In 2022, the energy crisis in Europe posed new challenges in the aftermath of the pandemic. The Bulgarian economy was still recovering from that crisis when it was faced with new difficulties stemming from the Russian aggression against Ukraine. After the GDP contracted by 4.1% in 2020, the economy grew by 7.1% in 2021 against a background of strong export and consumption growth. The growth rate proved to be higher than expected in 2022, despite deteriorating global conditions and higher prices of energy sources, as well as food prices, supported by public investment and positive net exports. The impact of soaring prices on households and companies was mitigated through temporary subsidies and energy and food price caps, as well as through public support programmes.
Although short-term growth prospects are expected to deteriorate, the Bulgarian labour market outlook is relatively good. Since 2020, unemployment levels have remained stable and low, fluctuating around 5%, both during the peak of the COVID-19 pandemic and subsequently. During Q3 2022, it fell to a record low of 3.7%, although there was an increase in youth unemployment. The employment rate is also on the rise, with a particularly strong growth in the service sectors, offsetting losses following the outbreak of the pandemic. The labour market outlook of highly skilled and low-skilled workers differs substantially, the employment rate of professionals with higher education being much higher compared to those with lower secondary education or lower. While labour shortage is generally low, it is prevalent among highly skilled workers, which is often pointed out as a problem by Bulgarian employers. This is due to emigration, skills mismatch and the large share of people who are not active in the labour market.
The average monthly number of unemployed persons registered in the employment directorates between January and December 2022 was 147 804 and decreased by 18.6% or 33 682 unemployed persons less compared to the same period of the previous year.
According to the official data from the 2021 census, in the last 10 years the population of the Republic of Bulgaria has decreased by 11.5% from 7 3645 70 to 6 5197 89 people. The number of economically active persons in Bulgaria stands at 2 835 388 people, a decrease by 13.6% compared to 2011. Men account for 51.4% of the labour force in the country, while women make up 48.6%.
According to expert estimates, at the beginning of 2022 the active employers in Bulgaria were 379 000, employing 2 195 533 persons.
In 2022, the largest companies in terms of revenue growth in Bulgaria were: Lukoil Petrohim — Burgas, Aurubis Bulgaria (sector: metals), Natsionalna Elektricheska Kompania (sector: energy), Astra Bioplant (sector: fuels), Lukoil–Bulgaria (sector: fuels), NPP Kozloduy (sector: energy), Bulgargaz (sector: energy), Saxsa (sector: energy), BA Glass (sector: glass), Kaufland (sector: retail chain), Lidl (sector: retail chain), Oliva (sector: retail chain), Sofia Med (sector: metals), TPP Maritsa East 2 (sector: energy), ContourGlobal Maritsa East 3 (sector: energy), A1 Bulgaria (sector: telecommunications), AES-3C Maritza East 1 (sector: energy), BTK (sector: telecommunications), OMV (sector: fuels), Agro Bord (sector: agriculture), Sopharma Trading (sector: pharmacy), etc.
In short, in 2022 the labour market in Bulgaria was characterised by a shortage of staff, growing wages and falling unemployment.
In 2022, job centres in Bulgaria advertised a total of 158 300 vacancies on the primary labour market. This represents a decrease of 19 000 (-10,0%) in the available jobs compared to the previous year. Demand for workers and employees through job centres was the highest in the area of personal services (chefs, waiting and bar staff, hairdressers, beauticians, care workers, entertainers, etc.), with a total of 18 902 vacancies. Demand for stationary machine and equipment operators remained high – 14 864 vacancies. There were 12 221 vacancies for workers in the mining and processing industries, construction and transport. A great number of vacancies for sales assistants were advertised, both in big chains and in smaller retail establishments (11 415). The same was true of vacancies for skilled workers in the manufacture of food and clothing, timber products and related products (7 353) and vacancies for workers in waste collection and related spheres (12 894). The number of vacancies for care workers (caregivers, support staff in kindergartens) also remained high – 7 675. Nearly 6 750 vacancies for drivers and mobile equipment operators opened. 6 459 jobs for metallurgists, mechanical engineers and craftsmen in related areas were advertised. 4 292 vacancies for security and protection staff opened. During the recruitment process, employers gave priority to jobseekers who showed that they are highly skilled, possess strong motivation and have the mindset necessary to acquire new knowledge quickly.
Between January and December 2022, a total of 264 297 persons were newly registered as unemployed with job centres of the Employment Agency, i.e. 14 432 persons less compared to the same period of 2021. Persons previously engaged in the service sector continued to account for the largest share of those made redundant, namely 47.4% (125 219 persons), followed by job losses in the industry sector – 21.9% (57 808 persons). The share of persons newly registered with job centres, who were previously engaged in the agro-industry (agriculture, forestry and fisheries), remained the lowest at 3.7% (9 805 persons). 71 466 persons (27.0% of all newly registered unemployed) did not specify the sector in which they had previously worked. This group comprises individuals who completed their upper secondary or higher education during the same year, economically inactive persons, persons who did not identify the sector in which they had been made redundant or persons who had never previously worked (inactive).
In terms of economic activity, the largest percentage of unemployed persons newly registered with job centres were made redundant in the processing industry (16.1%), retail and wholesale (12.6%), public administration (11.7%) and hotel and restaurant management (6.0%). Those were followed by workers made redundant in construction (4.4%), agriculture, forestry and fisheries (3.7%), administrative and auxiliary services (3.1%), transport, warehousing and postal services (2.7%), etc.
In terms of occupational structure, the largest category of unemployed persons registered with job centres in 2022 remained those without any qualifications or specialisation, with a monthly average of 81 282 persons. This group accounted for 55.0% of total unemployment, which constitutes an increase by 1.0 percentage point compared to the previous year. Most unemployed persons in this group had lower secondary education or lower (77.1%). They were followed by the groups of registered unemployed persons in the categories of blue-collar workers (22.7%) and specialists (22.6%). Among specialists, the highest share of unemployed persons was in the area of socio-economic and legal affairs (34.1%), followed by engineering and technical specialists (29.9%), specialists in the field of services, transport and security (10.3%), etc. In terms of educational structure, the majority (42.4%) of the unemployed persons registered with job centres in 2022 had lower secondary education or lower. Their share rose by 1.2 percentage points as the total number of registered unemployed decreased, while the share of unemployed persons with higher education remained stable and they remained 13.6% of all registered unemployed persons. The relative share of persons with upper secondary education also decreased slightly to 44.0% from 44.9% in 2021.
