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Repetition Article 1 of the Convention. Definition of the term “wages”. The Committee notes the Government’s statement that the term “labour remuneration” is used in the Labour Code to signify not only the basic wages but also overtime pay, and all the various allowances, such as the allowance for night work, academic credentials, linguistic skills, etc.Article 4. Partial payment of wages in kind. The Committee notes the explanations provided by the Government that the payment of wages in kind is possible only if so provided in an act of the Council of Ministers, in a collective agreement or in the labour contract. The Government indicates that existing acts of the Council of Ministers provide for different forms of additional remuneration in kind, such as warm food or special clothing, and define the type and the size of these additional in-kind payments. Recalling that the Convention requires specific provisions to ensure that the goods and products which may be offered in lieu of money are appropriate for the personal use and benefit of the worker and his/her family and that they are valued fairly, the Committee would appreciate receiving copies of acts of the Council of Ministers setting out conditions and limits for specific allowances in kind. In this connection, the Committee draws the Government’s attention to paragraphs 104–160 of its 2003 General Survey on the protection of wages, which offer guidance concerning possible ways in which legislative conformity with this Article of the Convention may be ensured.In addition, the Committee recalls that the Convention specifically requires the partial payment of wages in kind to be regulated only by national law or regulation, collective agreement or arbitration awards, and not individual agreement. It therefore considers that section 269(2) of the Labour Code is not fully consistent with the Convention to the extent that it permits bonuses or wage supplements in kind to be negotiated and agreed upon by the employer and the worker. The Committee requests the Government to take the appropriate action in order to bring the national legislation into line with the requirements of the Convention in this respect.Article 6. Freedom of workers to dispose of their wages. The Committee notes the Government’s explanations that section 272 of the Labour Code, which enumerates the cases in which deductions without the worker’s consent may be lawfully made, suffices in itself to guarantee the workers’ freedom to spend their earnings as they please. However, as the Committee has pointed out in paragraph 178 of the abovementioned General Survey, unfair or excessive deductions from wages is only one way in which workers can be limited in their freedom to dispose of their wages and it is therefore necessary for implementing legislation to contain an express provision generally prohibiting employers from restricting the discretion of workers as to the use they wish to make of their wages. The Committee wishes to refer also to paragraph 210 of the same Survey in which it was concluded that nothing short of an explicit legislative provision setting forth a general prohibition upon employers from limiting the freedom of workers to dispose of their wages in any form and manner, directly or indirectly, can be regarded as giving full effect to the requirements of the Convention whereas other legislative measures, such as the exhaustive enumeration of authorized deductions, combined with an explicit provision to the effect that any deductions other than those explicitly permitted by law are unlawful, may be deemed to give only partial effect to the obligation laid down in this Article of the Convention. The Committee trusts that the Government will take the necessary measures to ensure that full effect is given to the terms of the Convention in this regard. Article 7. Works stores. The Committee notes the Government’s reference to section 294 of the Labour Code which allows employers to establish and operate within their enterprises commercial, welfare and cultural services, including, for instance, shops and restaurants, hairdressers, transport services, sports facilities, travel clubs and libraries. The Committee would be grateful if the Government would specify how it is ensured in law and practice that the workers are free from any coercion to make use of such stores or services and also that the goods or services are provided at fair and reasonable prices for the benefit of the workers concerned.Article 10. Assignment of wages. The Committee has been requesting the Government to clarify whether the national legislation regulates the notion of assignment of wages, that is to say, the possibility for an indebted worker to agree with the competent judicial or administrative authorities upon a voluntary arrangement whereby part of his/her wages are paid directly to the creditor in settlement of his/her debts. Even though the attachment of wages, i.e. the withholding of part of the worker’s wages by the employer in application of a court order, is permitted within the limits set out in the Code of Civil Procedure, it is not clear whether similar provisions exist for the assignment of wages. The Committee requests the Government to supply additional explanations in this regard.Article 12(2). Final settlement of all wages due. The Government’s indications on the periodicity of wage payments are not strictly relevant with this provision of the Convention which relates to the obligation to settle swiftly and in full any unpaid wages at the end of the contract of employment. The Committee is therefore bound to reiterate its request for clarification concerning the legislative provisions, if any, which regulate the prompt settlement of outstanding wage payments upon the termination of the employment relationship.Article 13(1). Payment of wages on working days only. Further to its previous comment on this point, the Committee notes that section 270(1) of the Labour Code gives only partial effect to this Article of the Convention since it requires the payment of wages at the workplace but does not specifically provide for payment on working days only. The Committee requests the Government to provide additional explanations in this regard.Article 15(d). Record keeping. With further reference to section 270(3) of the Labour Code which provides for the payment of labour remuneration from a payroll directly to the worker concerned, the Committee would be grateful if the Government would indicate any legislative or administrative provisions regulating the form and manner in which payroll records must be kept, as well as the specific wage particulars to be shown in those records. In this connection, the Committee draws attention to Paragraph 7 of Recommendation No. 85 which offers some guidance in this respect.
