Compensation of 60% of insurable earnings during the state of emergency
CONDITIONS / BUSINESS CATEGORIES / PROCEDURE / DOCUMENTATION
- Only applies to labour agreements.
- Unconditional for employers, whose operations
have been discontinued by order for the duration of the state of emergency.
- For the rest of the businesses – in case of a
minimum of 20% decrease in revenue compared to March 2019
BUSINESS CATEGORIES (discontinued by order for the duration of the State of emergency)
- retail in shopping centres
(with the exception of retail of food, medicines and cigarettes)
- certain kinds of passenger
transportation services
- hospitality
- restaurants and fast-service
establishments, drinking establishments
- cinemas
- tour operators
- organization of convention and
trade shows
- private kindergartens
- theatres and other creative and
arts activities, culture
- sports and other
entertainment and recreational activities, physical well-being activities
CONDITIONS
1) The Employer
- is a local
natural person / legal entity or a foreign legal entity engaged in business
activities in the Republic of Bulgaria
- does not
receive funding for remuneration and social security contributions from the
state budget, with European structural and investment funds (ESIF) or other
public funds
- should pay
the full amount of the person's remuneration for the month in question
- does not
have any outstanding public liabilities, except for those that are deferred,
disbursed or secured
- has not
been declared insolvent and is not in insolvency or liquidation proceedings
- do not
terminate employment contracts on the following grounds: closure of part of the
enterprise or redundancy; reduction of the workload or discontinuance of the
labour activity for more than 15 working days during the period for which they
are compensated
- there is no
violation of the provisions of the Labour Code established by a penal decree or
court decision
2) The duration
- for the
duration of the State of Emergency Measures Act
- for a
maximum of 3 months
3) The amount of the compensation
- 60 % of
the amount of the insurable earnings of the person for January 2020
DOCUMENTATION
& PROCEDURE
1) Required documentation
- an application form
- Order for discontinuance of the operations
during a declared state of emergency
- Declarations
for the circumstances: (i) maintaining
the employment of the persons and (ii) absence of dismissals of employees and
workers on the basis of Art. 328, par. 1, items 2, 3 and 4 of the Labour Code
during the period for which compensations are paid
- a list of
the workers and employees
- a bank
account
- Declaration by the employer and evidence for the decrease in revenue
2) Procedure
- 7 working
days deadline for review and performance of an official conformity check
- Payment of
the compensation is performed by the National Social Security Institute (NSSI)
Questions:
- What
act will confirm or reject the application of the employer?
- What
is evidence for decrease in revenue?
- In
what order will refusals for compensation be appealed?
If you have these or other questions, please contact Dennitsa Dimitrova and Andrey Alexandrov.