Information sources: administrative statistical data of the Employment Agency, the Workforce Survey conducted by the National Statistical Institute, the Bulgarian National Bank, the Institute for Market Economics,https://money.bg/economics Capital Weekly. https://www.capital.bg/k100-2022/,https://www.nsi.bg/bg/node/18120/https://forbesbulgaria.com/2021/12/03/top-20-most-wanted-employers-in-b…
In 2022, the labour market in the North Central Region continued to operate in a relatively stable manner against a background of concomitant crises (stemming from the pandemic, the war in Ukraine, the energy crisis, the rising inflation, demographic problems, etc.). Data from the Workforce Surveys conducted by the National Statistical Institute (NSI) showed year-on-year positive changes. In Q4 2022, the number of economically active persons aged 15-64 in the region stood at 338 000, which constitutes a year-on-year increase of 5 600 people. The rate of economic activity in the North Central Region stood at 72.9% compared to the national average of 74.4%. Higher rates of economic activity were observed in the North East Region (75.4%) and the South West Region (79.0%). In Q4 2022, the number of employed persons aged 15-64 stood at 321 400, which constitutes an increase by 15 000 people (+4,9%) compared to the same period of the previous year. The employment rate was 69.3% compared the national employment rate of 71.5%. The number of employed persons increased in all five constituent provinces. The province of Veliko Tarnovo reported an increase by 7 500 persons, the province of Razgrad — 5 800, the province of Ruse — 700, the province of Gabrovo — 500 and the province of Silistra — 500. During Q4 2022, the highest number of employed persons aged 15-64 was registered in the province of Veliko Tarnovo (103 900) and the lowest in the province of Silistra (37 000). Mirroring the labour market trends at provincial level, the labour markets within individual municipalities also displayed significant variations due to the different degree of economic development of each municipality, the specificities of demographic processes and the educational level of economically active persons.
The population of the Northern Central Region (according to official NSI data based on the 2021 census) stands at 700 234 people, or 10.7 % of the population of the country. Women account for 52.1% of the population and men for 47.9%. The province of Veliko Tarnovo has the largest population (207 371 people), followed by the province of Ruse (193 483 people). The population of the other provinces is considerably lower: 103 223 people in Razgrad, 98 387 people in Gabrovo and 97 770 people in Silistra. Compared to the 2011 census, the population decreased by 18.7%
The measures put in place to maintain and promote employment and address the economic consequences of the COVID-19 pandemic achieved the desired effect. Unemployment inflows fluctuated within their normal levels. During the year, the total number of newly registered unemployed persons stood at 31 820, which constitutes a 7.7% year-on-year decrease.
According to the administrative statistics of the Employment Agency, in 2022 the rate of registered unemployment in job centres in the North Central Region stood at a monthly average of 18 719 persons, which constitutes a 16.0% year-on-year decrease. The largest number was observed in the province of Veliko Tarnovo – 4 854, followed by the provinces of Ruse – 4 624, Razgrad – 3 853, Silistra – 3 682 and Gabrovo – 1 706. The highest rate of registered unemployment in the North Central Region was recorded in January – 21 046 persons, matching the seasonal nature of the labour market. Between February and June, the number of unemployed persons continued to decrease, followed by moderate monthly fluctuations, with a more significant increase in unemployment observed in November and December. The rate recorded at the end of the year (19 489) was 2.3% lower compared to the end of December 2021 (19 944). In June 2022, the number of unemployed persons reached its historical minimum – 17 306.
The average registered unemployment level in the North Central Region in 2022 — based on the number of persons registered with job centres as a proportion of the economically active population (aged 15-64) according to the 2021 Census data — was 6.5%, compared to the national average of 5.2%. That indicator remained lower than the national average in the province of Gabrovo (4.1%). In the provinces of Veliko Tarnovo and Ruse, that indicator was slightly above the national average, 5.7% and 5.6% respectively. In the other two provinces, the level was well above the national average: 9.4% in Razgrad and 10.4% in Silistra.
The Workforce Survey conducted by the National Statistical Institute revealed that in Q4 2022 the number of unemployed persons aged 15-64 in the North Central Region stood at 16 600, marking a year-on-year decrease by 9 400 persons. The unemployment rate was 4.9% against the national unemployment rate of 3.9%. Higher unemployment rates were observed in the North East Region (5.4%) and in the North West Region (6.3%).
Data on inactive persons showed a year-on-year decrease (NSI). In Q4 2022, the number of persons aged 15-64 outside the labour force in the North Central Region stood at 125 800, compared to 138 900 in the same quarter of 2021. This reduction could be explained by the lifting of lockdown measures to protect from the spread of COVID-19, the economic recovery and the increase in employment.
The companies of structural importance for the economy and the developing companies in the region operate in the following sectors: agri-food industry; extraction and processing of industrial minerals; manufacturing of metal products and tools, machines and equipment, metal processing, including manufacturing parts and accessories for the automotive industry; manufacturing sanitary ceramics and fittings, flexible connections, products made of wood particles, packaging, chemical, pharmaceutical, textile and wood processing industries, retail and wholesale, services, construction and repairs, etc. Agriculture, wine-making and the processing of farming and livestock products are traditional, well-established sectors of the local economy.
The largest employers in the North Central Region are: Extrapack OOD, Prestige 96 AD, Patni stroezhi – Veliko Tarnovo AD, Den i nosht OOD (Veliko Tarnovo), Apolon AD, Zaharni zavodi AD (Gorna Oryahovitsa); Arcus JSC (Lyaskovets); Svilocell AD (Svishtov), AMK — Zadvizhvashta i upravlyavashta tehnika EOOD, Zalli OOD, Podemcrane AD, Ceratizit Bulgaria AD, Gewindewerkzeuge Gabrovo GmbH, Impuls AD (Gabrovo), Hamberger EOOD, Ideal Standard - Vidima AD (Sevlievo); Witte Automotive Bulgaria EOOD, Linamar Light Metals Ruse EOOD, Orgachim AD, Delta Textile Bulgaria EOOD, Keros Bulgaria EAD, Septona Bulgaria AD, Dunarit AD, BTB Bulgaria AD, Ekon 91 OOD, Econt Express OOD, Construction Tools EOOD, Bader Bulgaria KD, Naiden Kirov AD, Toplofikatsia Ruse AD, Astra Bioplant EOOD, Irim EOOD
(Ruse); Kaolin AD (Senovo); Antibiotic - Razgrad AD, Biovet Razgrad AD, ADM AD, Pilko OOD (Razgrad), Khan Asparuh AD, Ayvaz N Ltd.; Agrotime EOOD (Isperih), ZMM Stomana AD, Fazerles AD, Elica Processing OOD, Traktsiya (Samuil village), etc.