Repetition Article 1 of the Convention. Definition of the term “wages”. The Committee notes the Government’s statement that the term “labour remuneration” is used in the Labour Code to signify not only the basic wages but also overtime pay, and all the various allowances, such as the allowance for night work, academic credentials, linguistic skills, etc.Article 4. Partial payment of wages in kind. The Committee notes the explanations provided by the Government that the payment of wages in kind is possible only if so provided in an act of the Council of Ministers, in a collective agreement or in the labour contract. The Government indicates that existing acts of the Council of Ministers provide for different forms of additional remuneration in kind, such as warm food or special clothing, and define the type and the size of these additional in-kind payments. Recalling that the Convention requires specific provisions to ensure that the goods and products which may be offered in lieu of money are appropriate for the personal use and benefit of the worker and his/her family and that they are valued fairly, the Committee would appreciate receiving copies of acts of the Council of Ministers setting out conditions and limits for specific allowances in kind. In this connection, the Committee draws the Government’s attention to paragraphs 104–160 of its 2003 General Survey on the protection of wages, which offer guidance concerning possible ways in which legislative conformity with this Article of the Convention may be ensured.In addition, the Committee recalls that the Convention specifically requires the partial payment of wages in kind to be regulated only by national law or regulation, collective agreement or arbitration awards, and not individual agreement. It therefore considers that section 269(2) of the Labour Code is not fully consistent with the Convention to the extent that it permits bonuses or wage supplements in kind to be negotiated and agreed upon by the employer and the worker. The Committee requests the Government to take the appropriate action in order to bring the national legislation into line with the requirements of the Convention in this respect.Article 6. Freedom of workers to dispose of their wages. The Committee notes the Government’s explanations that section 272 of the Labour Code, which enumerates the cases in which deductions without the worker’s consent may be lawfully made, suffices in itself to guarantee the workers’ freedom to spend their earnings as they please. However, as the Committee has pointed out in paragraph 178 of the abovementioned General Survey, unfair or excessive deductions from wages is only one way in which workers can be limited in their freedom to dispose of their wages and it is therefore necessary for implementing legislation to contain an express provision generally prohibiting employers from restricting the discretion of workers as to the use they wish to make of their wages. The Committee wishes to refer also to paragraph 210 of the same Survey in which it was concluded that nothing short of an explicit legislative provision setting forth a general prohibition upon employers from limiting the freedom of workers to dispose of their wages in any form and manner, directly or indirectly, can be regarded as giving full effect to the requirements of the Convention whereas other legislative measures, such as the exhaustive enumeration of authorized deductions, combined with an explicit provision to the effect that any deductions other than those explicitly permitted by law are unlawful, may be deemed to give only partial effect to the obligation laid down in this Article of the Convention. The Committee trusts that the Government will take the necessary measures to ensure that full effect is given to the terms of the Convention in this regard. Article 7. Works stores. The Committee notes the Government’s reference to section 294 of the Labour Code which allows employers to establish and operate within their enterprises commercial, welfare and cultural services, including, for instance, shops and restaurants, hairdressers, transport services, sports facilities, travel clubs and libraries. The Committee would be grateful if the Government would specify how it is ensured in law and practice that the workers are free from any coercion to make use of such stores or services and also that the goods or services are provided at fair and reasonable prices for the benefit of the workers concerned.Article 10. Assignment of wages. The Committee has been requesting the Government to