Confederation of Independent Trade Unions in Bulgaria (CITUB) President Plamen Dimitrov said the Finance Ministry is projecting a deficit of 3.5% of gross domestic product (GDP) on a cash basis and 4.3% on an accrual basis in the 2027 budget. The estimate also envisages staff cuts and a freeze on pay in the security sector, Dimitrov added, speaking to journalists following a meeting with Finance Minister Galab Donev at the Ministry on Friday.
Dimitrov said the projected deficit of 3.5% would require “very steep fiscal consolidation, which means that spending will have to be cut somewhere”.
He said the planned 5% pay rise for public-sector employees in 2027 would not apply to the security sector, where no salary increases are envisaged. Staff cuts are also planned in the sector, in line with proposed reductions across the wider public administration, Dimitrov said, describing the plans as fair.
He said the union had proposed a 10% increase in public-sector pay, rather than the planned 5%. As for the minimum wage, the CITUB president said there had so far been no progress towards raising it above the proposed EUR 660, although there were indications that this might not be the final figure.
He added that the union had raised concerns about the budget’s macroeconomic framework, arguing that the projected GDP was too low and, consequently, so were the expected tax revenues.
According to Dimitrov, meeting CITUB’s demands on incomes policy would require an additional EUR 380 million. He said the funds could be made available, as budget revenues in 2027 were likely to exceed the Finance Ministry’s current projections.
“Overly conservative budgeting at this stage creates the illusion that we have no solution, that it is impossible,” he said.
Dimitrov expressed cautious optimism that the government could find the necessary funding for a fairer incomes policy, particularly one that benefits people on the lowest wages, if it listened to public concerns.
“People earning EUR 700 or EUR 650 a month, with two university degrees, speaking two foreign languages, working in libraries, museums and so on, cannot be left with a 5% pay rise that amounts to just EUR 25 extra in their pockets after tax. It is an insult,” Dimitrov added.
Representatives of employer organizations are also expected to meet with the Finance Minister later today.
On Friday, CITUB and its main affiliated organizations are organizing a national protest and a vehicle procession in Sofia under the slogan “For Higher Incomes!”
They will demand that the 2027 state budget provide for an increase in incomes of at least 10%.
Trade Unions Demand 10% Pay Rise as 2027 Budget Plans 5% Increase with Pay Freeze in Security Sector THE NEWS FROM BULGARIA – NEWS AGENCY 2009-2025 2026-10-16 09:11:17
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