In 2022, employers in the region mostly sought unskilled workers in the mining and processing industry and the construction and transport sectors; operators of stationary machinery and equipment; waste collection workers; drivers and mobile equipment operators; care workers; metallurgists, mechanical engineers and workers in related areas; sales assistants; skilled workers in the production of food, clothing, timber products; teachers; personnel employed in the field of personal services (chefs, waiting and bar staff, room cleaning staff, etc.); cleaners and assistants; unskilled workers in agriculture, forestry and fisheries, etc.
A total of 16 400 vacancies were advertised by employers with the territorial units of the Employment Agency in the North Central Region during the year, which constitutes a 13.6% year-on-year decrease. According to Employment Agency data, in 2022 the largest number of jobs in the North Central Region were opened in the processing industry (clothing, textiles and footwear, mechanical engineering, metal processing, manufacturing parts for the automotive industry, electronics, furniture making, chemical and food industry, production of beverages, etc.) – 5 853 vacancies, followed by the areas of public administration – 1 769; agriculture – 1 705; finance and insurance – 1 359; retail and wholesale – 1 282, education – 1 213, professional services and research – 1 059; healthcare and social work – 600, etc.
In most cases, the vacancies that employers sought to fill through job centres in the region continued to require low-skilled labour (57.9%), which largely corresponds to the educational and skills profile of the unemployed persons registered in the region. A large portion of employers did not require previous experience and employment history in the relevant field but instead expected hard work, self-control and discipline from prospective employees.
In 2022, the greatest demand for specialists via public employment agencies in the region was in the sectors of education; healthcare; socio-economic and legal affairs; services, transport and security; technical and technological services, etc.
In the coming months labour market trends are expected to stay the same and labour demand is expected to increase in view of the launch of seasonal activities.
According to Employment Agency statistical data, in 2022 the post-redundancy distribution of registered unemployed persons across economic sectors shows that the greatest number of persons were once again made redundant in the service sector (14 222), mostly in the areas of public administration (4 178), trade and repair of motor vehicles and motorcycles (4 040), hotel and restaurant management (1 395), transport, warehousing and postal services (834), education (698), administrative and auxiliary services (682), healthcare and social work (647), etc.
The second largest number of registered unemployed persons came from the industrial sector – 8 031, including 6 288 (78.3%) redundancies from processing enterprises, 1 357 from the construction industry and the rest from the mining industry, electricity and heat generation and distribution, water supply and sewerage, waste management and reclamation.
7 264 of the persons registered did not specify a sector. These are persons who have either just finished their studies, are inactive or did not state their latest place of employment.
The agro-industry once again accounted for the lowest share of people made redundant, with a total of 2 303 jobs lost.
In terms of occupational structure, in 2022 the largest category of persons registered as unemployed remained the group of people without any qualifications or specialisation – 52.9%, with a 0.7 ppt higher relative share compared to 2021.
This was followed by persons registered as unemployed in the categories of blue-collar workers (26.1%) and specialists (21.0%). The highest share of specialists seeking employment comprised those in the fields of technical and technological services, socio-economic and legal affairs; education; services, transport and security, etc. Some of them had professional skills that were not in demand on their local labour markets.
In terms of educational structure, 46.0% of the unemployed persons registered with job centres in the North Central Region in 2022 had upper secondary education, 73.5% of whom had upper secondary specialised or vocational education, followed by persons with a low level of education (41.7%). University graduates had the lowest share (12.2%) of registered unemployment, with a 0.1 ppt year-on-year increase.
The age structure of registered unemployment was characterised by a high relative share of unemployed persons over the age of 50. In 2022, this share was 45.5%, with a 0.2 ppt year-on-year increase. The share of young unemployed persons, i.e. those up to the age of 29, stood at 10.2% (a decrease of 0.2 ppt). The share of the subgroup of people aged 24 years or younger stood at 4.6% compared to 4.4% in 2021.
Information sources: National Statistical Institute and administrative statistical data of the Employment Agency.
Between January and December 2022, the economic situation in the North East planning region was dominated by the seasonal nature of labour supply and demand, due to the structure of the local economy. The highest demand for labour was registered in sectors of a seasonal nature: agriculture, tourism, retail and wholesale and the processing industry (agri-food industry, clothing and glass, and porcelain and faience industry). Summer is generally the busiest period for these sectors and this is also when a peak in employment is registered. In the autumn and winter, business activity drops, leading to a decline in the demand for labour.
Territory: the North East Region comprises the provinces of Varna, Dobrich, Targovishte and Shumen. The region borders Romania. Its total area is 14 487 square kilometres, accounting for 13% of Bulgaria’s territory.
The population of the North East Region (according to data of the National Statistical Institute as at 2021) is 913 468 people living in 35 municipalities that cover 721 settlements (30 towns and cities and 691 villages). Men account for 48.63% of the population and women for 51.37%.
The increased economic activity and GDP growth observed in recent years in the four provinces of the North East Region led to a rise in employment and a decline in unemployment. According to NSI data for 2021 the employment rate of the age group 15-64 years in the North East region stood at 61.1% compared to the national rate of 68.1%. Compared to the same period of the previous year, this marked a decrease of 6.6 percentage points in the employment rate of the population in the North East Region. In this regard it should be noted that the national average also decreased by 0.7 percentage points.
As at 31 December 2022, the number of unemployed persons registered with job centres in the North East Region was 21 479, marking a year-on-year increase.
