Hiring employees in Bulgaria requires adherence to structured labor laws, compliance procedures, and mandatory social insurance contributions. Omnipresent’s Employer of Record (EOR) service ensures compliant hiring and seamless HR support.

*Once we receive the relevant documents from the employee, the contract is approved by all parties, the deposit (if applicable) is paid, Omnipresent can onboard the employee within 5 business days.

Employers and Employees contribute to the National Health Insurance Fund (NHIF) through Payroll. The NHIF provides basic health and dental care. There is an additional contribution paid to the State Social Insurance to cover sickness and maternity benefits. Supplementary Health Insurance is available through our local

partners in Bulgaria.

State Retirement benefits in Bulgaria are split into 3 parts: State Social Insurance, the Occupational Pension Fund and the Universal Pension Fund. These are funded through mandatory employer and employee contributions processed via payroll. It is not common to offer supplementary retirement benefits to employees in Bulgaria.

Supplementary Retirement Benefits are available through our local partners in Bulgaria.

Additional benefits and insurances including accident insurance, disability benefits, illness and sickness benefits, death benefits, and workers’ compensation are provided through various public funds via payroll contributions.

Supplementary Life and Disability Insurance is available through our local partners in Bulgaria.

Omnipresent requires a written employment contract to outline the EOR terms and provide clarity for both employers and employees. Omnipresent ensures that all necessary key terms are included in the employment contracts we provide. Client name cannot be mentioned in the contract since we operate as a

consulting entity.

We provide optional clauses for customisation when adding an employee to our platform. This allows you to tailor certain contract aspects, such as unlimited time off or extra-legal sick days. However, certain contract elements cannot be customised due to compliance risks or Omnipresent's policy. Examples include overtime, restrictive covenants, and stylistic changes.

During the probation period, employers evaluate an employee's suitability for the role they have been hired for. It gives the employer an opportunity to assess their performance and determine if they are a good fit for the company. We believe that

this process benefits both the employer and the employee.

Here are some key points to know about the probation period:

Please note that the only exception to our policy on probation is in the case of a transfer of the employment relationship.

Our normal onboarding timeline for Bulgaria is 20 calendar days. The onboarding steps involved are: Platform Setup, Right-to-Work Check, Employment Contract, Benefits and Payroll enrollment. This timeline does not include exceptions such as visas and medical & background checks.

Prior to the commencement of work, the employee must be presented with a copy of the notification Omnipresent will make to the Bulgarian National Revenue Agency (NRA).

Additionally, a medical certificate is required for employees that have not worked before, or have been unemployed for more than 3 months.

We will carry out right to work (RTW) checks on all prospective employees before they are employed by us.

If the employee has previously worked for you, whether in another country or through another EOR provider, we can recognize their length of service. This recognition of seniority will need to be mentioned in the employment contract.

Bulgaria offers a minimum of 20 working days paid annual leave, exclusive of public holidays. To be entitled to annual paid leave, the employee must have worked for the employer for a minimum of 8 months.

We cannot provide unlimited time off in Bulgaria.

Employees are entitled to carry over up to 10 days of paid annual leave into the next calendar year, with an expiration of 2 years from the date the annual paid leave entitlement arose.

Bulgaria has generous parental leave entitlement paid for the most part by Social Security.

Employees are entitled to 410 days total per child. This can be divided between any/all eligible parties. It is available to the mother and the father (including adoptive) until the child is 2. The mother or father of either parent (i.e., the child's grandparents) can use parental leave instead of the mother, with the latter’s

consent.

This is paid by the government. The amount is determined annually - for 2022 it is BGN 710 per month.

Employees are entitled to 6 months per parent until the child is 8. Up to 6 months can be gifted to the other parent.

Single, non-married parents are entitled to 12 months' unpaid leave, where the other parent has passed away or is deprived of parental rights.

Employees are entitled to 45 paid days leave before birth - 410 days in total for each child.

Leave is paid at a rate of 90% of the average wage from the government. It is currently capped at BGN 3,600.

The father (or adoptive father) is entitled to 2 months of paternity leave (on a voluntary basis) until the child reaches the age of 8.

Bulgaria has a generous sick leave entitlement paid mostly by Social Security. When an employee is on sick leave, 70% of the salary is paid by the employer for the first 3 days. The National Security Institute then pays for the rest if further leave is taken.

Sick leave or injury indemnity payments amount to either:

The maximum uninterrupted sick leave is 18 months (for a serious disease). After an employee has been absent on sick leave for a period exceeding 18 months duration, either the employer or the employee can terminate the employment relationship.

Bulgaria currently has 14 regular holidays:

The payroll cycle in Bulgaria is monthly.

Additional payments based on length of service must be paid out. The additional payment is based on the acquired length of service and professional experience of the employee. The additional payment is equal to 0.6% of the basic monthly remuneration for each year of recognised length of service and professional experience. Therefore, the gross monthly remuneration will include the base

salary and the payment for length of service and professional experience (which is 0.6% of the base monthly salary).

In addition, there is a minimum daily travel allowance of BGN 40.

*Extra payments will be taxed accordingly

Omnipresent is unable to accept employees on an hourly wage.

Overtime work is generally prohibited in Bulgaria.

As of January 1, 2025, the national minimum wage in Bulgaria is set at BGN 1,077 per month.

The Standard work schedule in Bulgaria consists of 8 hours per day and 40 hours per week, with the work week running from Monday to Friday.

The employer costs depend on a variety of employee variables. A guiding number is less than 30% of the employee salary. To get a more detailed estimate based on the employee salary use the OmniCalculator, or contact us for further information.

Employers must broadly have a mechanism for measuring and reporting employee working hours.

Before proceeding with a termination (including verbal discussion with the employee about the risk of termination) you must first get in touch with Omnipresent. We will then provide guidance on next steps. You can read our full guidance here.

To initiate a termination, you need to submit a termination request through the OmniPlatform after which our relevant teams will assess the case and plan a compliant termination process.

Terminations are heavily regulated. There are major blocks for specific categories. Procedural requirements depend on the size/ number of dismissals.

Terminations without cause are not permissible. Terminations for cause are heavily regulated by the Labour Code. However, for gross misconduct, either party may bring working relations to an end without notice, following a disciplinary procedure.

A redundancy process is strictly regulated and involves consultations with employees’ representatives.

Additionally, there are protected employees that cannot be terminated in certain situations.

Severance pay can be mandatory under certain conditions and is paid out to the employee depending on dismissal type.

Entitlement to severance pay and rate depends on the grounds for termination, observance of notice period, and in some instances duration of employment. Parties can contractually agree to exceed these statutory requirements. Due (unused) annual leave must be paid out in addition (if the 2 year limitation is not yet expired).

In practice, the notice period is 30 days for permanent contracts unless the parties otherwise agree.

The maximum notice period is 3 months.

Fixed-term contracts may be terminated on 3 months’ notice, but not for more than the remaining term of the contract.

We simplify international hiring, legal compliance, payroll, benefits, and more. Contact us to start your journey toward compliant and seamless hiring in Bulgaria.