For the October 2023 – March 2024 period employers in Bulgaria forecast a modest and yet stable labour market with a net employment rate of +10%. This is an increase of two percentage points compared to the previous six months and a decrease of nineteen percentage points in comparision to the same period last year according to Bulgarian Employment Confederation (BEC) national survey. It includes the answers of 1 200 companies with 28% of them anticipanting to expand teams in the next six months, 18% planning to reduce them, 38% are to keep workforce numbers, and 16% are unsure of their hiring plans.

‘Despite the low unemployment rate employers continue to struggle with attracting workers with the right skills. The latter, on the other hand, cannot find employers that meet their expectations of pay and career opportunities. It is therefore imperative that companies reviewed their requirements for must-have skills and implemented strategies for teaching them in the workplace,’ commented Nadia Vassileva, BEC chairperson.

The confederation’s fifth prognostic survey shows that the majority of employers (57%) would hire foreign citizens if the procedure for this was easier and faster. Thirty-two per cent are not sure if they would make use of such a facilitation, and 11% would not hire foreign citizens regardless of the procedure: ‘Although employers’ hiring plans are modest compared to last year, our survey reveals that companies are looking for talent. Even so, their desire to increase staff numbers does not translate into filled-in positions. That is the reason why they are increasingly willing to hire foreigners but are hindered by the cumbersome procedures.Meanwhile, there are more than 140 thousand unememployed registered at the job centres, and the share of the economically inactive men, women and youths keeps being high. It is time we returned these people into the labour market which requires structural changes and deep understanding of the reasons why they do not work.’

Employers from all twelve industries included in the survey plan to hire new employees in the October 2023 – March 2024 period. The IT sector forecast is once again the most optimistic one with a net employment rate of +21% which is a decrease of four percentage points compared to the previous six months. It is followed by the Outsourcing sector where the net employment rate registers an increase of three percentage points and reaches +12%, and the Manufacturing (+12%) and Retail Trade (+11%) sectors. The forecast of the Transport, Storage&Communication, Finance&Insurance, Real Estate and Business Services and Public&Social sectors register an increase of two percentage points in comparison with the previous period and reach a net employment rate of +9%, while the hiring plans for the Mining sector, where employers’ forecast was negative for the previous six months, also increase by two percentage points reaching +1%. Employers from the Hotels&Restaurants sector register the biggest drop of six percentage points and the net employment rate stands at +4%.

Nadia Vassileva advises: ‘The survey results are encouraging for the jobseekers. However, if employers are to attract them, they need to rethink what is required and what is desirable in a candidate, and if the role could be filled in by a person who meets 60-70% of its requirements and the rest could be learned at the new workplace.’

Region-wise Sofia net employment rate registers a drop of seven percentage points and reaches +65%, Rousse and Plovdiv show an increase of three percentage points and the net employment rate stands +6% and +12%, respectively. Varna region forecast for the next six months is also positive — +9%, or an increase of one percentage point, and the hiring pace in Bourgas registers no change with a net employment rate of +8%.

About the Bulgarian Employment Confederation

The Bulgarian Employment Confederation is a non-profit organization that brings together the expertise of the leading HR services companies in Bulgaria, combines creativity, innovativeness, modern digital solutions, adaptability and knowledge of the latest global trends in the human resources field. The confederation’s key objective is to form a sustainable partnership with all industry companies in order to build a healthier work environment in Bulgaria. We are not afraid to ask questions and pinpoint the problems of the job market and the labor legislation. This is how we strive to solve them and help the adequate functioning of the labor market: www.bec-bg.com.