The average monthly number of unemployed persons registered with job centres in the North East Region between January and December 2022 stood at 18 511 persons. The largest number of unemployed persons was registered in the provinces of Varna (6 352) and Shumen (5 936), followed by the provinces of Targovishte (3 337) and Dobrich (2 886). The average rate of registered unemployment in the North East Region in 2022, calculated on the basis of the number of persons registered with job centres as a proportion of the economically active population (aged 15-64) according to the 2021 census data, was 5.1%. The lowest unemployment rate was observed in the province of Varna (3.2%), followed by the province of Dobrich (estimated at 4.8%). The rest were above the national average (5.2%), namely: 8.7% in the province of Targovishte and 9.4% (the highest rate) in the province of Shumen.
In 2022, employers in the region mostly sought personnel in the field of personal services: chefs, bar, waiting and kitchen staff, room cleaning staff, valets, administrators, hotel staff. Employers advertised a large number of vacancies for sales assistants, cashiers and teachers. The needs for skilled workers were mainly in the food and clothing sectors (tailors, upholsters, cutters, bakers) and in the sectors of metallurgy and mechanical engineering (welders, fitters, mechanics, turners, car mechanics). There was a demand for machine operators, assembly workers, drivers, operators of specialised agricultural machinery, agricultural and food science technicians. The vacancies for unskilled workers were generally for washing and cleaning staff, security guards, janitors, seasonal workers in forestry and agriculture, general workers, etc.
According to Employment Agency data, between January and December 2022 the largest number of vacancies in the North East Region were advertised in the area of hotel and restaurant management (6 642), the processing industry (4 450), followed by trade and repair of motor vehicles and motorcycles (2 918), mainly for sales assistants, cashiers, promoters, warehouse workers, sales representatives, electrical mechanics, technicians, workers in car repair workshops, etc. 2 853 vacancies were advertised in the area of public administration. 1 807 vacancies were advertised in the field of education (teachers, educators, education experts). 1 248 vacancies were advertised in the area of agriculture, forestry and fisheries. Most of them were for farmhands, tractor drivers, field workers, animal breeders, afforestation workers, landscape gardeners, forestry and agriculture workers, etc. A total of 1 073 vacancies were advertised in the sector of administrative and auxiliary services (office managers, technical assistants, general assistants, accountants). In the construction sector, 751 vacancies were advertised for concrete workers, painters, bricklayers, plumbers, woodworkers, structural steel construction workers, wall and floor tilers. Most vacancies which employers sought to fill through job centres in the region were for low-skilled labour – 75.8% (18 544 vacancies). This included mostly general workers, cleaning staff, janitors, security guards, kitchen and washing staff, etc.
There were 2 318 vacancies for specialists, with the highest demand being for highly skilled professionals (economists, medical doctors, construction and mechanical engineers, education experts and IT experts). The vacancies announced for blue-collar workers were 3 613. There was a strong demand for qualified chefs, waiting and bar staff, administrators, lifeguards and entertainers.
The North East Region continued to experience a shortage of highly skilled personnel, particularly ICT engineers, mechanical engineers, civil engineers and technicians, teaching professionals (foreign language graduates), medical professionals (doctors, nurses, speech therapists). The shortage of skilled workers in tourism, hotel and restaurant management, which are essential for many local labour markets in the North East Region, continues to increase.
The post-redundancy distribution of registered unemployed persons across economic sectors (according to Employment Agency statistical data) was as follows: the largest share of job losses was generated in the service sector (18 478), out of which 4 186 were in retail and wholesale, 4 385 in public administration, 1 319 in administrative and auxiliary services, 3 549 in hotel and restaurant management, 967 in transport, warehousing and postal services, 847 in healthcare and social work, 819 in education and 666 in professional activities and research.
The second highest number of job losses was registered in the industrial sector (5 907), out of which 3 900 were in the processing industry and 1 575 in construction.
Agriculture, forestry and fisheries continued to account for the lowest number of job losses, with 1 885 redundancies.
In 2022, the number of newly registered unemployed persons in the North East Region for whom no information about a previous employer was reported upon their registration with job centres stood at 9 154.
In terms of occupational structure, between January and December the largest category of registered unemployed persons remained the group without any qualifications or specialisation (10 517), followed by blue-collar workers (4 264) and specialists (3 729). Among specialists, the largest number of unemployed persons were those with degrees in the area of socio-economic and legal affairs (1 423) and engineering and technical specialists (925).
In terms of educational structure, in 2022 36.6% of the unemployed persons registered with job centres in the North East Region had lower secondary education or lower. University graduates accounted for 10.5% of the registered unemployed. Those with upper secondary education accounted for 31.6%, 70.0% of whom had upper secondary vocational education. This unfavourable trend is a consequence of the deepening imbalance between labour demand and supply and the shortage of qualified personnel in key sectors.
Information sources: Administrative statistics of the Employment Agency, profiles of the planning regions (available on the website of the Ministry of Regional Development and Public Works); National Statistical Institute (NSI).
Economic activity and employment levels were once again the lowest in the North West planning region, which consequently had the highest unemployment rate in 2022. According to preliminary NSI data, the total number of persons working under employment contracts and civil servants in the constituent provinces of the North West Region (Vidin, Montana, Vratsa, Lovech and Pleven) showed a downward trend in December 2022 compared to January 2022, with alternating upward and downward trends depending on the month, owing to seasonal employment. At the same time, in 2022 the average monthly unemployment rate in the North West Region registered a decline by 2.4 percentage points, reaching 7.9% compared to 9.5% in 2021, thus remaining the highest in Bulgaria at 3.2 percentage points above the national average (4.5%) (according to the administrative statistics of the Employment Agency).
This region is the least attractive one for foreign investors, and municipalities, especially those in the provinces of Vidin, Montana and Vratsa, fail to compensate for the lack of private investment with high uptake of EU funds. The low rates of taxes and fees and a fairly good level of administrative services have also failed to offset the influence of negative factors such as poor infrastructure development and a worsening of the demographic and educational characteristics of the workforce.
The following sectors of structural importance to the region’s economy are the most affected by the unfavourable workforce profile in the North West Region: textiles, clothing, mechanical engineering and metal processing, construction, transport, manufacturing ceramics, wood processing, companies in retail and wholesale, services, healthcare, etc.
Territory: the North West Region comprises the administrative provinces of Vidin, Vratsa, Montana, Pleven and Lovech. It has an area of 19 070 square kilometres, or 17.0% of Bulgaria’s territory.
