After the ruling circles abandoned their plan to raise their own salaries, it appears that no one will really be pleased with the symbolic increases awaiting people in 2013, but most of the money will go back to the state. What is certain is that the 310 levs already received monthly by the lowest pay group of workers, will mainly lie on the shoulders of the business, that are insuring 90 thousand employees at the minimum monthly wage. A rough estimate shows that firms (mostly choking small and medium businesses) will have to pay 21 million levs more than in the previous year, not counting the cost of their higher taxes. An employee working at a minimum wage will cost to his boss about 365 levs and therefore quite a lot of people have the chance to be sent to the labour market. Once they pay their taxes and social security contributions, the lowest group of employees will get 243 levs, which is just by two levs above the current poverty threshold.
Some 6-7 million levs will thus go back in the pockets of Minister Dyankov, who in turn will redistribute about the same amount to increase the income of the lower officials in the state hierarchy. Positions of experts level 6 will pay 340 levs instead of 330 lev, while the even lower ranking level 7 will get 335 levs, or by 15 more than they did in 2012. On the whole, the state budget will break even from the operation and will not lose a dime.
The ordinance on incomes of teachers is still not ready. It provides basic minimum wage for junior teacher to grow by 50 levs to the level of 500 levs, seniors receive at least 530 levs while chief teachers – 580 levs.
Paradoxically, because of the high deductions for most of about 5 thousand social workers it is still more advantageous to take a minimum wage job or even leave for higher compensation from the labour office.
The Minister of Finance did not fail to boast that healthcare will welcome 2013 with higher salaries, but the only real growth in the sector will be 15 percent for blood centers. This decision was taken by the government due to the downpour of mass resignations of employees there. Hospitals feel no golden rain apart from nurses who will take the minimum 310 levs. Basic pay (excluding bonuses) for the majority of people at this position is between 310 levs and 330 levs.
The BANKER
