site.btaQ2 Hourly Labour Costs Increase by 14.4% Y/Y

The total hourly labour costs increased by 14.4% in the second quarter of 2022 compared to the second quarter of 2021, according to preliminary data from the National Statistical Institute. In industry, the increase was by 15%, in services 16.8%, and in construction 11.5%.

In terms of economic activities, the highest growth in total labour costs was registered in the economic sectors administrative and support service activities by 22.5%; arts, entertainment and recreation, and other service activities by 19.4% each; and wholesale and retail trade; repair of motor vehicles and motorcycles by 18.2%.

In the second quarter of 2022, compared to the second quarter of 2021, the wage and salary costs per hour worked increased by 14.6%, while the non-wage costs rose by 13.5%. By economic sector, the growth rate of the wage and salary costs compared to a year earlier varied from 22.8% for administrative and support service activities to 1.8% for human health and social work activities.

Bulgaria has the lowest comparative labour costs in the EU, the German Economic Development Agency - (Germany Trade & Invest) said. In its publication "Labour costs and wages - Bulgaria 2022", cited by the German-Bulgarian Chamber of Industry and Commerce in the latest issue of its newsletter Bulgarien Aktuell received by BTA, the agency analyses the labour market, wage costs and labour legislation in Bulgaria and recommends that companies do more to retain qualified employees. Low labour costs are an advantage of the location, the publication states.