clarify whether the national legislation regulates the notion of assignment of wages, that is to say, the possibility for an indebted worker to agree with the competent judicial or administrative authorities upon a voluntary arrangement whereby part of his/her wages are paid directly to the creditor in settlement of his/her debts. Even though the attachment of wages, i.e. the withholding of part of the worker’s wages by the employer in application of a court order, is permitted within the limits set out in the Code of Civil Procedure, it is not clear whether similar provisions exist for the assignment of wages. The Committee requests the Government to supply additional explanations in this regard.Article 12(2). Final settlement of all wages due. The Government’s indications on the periodicity of wage payments are not strictly relevant with this provision of the Convention which relates to the obligation to settle swiftly and in full any unpaid wages at the end of the contract of employment. The Committee is therefore bound to reiterate its request for clarification concerning the legislative provisions, if any, which regulate the prompt settlement of outstanding wage payments upon the termination of the employment relationship.Article 13(1). Payment of wages on working days only. Further to its previous comment on this point, the Committee notes that section 270(1) of the Labour Code gives only partial effect to this Article of the Convention since it requires the payment of wages at the workplace but does not specifically provide for payment on working days only. The Committee requests the Government to provide additional explanations in this regard.Article 15(d). Record-keeping. With further reference to section 270(3) of the Labour Code which provides for the payment of labour remuneration from a payroll directly to the worker concerned, the Committee would be grateful if the Government would indicate any legislative or administrative provisions regulating the form and manner in which payroll records must be kept, as well as the specific wage particulars to be shown in those records. In this connection, the Committee draws attention to Paragraph 7 of Recommendation No. 85 which offers some guidance in this respect.
The Committee notes the information contained in the Government’s report and wishes to draw attention to the following points.
Article 1 of the Convention. Definition of the term “wages”. The Committee notes the Government’s statement that the term “labour remuneration” is used in the Labour Code to signify not only the basic wages but also overtime pay, and all the various allowances, such as for instance the allowance for night work, academic credentials, linguistic skills, etc.
Article 4. Partial payment of wages in kind. The Committee notes the explanations provided by the Government that the payment of wages in kind is possible only if so provided in an act of the Council of Ministers, in a collective agreement or in the labour contract. The Government indicates that existing acts of the Council of Ministers provide for different forms of additional remuneration in kind, such as warm food or special clothing, and define the type and the size of these additional in-kind payments. Recalling that the Convention requires specific provisions to ensure that the goods and products which may be offered in lieu of money are appropriate for the personal use and benefit of the worker and his/her family and that they are valued fairly, the Committee would appreciate receiving copies of acts of the Council of Ministers setting out conditions and limits for specific allowances in kind. In this connection, the Committee draws the Government’s attention to paragraphs 104–160 of its 2003 General Survey on the protection of wages, which offer guidance concerning possible ways in which legislative conformity with this Article of the Convention may be ensured.
In addition, the Committee recalls that the Convention specifically requires the partial payment of wages in kind to be regulated only by national law or regulation, collective agreement or arbitration awards, and not individual agreement. It therefore considers that section 269, paragraph 2, of the Labour Code is not fully consistent with the Convention to the extent that it permits bonuses or wage supplements in kind to be negotiated and agreed upon by the employer and the worker. The Committee requests the Government to take the appropriate action in order to bring the national legislation into line with the requirements of the Convention in this respect.
