptcy or liquidation proceedings; to have no obligations for taxes and mandatory insurance contributions as of December 31, 2019; during the compensation payment period, not to receive funding for remuneration and insurance contributions from the state budget according to standards adopted in implementation of Art. 71 of the Public Finance Act.

The right to receive compensations are self-insured persons who must not have obligations for taxes and mandatory insurance contributions as of December 31, 2019. Another mandatory condition is to maintain their activity while receiving compensations, as well as for an additional period equal to half of the time during which they receive the funds. The condition for maintaining employment is also valid for employers.

Applications for the payment of compensation will be submitted to the labor offices serving the territory of the employees' place of work.

The funds will be paid after receiving a positive decision from the European Commission on the compatibility of the aid with the internal market according to the Treaty on the Functioning of the European Union.

Source: BCCI

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