The population of the North West Region (according to National Statistical Institute data as at 31 December 2021) stands at 702 773 people living in 51 municipalities, which comprise 45 towns and cities and 623 villages. In 2022, the average monthly number of unemployed persons registered with job centres fell by 5 292 or 16.17% compared to 2021.
In 2022, the average monthly rate of registered unemployment in the North West Region stood at 26 621 persons. The highest number of unemployed persons was registered in the province of Pleven (6 773), followed by Vratsa (6 560), Montana (5 549), Lovech (3 877) and Vidin (3 862). According to Employment Agency data, the average monthly rate of registered unemployment in the North West Region during the year was 9.9% compared to the national average of 5.2%. Unemployment rates in the individual provinces stood at: 7.6% in Pleven, 9.1% in Lovech, 10.7% in Vratsa and 11.7% in Montana. The highest unemployment rate, 14.1 %, was registered in the province of Vidin. The latter remains the province with the highest concentration of unemployed people as a share of the workforce.
Greater importance is attached to some of the developing economic sectors in the region, which include the agri-food industry, the production of batteries, mechanical engineering, timber production and wood processing, the clothing industry, the pharmaceutical and chemical industries and the service sector.
Agriculture and the processing of agricultural products are traditional sectors of the regional economy.
In the period under consideration employers in the region mostly sought: tailors, teachers, assembly workers, general workers, sales assistants, bar and waiting staff, production line operators, drivers, medical doctors, nurses, accountants, cleaners, bakers, chefs, confectioners, lumberjacks, agricultural workers, electric mechanics, welders, etc.
According to Employment Agency data, the largest number of vacancies available in the North West Region during this period was advertised in the processing industry (textiles, clothing, food and beverages, furniture making, metal casting, manufacturing of machines and equipment, including for the automotive industry, processing of meat products and vegetable oils, etc.) – 7 221 or 39.1%; public administration – 3 203 vacancies or 17.4%, education – 1 813 or 9.8%, trade and repair of motor vehicles and household appliances (mostly for sales assistants, warehouse workers, advertising agents, sales representatives, electric mechanics, technicians, workers in car repair shops, etc.) – 1 319 or 7.1%; agriculture, forestry and fisheries (farmhands, tractor and combine drivers, field workers, landscape gardeners, etc.) – 952 or 5.2%; hotel and restaurant management – 888 vacancies or 4.8%, construction (concrete workers, welders, painters, structural steel construction workers, bricklayers, woodworkers, tile setters, plumbers, etc.) – 705 or 3.8%, administrative and auxiliary services – 658 or 3.6%, healthcare – 494 or 2.7%, transport and communications – 308 or 1.7%, etc.
Most vacancies which employers sought to fill through job centres in the region were for low-skilled labour, with 12 088 (65.5%) advertised jobs in this category. This trend was consistent with the profile of the majority of the registered unemployed persons in the region. Compared to 2021, the number of such vacancies decreased by 721, along with a decrease in their relative share by 3.2 ppt.
As regards specialist jobs, engineering and technical specialists were in the greatest demand, as well as professionals in the transport and service sectors, economists, medical doctors and educators.
The North West Region continued to experience a shortage of highly skilled personnel: ICT engineers and specialists, managers fluent in foreign languages, education professionals, computer science and information technology teachers, medical doctors and nurses, as well as specialists and workers in some of the leading sectors of the regional economy.
According to Employment Agency data, the post-redundancy distribution of registered unemployed persons across economic sectors was as follows: the service sector accounted for the largest share of job losses (50.2% or 19 752 jobs), out of which 41.1% (8 115) in public administration and defence, 24.1% (4 760) in trade and repair of motor vehicles and household appliances, and 8.4% (1 656) in hotel and restaurant management.
The second largest number of job losses was reported in the industrial sector – 21.3% (8 402), out of which 73.1% (6 145) in the processing industry and 20.3% (1 708) in construction.
The agro-industry continued to account for the lowest number of job losses – 4.9% (1 927 persons), almost all in agriculture.
In terms of occupational structure, in 2022 the largest category of persons registered as unemployed with job centres in the North West Region remained the group without any qualifications or specialisation – 58.1% (15 460), followed by blue-collar workers – 25.9% (6 904) and specialists – 16.0% (4 257). Within the group of specialists, engineering and technical specialists had the highest share of those unemployed (approximately 36.0%), followed by economists (30.3%), specialists in the service, transport and security sectors (9.7%) and in agriculture (8.9%).
In terms of educational structure, 45.1% (12 017) of the persons registered as unemployed with job centres in the North West Region during this period had upper secondary education, marking a decrease by 1.3 percentage points. The number of university graduates registered as unemployed numbered 1 940 (7.3%), which constitutes an increase of 0.2 percentage points. An increase (by 1.1 percentage points) in the share of registered unemployed persons with lower secondary education or lower was observed. This group consisted of 12 664 persons, or 47.6% of the total number of registered unemployed.
Information sources: Administrative statistics of the Employment Agency (national database), profiles of the planning regions (available on the website of the Ministry of Regional Development and Public Works); National Statistical Institute (NSI).
In Q4 2022, the South East Region ranked third in Bulgaria in terms of employment among persons aged 15 years and over.
In Q4 2022, the employment rate increased by 1.7 ppt compared to the same period of 2021, reaching 53.3% against a national rate of 54.9%. In keeping with the trend from previous periods, the employment rate was higher among men (61.0%) than women (46.2%). Compared to the same quarter of 2021, however, it increased by 1.5 and 1.8 percentage points for men and women respectively.
According to data on labour market developments in the constituent provinces (Burgas, Sliven, Yambol and Stara Zagora), compared to the same period in 2021 the employment rate increased by 1.1, 2.2 and 7.5 ppt respectively in the first three provinces and decreased by 0.1 ppt in the last one.
Territory: the South East Region comprises the administrative provinces of Burgas, Sliven, Stara Zagora and Yambol. It has an area of 19 794 square kilometres, or 17.8% of Bulgaria’s territory.