Article 6. Freedom of workers to dispose of their wages. The Committee notes the Government’s explanations that section 272 of the Labour Code, which enumerates the cases in which deductions without the worker’s consent may be lawfully made, suffices in itself to guarantee the workers’ freedom to spend their earnings as they please. However, as the Committee has pointed out in paragraph 178 of the abovementioned general survey, unfair or excessive deductions from wages is only one way in which workers can be limited in their freedom to dispose of their wages and it is therefore necessary for implementing legislation to contain an express provision generally prohibiting employers from restricting the discretion of workers as to the use they wish to make of their wages. The Committee wishes to refer also to paragraph 210 of the same survey in which it was concluded that nothing short of an explicit legislative provision setting forth a general prohibition upon employers from limiting the freedom of workers to dispose of their wages in any form and manner, directly or indirectly, can be regarded as giving full effect to the requirements of the Convention whereas other legislative measures, such as the exhaustive enumeration of authorized deductions, combined with an explicit provision to the effect that any deductions other than those explicitly permitted by law are unlawful, may be deemed to give only partial effect to the obligation laid down in this Article of the Convention. The Committee trusts that the Government will take the necessary measures to ensure that full effect is given to the terms of the Convention in this regard.
Article 7. Works stores. The Committee notes the Government’s reference to section 294 of the Labour Code which allows employers to establish and operate within their enterprises commercial, welfare and cultural services, including, for instance, shops and restaurants, hairdressers, transport services, sports facilities, travel clubs and libraries. The Committee would be grateful if the Government would specify how it is ensured in law and practice that the workers are free from any coercion to make use of such stores or services and also that the goods or services are provided at fair and reasonable prices for the benefit of the workers concerned.
Article 10. Assignment of wages. The Committee has been requesting the Government to clarify whether the national legislation regulates the notion of assignment of wages, that is to say, the possibility for an indebted worker to agree with the competent judicial or administrative authorities upon a voluntary arrangement whereby part of his/her wages are paid directly to the creditor in settlement of his/her debts. Even though the attachment of wages, i.e. the withholding of part of the worker’s wages by the employer in application of a court order, is permitted within the limits set out in the Code of Civil Procedure, it is not clear whether similar provisions exist for the assignment of wages. The Committee requests the Government to supply additional explanations in this regard.
Article 11. Protection of wage claims in bankruptcy proceedings. The Committee notes with interest the ratification by the Government of Bulgaria of Convention No. 173 in respect of both Parts II and III dealing with the protection of workers’ wage claims in case of the employer’s bankruptcy or insolvency by means of a privilege and a wage guarantee institution, respectively. In accordance with Article 3, paragraph 6, of Convention No. 173, the acceptance of the obligations of Part II involve ipso jure the termination of the obligations under Article 11 of Convention No. 95. The Committee notes also with interest the first detailed report submitted by the Government on the application of Convention No. 173 which is examined separately.
Article 12, paragraph 2. Final settlement of all wages due. The Government’s indications on the periodicity of wage payments are not strictly relevant with this provision of the Convention which relates to the obligation to settle swiftly and in full any unpaid wages at the end of the contract of employment. The Committee is therefore bound to reiterate its request for clarification concerning the legislative provisions, if any, which regulate the prompt settlement of outstanding wage payments upon the termination of the employment relationship.
Article 13, paragraph 1. Payment of wages on working days only. Further to its previous comment on this point, the Committee notes that section 270(1) of the Labour Code gives only partial effect to this Article of the Convention since it requires the payment of wages at the workplace but does not specifically provide for payment on working days only.
Article 15(d). Record-keeping. With further reference to section 270(3) of the Labour Code which provides for the payment of labour remuneration from a payroll directly to the worker concerned, the Committee would be grateful if the Government would indicate any legislative or administrative provisions regulating the form and manner in which payroll records must be kept, as well as the specific wage particulars to be shown in those records. In this connection, the Committee draws attention to Paragraph 7 of Recommendation No. 85 which offers some guidance in this respect.
The Committee notes the information supplied by the Government in response to the previous direct request. It also notes the comments made by the Confederation of Labour - Podkrepa as well as the reply given by the Government to these comments.
Article 1 of the Convention. Further to its previous comment, the Committee notes that the term "labour remuneration" is not defined in the Labour Code. The Committee recalls that the Convention, in the interest of affording the broadest possible protection to wage earners, uses the term "wage" in a generic sense so as to apply to any remuneration or earnings, however designated or calculated, thus including not only the basic wage but also other allowances and benefits payable to the worker by virtue of a written or unwritten contract of employment. The Committee requests the Government to confirm that the term "labour remuneration", as used in the Labour Code, has the same broad meaning and includes earnings or remuneration in general.
