How Ukrainian refugees can be a positive for the Bulgarian economy

Guest author: Rosen Sharkov

Since the beginning of the war in Ukraine - 24.02.2022 to date, the migration of Ukrainian citizens to neighboring EU member states - (Poland, Romania, Hungary, Slovakia and Bulgaria) has increased dramatically. As of today, according to data from the UN High Commissioner for Refugees - refugees from Ukraine number almost 5 million people. Of these, Bulgaria has welcomed about 90,000 people who have been granted international protection, it is unclear how many of them would remain on the territory of the country in the long term.

By granting this international protection, Ukrainian citizens are granted the following rights:

1. to remain on the territory of the Republic of Bulgaria;
2. to receive a registration card;
3. to receive health insurance, accessible medical care and free use of medical services under the conditions and procedures for Bulgarian citizens;
4. to receive psychological help;
5. to be socially assisted in the manner and in the amount determined for Bulgarian citizens;
6. to be provided with a translator or interpreter;
7. to receive shelter and food.

After being granted international protection, Ukrainian citizens acquire the right to access the labor market through the Labor Bureau and the Employment Agency.

In order for Ukrainian refugees to integrate successfully and to be satisfied, and not least not to be a burden on the fragile social system in Bulgaria, they should be directed towards filling vacant jobs, which could contribute to reducing the staff shortage in the country. First of all, they could be temporarily employed in the Tourism sector, as the opening of the summer season is imminent, and there is a high demand for labor in this sector.

According to NSI statistics for 2021, the number of employed Bulgarian citizens reached 3 million. As of 09.04.2022, the number of job vacancies announced at the Bulgarian Labor Bureau numbered 20,125. They are distributed across different sectors and regions in the country.

Citizens of Ukraine can gain access to the Bulgarian labor market to work under the following simplified procedures:

Ukrainian citizens who have the necessary documents proving Bulgarian origin can start work immediately after registering with the Employment Agency, other Ukrainian citizens have the right to seasonal work for up to 90 days in agriculture, forestry and fisheries, hotel and restaurant business in Bulgaria without interruption for 12 months, and in both cases registration with the Employment Agency is required.

If the demographic trend in Bulgaria continues, its negative effects are already expressed in the following forecast - If the current levels of mortality, birth rate and emigration are maintained, according to NSI data, it is expected that in 2035, our population will be about 200,000 Bulgarians fewer, and in 2050 the forecast is that the population of our country will be under 5 million and 800,000 people.

Against the backdrop of these negative statistical forecasts and data, the influx of new labor force from migrating Ukrainian citizens would, if not stop, then slow down the development of negative trends.

In early January 2022, the Association of Bulgarian Employers' Organizations (AOBR), which includes AIKB, KRIB, BIA and BCCI, presented its priorities for 2022 and the year ahead, with the labor shortage identified as one of the biggest problems facing business and the economy. Among their priorities are:

• Developing a program and package of measures to attract talent - highly qualified and scarce specialists.
• Improving the opportunities for attracting foreign students and ensuring the opportunity for foreign citizens who have acquired their higher education in Bulgaria to gain access to the Bulgarian labor market.

Highly qualified specialists from third countries, attracted for the period 2012 to 2020, number 1,040. This number is extremely insufficient and should prompt the authorities to take appropriate measures to reduce the bureaucratic burden.

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