The population of the South East Region (according to National Statistical Institute data as at 31 December 2021) stands at 1 010 263 (14.7% of Bulgaria’s total population), spread across 33 municipalities. Women account for 51.6% of the population, and men for 48.4%. In terms of population size, Burgas is the most prominent of the four provinces in the region, with 408 704 people (40.5%), followed by the provinces of Stara Zagora (30.4% or 307 140 people), Sliven (17.8% or 180 058 people), and Yambol (11.3% or 114 361 people). In all four provinces, women outnumber men, their share being 51.8% in Burgas, 51.7% in Stara Zagora, 51.5% in Sliven and 51.2% in Yambol. On average, urban residents account for 71.5% of the region’s total population. Its share by province is as follows: 76.1% in Burgas, 69.9% in Stara Zagora, 69.1% in Yambol and 65.2% in Sliven. Compared to the end of 2020, the population of the South East Region decreased by 9 924 persons, more specifically by 1 046 in the province of Burgas, 4 260 in the province of Stara Zagora, 2 493 in the province of Sliven and 2 125 in the province of Yambol.
In 2022, the average number of unemployed persons registered with job centres in the South East region was 19 269. The largest number was registered in the province of Burgas (6 537), followed by the provinces of Sliven, Stara Zagora and Yambol, with 5 422, 4 954 and 2 356 unemployed persons respectively. In 2022, the average rate of registered unemployment in the South East Region was 4.9% (unemployment rate based on economically active persons (aged 15-64) according to the 2021 census data), compared to 5.2% for the country. This rate was lower than the national (and regional) average in the provinces of Burgas (4.0%), Stara Zagora (4.3%) and Yambol (5.4%), while it was higher in the province of Sliven (7.9%).
As of 3 June 2022, refugees fleeing Ukraine due to the military conflict with Russia were entitled to register with job centres as jobseekers and benefit from the rights under the Employment Promotion Act. A total of 1 486 jobseekers registered in 2022 on this ground. As a result of activities targeted at people arriving from Ukraine, 1 103 persons gained employment under the Solidarity project and 65 persons found a job on the primary market.
In 2022, employers in the region once again mostly sought professionals in the sector of tourism: room cleaning staff, waiting and bar staff, chefs, hotel administrators, sales assistants, as well as workers in various areas of the industry and services, general workers, machine operators, teachers, seasonal workers in agriculture and the canning industry, drivers of various vehicles, security guards, cleaning staff.
According to Employment Agency data, in 2022 a total of 27 496 vacancies were advertised in the real economy in the South East region. The largest number of vacancies were advertised in the sectors of hotel and restaurant management (mainly for room cleaning staff, chefs, waiting and bar staff, hotel administrators, cleaning staff) – 6 919, the processing industry (the canning industry, food, tobacco products and beverages, clothing, textiles, etc.) – 6 394, retail and wholesale (sales assistants, sales representatives, general workers, etc.) – 2 508, administrative and auxiliary services – 1 188, transport, warehousing and postal services – 1 608, education – 2 363, construction – 950, public administration – 2 338 and healthcare and social work – 772. The total number of vacancies included 2 086 jobs under the Solidarity project, out of which 75.3% were advertised in the sector of hotel and restaurant management.
490 vacancies opened in the agro-industry, the highest demand being for seasonal forestry workers, operators of specialist agricultural equipment, farmhands, etc.
The majority of vacancies in the real economy that employers sought to fill through job centres in the region were for low-skilled or unskilled labour (72.6%). Out of these, upper secondary education was required for 56.3% of the vacancies advertised and lower secondary education or lower for 43.7% of the available jobs.
As regards vacancies for specialists, most were in the fields of education, service, transport, security and healthcare, demand being the lowest in the sector of agriculture.
The labour market in the South East Region continued to experience a shortage of skilled personnel, including ICT engineers, construction professionals, managers fluent in foreign languages, education and healthcare professionals, drivers, crane operators, excavator operators, welders, tailors, as well as specialists and workers in some of the leading sectors of the regional economy, particularly in hotel and restaurant management and their support operations.
The post-redundancy distribution of the 41 293 persons newly registered as unemployed in 2022 across economic sectors (according to Employment Agency statistical data) was as follows: the largest share of unemployed persons came from the service sector (19 344 people or 46.8%). The largest groups based on their last place of employment were engaged in retail and wholesale (5 155), hotel and restaurant management (3 868), public administration (3 885), transport, warehousing and postal services (1 180), education (735), healthcare and social work (693) and administrative and auxiliary services (1 442). The smallest number of redundancies (standing at 224) was registered in the sector of information and creative work production and distribution and telecommunications.
The industrial sector generated the second highest number of redundancies (9 260 or 22.4%), with most job losses in the processing industry (7 003) and construction (1 773), and the fewest in the mining industry (74).
Another large group comprised newly registered unemployed who did not specify a sector, totalling 11 291 people (27.3%). Those are people who either did not work before registering with a job centre or did not indicate their previous place of employment. It also includes workers previously employed abroad and a large proportion of inactive persons.
The agro-industry continued to account for the lowest number and share of job losses (1 398 registered unemployed, or 3.4%).
In terms of the occupational structure of registered unemployed persons, the largest category in 2022 remained those without any qualifications or specialisation (11 821 persons, or 61.3%), followed by blue-collar workers (3 405, or 17.7%) and specialists (4 043, or 21.0%). Among the latter, economic and legal specialists accounted for the largest share of unemployed persons, followed by engineering and technical specialists.
In terms of educational structure, the highest average monthly number of unemployed persons registered with job centres in the South East Region in 2022 had upper secondary education (38.5%). These were followed by persons with elementary education or lower (34.4%) and lower secondary education (14.0%). The share of unemployed persons with higher education was the lowest (13.0%). The aggregate group of those with low education (lower secondary, elementary or lower) accounted for 48.5% of all unemployed. This group experienced serious difficulties in finding employment. Compared to the average rates in 2021, there was an increase by 0.6 percentage points in the share of unemployed university graduates and by 0.5 percentage points in the share of persons with elementary education or lower. The shares of persons with upper or lower secondary education decreased by 0.8 and 0.3 percentage points respectively.
Information sources:Administrative statistics of the Employment Agency, profiles of planning regions (available on the website of the Ministry of Regional Development and Public Works); National Statistical Institute (NSI), Institute for Market Economics
Territory: the South West Region comprises the administrative provinces of Sofia, Greater Sofia, Pernik, Blagoevgrad and Kyustendil. It has an area of 20 306.4 square kilometres, or 18.3% of Bulgaria’s territory. A special feature of this region is that it includes Bulgaria’s capital Sofia, as a separate province, and the only Bulgarian province without an independent administrative centre (Greater Sofia).
