COVID-19: Increase of the minimum daily allowance of unemployment benefits until the end of 2020

On 29 September 2020 the Bill amending the Public Social Insurance Budget Act for 2020 was promulgated at the Official Gazette No 84. It increases the amount and the duration period of the unemployment benefits, effective as 1 October 2020 as a part of the social-economic measures package of the Bulgarian government to mitigate the negative effect of the COVID-19 pandemic.

The minimum daily amount of the unemployment benefit for 2020 shall be as follows:5

  • From 1 January until 30 September 2020 – BGN 9,00 (approx. EUR 4.50);
  • From 1 October until 31 December 2020 – BGN 12,00 (approx. EUR 6.00) – increase of approx. 30%.

The maximum daily allowance of the unemployment benefits for 2020 is BGN 74, 29 (approx. EUR 37.15).

The employments benefits shall be paid for a longer period – 7 months instead of 4 months, if there is a lapse of at least 3 years since the last unemployment benefits payments received by the person, applying for the compensation and the starting date of the compensation is between 1 October and 31 December 2020. The increased payment period applies also to unemployment benefits pursuant to Art. 54b (4) of the Social Insurance Code, provided that they are ongoing by 1 October 2020.