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Implementation of the EU Directives on Work-Life Balance and on Transparent and Predictable Working Conditions: Bulgaria

Implementation of the EU Directives on Work-Life Balance and on Transparent and Predictable Working Conditions: Bulgaria

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The EU Directives on Work-life balance and on Transparent and predictable working conditions were introduced into the Bulgarian national legislation in August 2022 and brought about significant changes and obligations for the employers. What do they mean for businesses?

This report is designed to help companies to understand the requirements and how they have been implemented.

Has the directive been implemented in the jurisdiction?

Yes.

What is the status of the implementation or draft implementation?

The Bulgarian National Assembly has adopted a new law amending and supplementing the Bulgarian Labour Code. The law was published in State Gazette No. 62/05 August 2022 and came into effect on 01 August 2022.

Amendments and supplements to the Bulgarian Ordinance on Working Time, Rest and Leave have also been adopted. These were published in State Gazette No. 78/30 September 2022, and also came into effective on 01 August 2022.

What are the key changes for employers and employees?

1. Paternity leave

· New rules in the Labour Code have introduced 2 months’ leave for fathers (including adoptive fathers) for raising a child up to the age of 8 (under certain conditions).

· The Ordinance also regulates the order and method of using the new type of leave for raising a child up to the age of 8 by the father (or adoptive parent). The Ordinance regulates the necessary documents, the deadlines for their submission, the conditions for termination of use and the obligations of the employer.

2. Rights of employees relating to work-life balance

· An employee who is a parent (or adoptive parent) of a child of up to 8 years of age has the right to propose (in writing): a change to the duration and distribution of his/her working hours within a certain period; to work remotely; and to make other changes to the employment relationship that better facilitate work-life balance.

· An employee will also have the right to propose the changes specified above if for serious medical reasons they care for a parent, child, spouse or sibling, a parent of the other spouse, or other direct relatives.

What are the main actions for HR departments in preparing for the changes?

Review and revise internal documentation including:

· Internal rules;

· Off-boarding procedure (if this exists);

· Other employment policies and practices applicable to employees regarding their parental entitlements;

· Application forms required to apply for new
leave periods.

Training to acquaint HR colleagues with the new rules

Has the directive been implemented in the jurisdiction?

Yes. 

What is the status of the implementation or draft implementation?

The Bulgarian National Assembly has adopted a new Law amending and supplementing the Bulgarian Labour Code. The law was published in State Gazette No. 62/05 August 2022 and came into effect on 01 August 2022.

What are the key changes for employers and employees?

1.      Probationary Period 

  • When the employment contract for the work assigned to the employee is for a period of up to 1 year, the agreed probationary period cannot exceed 1 month. The amendment therefore modifies the existing general rule that probationary periods of up to 6 months can be included in all Bulgarian employment contracts.

2.      Fixed-term contracts 

  • The employee now has the right to propose amendments (in writing) to an employment contract: to switch from a fixed term to an indefinite employment contract; to 
    switch from a part-time to a full-time contract. If the employer refuses, they must provide a reasoned 
    written justification.

3.      Parallel employment

  • The employee has the right to work for another employer outside the working hours specified in his/her main employment contract unless there is a prohibition in the main contract to protect the employer’s trade secret and/or a conflict of interest. A complete ban on additional work for another employer can therefore no longer be included in employment contracts.

4.      Employer’s obligation to provide information to the employee 

  • For every amendment made to the employment relationship, the employer is now obliged to give the employee written information on the change no later than 
  • when the amendments come into force. (Until now, the employer had to provide the information as soon 
    as possible or no later than 1 month, after making 
    the amendment.)
  • There are newly introduced obligations on employers to provide employees with information on: internal salary rules; terms and conditions for the labour contract to be terminated under the Labour Code; training opportunities the employer provides that relate to professional qualifications and competencies.

5.      Professional qualifications 

  • If an employer is obliged (either by the law or by a collective/ individual agreement) to maintain and increase employees’ professional qualifications, the time spent on training is considered to be working time. Whenever possible, such training has to be conducted within established working hours, and all related costs are at the expense of the employer.

What are the main actions for HR departments in preparing for the changes?

Review and update labour documentation such as internal policies and templates of labour agreements etc.

By Miglena Micheva, Legal Manager and Kristian Nemtsov, Legal Associate, Deloitte Legal

Bulgaria Knowledge Partner

Schoenherr is a leading full-service law firm providing local and international companies stellar advice that is straight to the point. With 15 offices and 4 country desks Schoenherr has a firm footprint in Central and Eastern Europe. Our lawyers are recognised leaders in their specialised areas and have a track record of getting deals done with a can-do, solution-oriented approach. Quality, flexibility, innovation and practical problem-solving in complex commercial mandates are at the core of our philosophy.

Firm's website: www.schoenherr.eu

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