The population of the South West Region (according to National Statistical Institute data as at 31 December 2021) is 1 738 636 (34.77% of Bulgaria’s total population), spread across 52 municipalities that comprise 953 settlements (47 towns and cities and 905 villages). Women account for 52.02% of the population and men for 47.98%. More than half of the region’s population (71.81%) lives in Sofia (1 248 452 people, or 24.97% of Bulgaria’s population).
At the end of 2022, the number of employed persons in the South West planning region stood at 982 500. This represents an increase by 2 500 people compared to the end of 2021.
Unlike 2021, in 2022 there was an increase in employment in the region. Without doubt, the main reason is the opening up of many businesses in various sectors of the economy. Efforts are currently focused on maintaining a stable employment rate using various tools.
The average monthly number of unemployed persons registered with job centres in the South West Region stood at 16 125, 56.0% of whom were women and 44.0% men. The highest average monthly number of unemployed persons was registered in the province of Blagoevgrad (11 536), followed by the city of Sofia (10 257), Greater Sofia (4 955), the province of Kyustendil (3 332) and the province of Pernik (2 172). The average monthly unemployment rate in the South West region in 2022 was 3.3% (unemployment rate based on economically active persons (aged 15-64) according to the 2021 census data), compared to 5.2% for the country. The lowest unemployment rate for the region and in the country was recorded in the city of Sofia (1.6%), in the province of Pernik (4.3%) and in Greater Sofia (4.9%), while in the remaining two provinces it exceeded the national average: 7.8% in the province of Kyustendil and 9.4% (the highest rate) in the province of Blagoevgrad.
The South West Region is a leader in terms of its contribution to Bulgaria’s gross domestic product (GDP). As at 31 December 2022, the rate of economic activity of the population in the 15-64 age group stood at 79.0% (the highest in the country). The region also ranks first in terms of investment growth compared to the same period of the previous year, and second in terms of newly created jobs (3 527). The city of Sofia continues to be among the top industrial locations in Bulgaria, taking a leading position in the processing industry. Some of the companies based in the capital are among the largest manufacturers of pharmaceuticals (Sopharma AD) and electrical equipment (Hyundai Heavy Industries AD) and providers of machinery repair and installation services (Terem EAD Sofia). The headquarters of all major retail chains in the country, such as Lidl, Billa, Kaufland, Technopolis and Praktiker, are located in Sofia. Micro-, small and medium-sized enterprises account for 70% of Sofia’s industrial output and trends in the last few years indicate that its share is likely to increase in the near future. Nearly two-thirds of jobs in the capital city are created by small and medium-sized enterprises. However, large companies are gradually increasing their share in job creation.
Greater Sofia and the province of Blagoevgrad also boast fast-developing industrial sectors. Information and communication technology remains one of the most dynamic sectors in the service industry. An increase in employment rate is also observed in the financial sector, in intermediary services and business process outsourcing, with the capital continuing to be the place with the highest concentration of successful companies in the service sector. In 2022, demand for labour in the region was the highest for the following economic activities: trade and repair of motor vehicles and motorcycles, administrative and auxiliary activities, the processing industry and hotel and restaurant management. There was a decline in the demand for labour in all economic sectors compared to 2021. In terms of classes of professions, there was no change for specialists, whereas there was a decrease for professions requiring vocational training and an increase for those requiring no specialisation.
The professions most sought after by employers in the region in 2022 were medical doctors, teachers, engineers, programmers, economists, drivers, nurses, machine operators and fitters, builders, welders, electric technicians, sales assistants, operational accountants, tailors, health assistants, forestry workers.
According to Employment Agency data, in 2022 a total of 39 093 vacancies were advertised in the South West Region, most of which (28 812) were in the service sector, as follows: 6 144 in trade and repair of motor vehicles and motorcycles (mostly for sales assistants, warehouse workers, advertising agents, sales representatives, electrical mechanics, technicians, workers in car repair shops, etc.); 1 521 in transport, warehousing and postal services; 1 219 in information and creative work production and distribution and telecommunications; 767 in professional services and research; 1 477 in finance and insurance; 549 in real estate operations; 5 263 in administrative and auxiliary services; 2 911 in public administration; 4 231 in hotel and restaurant management (bar and waiting staff, room cleaning staff); 2 953 in education (teachers, educators, assistant teachers, kindergarten teachers); 757 in healthcare and social work, 546 in culture, sports and entertainment, etc. The industrial sector advertised a total of 9 744 vacancies, the majority of which were in the processing industry (production of food, tobacco products and beverages, textiles and clothing, etc.) – 7 640. Demand for labour in the construction sector remained low in the region, with 1 470 vacancies advertised in 2022, mainly for blue-collar workers needed to carry out repairs. Painters, carpenters, tile setters, plumbers, etc. were in demand.
Compared to other sectors, in 2022 the lowest number of jobs were created in the agro-industry – 411, mostly for farmhands and forestry workers, mechanisation specialists, etc.
The majority of vacancies that employers sought to fill through job centres in the region were for low-skilled labour, which largely matches the characteristics and structure profile of unemployed persons registered with job centres outside the capital city. In 2022, there were 30 796 vacancies (78.8% of all newly created jobs) suitable for persons without any qualifications or specialisation.
Despite the high number of registered unemployed on the labour market, the South West Region continued to experience a shortage of skilled personnel – engineering and technical specialists in the field of information technology and telecommunications, mechanical engineering, logistics, etc.; managers fluent in foreign languages; specialists and workers in hotel and restaurant management (also proficient in two languages, specialised in spa therapy, chefs specialising in international cuisine, etc.); teachers in the field of education; blue-collar workers such as turners, milling and grinding machine operators, workers in the clothing, footwear and carpentry industry, as well as in other leading sectors of the local economy. Since the beginning of 2022, a total of 4 606 vacancies for specialists have been advertised, representing 11.8% of all jobs created, and 3 691 vacancies for blue-collar workers, which is 9.4% of all jobs created.
The post-redundancy distribution of the newly registered unemployed persons across economic sectors in 2022 (according to Employment Agency data) was as follows: the service sector accounted for the largest share of job losses totalling 29 826, out of which 8 363 (28.0%) in trade and repair of motor vehicles and motorcycles, 4 928 in public administration, 1 577 in healthcare and social work, 1 931 in transport, warehousing and postal services, 1 149 in real estate operations, 2 815 in hotel and restaurant management, etc. The second largest share of job losses was generated by the industry – 11 979, including 8 330 in the processing industry and 2 769 in construction. The lowest number of job losses (647) was registered in the agro-industry, all of them coming from the sectors of agriculture, forestry and fisheries.
In terms of occupational structure, in 2022 the largest category of persons registered as unemployed with job centres in the South West Region remained those without any qualifications or specialisation (15 013), followed by specialists (10 615) and blue-collar workers (6 622). The group of unemployed specialists was dominated by economists and engineering and technical specialists, followed by persons with professional experience in the service sector, transport and security and specialists in the areas of technical and technological services, etc.
In terms of educational structure, in 2022 the majority of unemployed persons registered with job centres in the South West Region had upper secondary education (15 515), including 9 889 (63.7%) persons with upper secondary vocational education. These were followed by university graduates (7 055). The number of persons with elementary education or lower was 4 004, and those with lower secondary education were 5 676.
An upward trend was observed in the employment of skilled professionals and managers, staff with technical skills and economists. At the same time, there was a drop in the employment rate of persons with a lower level of education in the industry, public administration and administrative services. A significant drop in the number of persons employed in the service and transport sectors was registered.
Education and qualification remain the major drivers enabling workers to find jobs.
Information sources: Administrative statistics of the Employment Agency, profiles of the planning regions (available on the website of the Ministry of Regional Development and Public Works); National Statistical Institute (NSI).
Positive trends in the development of the economy of the South Central Region during 2022, which led to the stabilisation of the labour market after the state of emergency, fostered a quick rise in employment and reduced unemployment in 2022. During the period under consideration, differences in economic development and labour markets persisted between provinces and municipalities in the individual regions.
Territory: the South Central Region comprises the provinces of Plovdiv, Pazardzhik, Smolyan, Haskovo and Kardzhali. Its total area is 22 365 square kilometres, or 20.1 % of Bulgaria’s territory.
The population of the South Central Region (according to National Statistical Institute data as at 31 December 2021) is 1 247 199 people, spread across 58 municipalities, comprising 54 towns and cities and 1 251 villages. Women account for 51.6% of the population and men for 48.4%.
The average monthly number of unemployed persons registered with job centres in the South Central region in 2022 was 32 435. The highest number was observed in the province of Plovdiv – 11 385, followed by the provinces of Pazardzhik (7 068), Haskovo (5 342), Smolyan (4 159) and Kardzhali (4 482). The average level of registered unemployment in the South Central Region in 2022 — based on the number of persons registered with job centres as a proportion of the economically active population (aged 15-64) according to 2021 Census data — was 5.9%, compared to the national average of 5.2%. Only the province of Plovdiv had an unemployment rate below the national - 4.1%. The registered unemployment rate in the other provinces stood at: 10.0% in the province of Smolyan; 9.5% in the province of Kardzhali, 7.3% in the province of Pazardzhik and 6.4% in the province of Haskovo.
In 2022, employers in the region mostly sought: tailors, sales assistants, fitters, welders, mechanics, turners, furniture makers, drivers, workers in the processing industry and in agriculture, forestry and construction, etc. In terms of specialists, there was a predominant demand for engineering and technical specialists (in various fields), as well as business and administrative specialists and specialists in transport and services, economists and educators. There was also increasing demand for military specialists.
In parallel with the decrease in registered unemployment, the labour market in the South Central Region continued to experience a shortage of skilled personnel, particularly in mechanical engineering, in the field of education, specialists and workers in the service and technology sectors.
According to Employment Agency data, in 2022 the largest number of vacancies in the South Central Region were advertised in the processing industry (clothing and textiles, food and beverages, tobacco products, etc.) – 11 086, or 36%; a total of 3 199 jobs were advertised in the field of trade and repair of motor vehicles and household appliances (mostly for sales assistants, warehouse workers, advertising agents, sales representatives, electrical mechanics, technicians, workers in car repair shops, etc.). There were 2 789 vacancies in the sector of administrative and auxiliary services; 2 515 vacancies in the sector of education (for teachers, educators, assistant teachers, kindergarten teachers, etc.); and 2 745 vacancies in the sector of hotel and restaurant management (for room cleaning staff, waiting and bar staff).
In the agro-industry there were 1 248 vacancies, or 4,1%, mostly for farmhands, vegetable growers, forestry workers, etc.
There was a decline in the construction sector and a decrease in the demand for labour in this field, with 917 (or 3%) vacancies advertised, mostly for welders, bricklayers, carpenters, tile setters, plumbers, etc.
The vacancies that employers sought to fill through job centres in the region were mostly for low-skilled workers (76%), which matches the profile of most registered unemployed persons in the region.
According to Employment Agency statistical data for 2022, the post-redundancy distribution of registered unemployed persons across economic sectors was as follows: the service sector accounted for the largest share of job losses, with a total of 24 077 redundancies, out of which 2 718 in hotel and restaurant management and 6 952 in trade and repairs. The second largest generator of job losses was the industry, with 14 091 redundancies, including 10 888 in the processing industry and 2 470 in construction.
The agro-industry continued to account for the lowest number of job losses, standing at 1 730, almost all of them in the sector of agriculture.
In terms of occupational structure, at the end of 2022 the largest category of persons registered as unemployed remained those without any qualifications or specialisation – 56.5%, followed by blue-collar workers – 24%, and specialists – 19.5%. After the economic crisis in 2020, which affected the entire country, certain changes in the occupational structure of registered unemployment were observed. During the period under consideration, the share of unemployed people without any qualifications increased, as opposed to the share of specialists and blue-collar workers.
In terms of educational structure, at the end of 2022 44.1% of the registered unemployed persons in the South Central Region had lower secondary education or lower, 44.5% had upper secondary education and 11.4% had higher education.
Information sources: Administrative statistics of the Employment Agency, profiles of the planning regions (available on the website of the Ministry of Regional Development and Public Works); National Statistical Institute (NSI).