Article 4. The Committee notes with concern the Government’s indication that the payment of supplementary labour remuneration in the form of alcoholic liquors or noxious drugs is not explicitly prohibited in the Bulgarian legislation, and also that there is no specific provision calling for appropriate measures to ensure that allowances in kind are appropriate for the personal use and benefit of the worker and his/her family and that the value attributed to such allowances is fair and reasonable. The Committee hopes that the Government will take the necessary measures in the near future to ensure that full effect is given to the terms of the Convention in this respect.
Article 6. The Committee notes the Government’s statement that the principle according to which employers shall be prohibited from limiting in any manner the freedom of the worker to dispose of his/her wages has not as yet been incorporated in the Bulgarian legislation. The Committee stresses the importance of a legislative provision setting out in clear terms that it is not enough that the worker should receive the wages due but he/she must also be able to spend them as he/she chooses. The Committee hopes that the Government will not fail to take appropriate action in this respect.
Article 7. The Committee notes the Government’s indication that the question of works stores and similar services for the sale of commodities to the workers is not regulated in the Bulgarian legislation. The Committee would be grateful if the Government could provide concrete information as to the extent to which such company stores are established or services are operated, and further specify the measures taken or under consideration to guarantee that these stores are set up for the sole object of serving the interests of the workers.
Article 9. The Committee notes that, according to article 15 of the Ordinance on the conditions and procedures for carrying out intermediary activity, supplying information and placing which came into force on 1 January 1999, placement fees may be freely negotiated between the mediator and the employer but they should not be deducted from the labour remuneration of the employed person. The Committee asks the Government to supply the text of this Ordinance.
Article 10. The Committee recalls that the Convention provides for the protection of workers’ wages not only against attachment but also against assignment, and therefore asks the Government to supply information on the measures taken or contemplated to ensure the application of the Convention in this respect. The Committee points out that national legislation has to determine the proportion of the wages which shall be immune from assignment enabling workers and their families to satisfy their basic needs, and therefore suggests that the Government may wish to consider introducing an overall limit with respect to assignment of wages comparable to that established under article 341(1) of the Code of Civil Procedure with respect to attachment.
Article 11. The Committee takes note of the information supplied by the Government on this point. It also notes the observation made by the Confederation of Labour - Podkrepa to the effect that the workers’ claims constituting privileged debts, now placed at the fourth place, should be granted higher priority. The Committee further notes the Government’s clarifications regarding the current situation with respect to protection of workers’ claims in the event of the employer’s insolvency and the opposite views of employers’ and workers’ organizations concerning the advisability of ratifying Convention No. 173 or creating a guarantee institution in accordance with its terms. Finally, it notes that a task force has been set up and is now in the process of drafting new legislation on the protection of wages in case of bankruptcy or judicial liquidation of an undertaking. The Committee hopes that the Government will soon be able to resume the tripartite consultations and make progress on the above issues. It asks the Government to continue to supply information on any developments in this regard.
Article 12(2). The Committee notes that sections 270(2) and 178 of the Labour Code to which the Government refers in its report reflect only partially the requirement of the Convention for a final settlement of all wages due upon the termination of a contract of employment, to be effected in accordance with national laws or regulations, collective agreement or arbitration award or, in the absence of any applicable law, regulation, agreement or award, within a reasonable period of time having regard to the terms of the contract. The Committee asks the Government to take such measures as it considers appropriate to ensure the application of the provisions of the Convention in this respect.
Article 13(1). The Committee notes that the Government’ s report does not contain any information regarding the payment of wages on working days only, as provided for in the Convention. The Committee requests the Government to specify the legislative provision, if any, which expressly gives effect to this requirement.
Article 15(d). The Committee notes that section 270(3) of the Labour Code to which the Government refers in its report is not related to the maintenance of adequate records in an approved form and manner as set out in the Convention. The Committee asks the Government to indicate the measures it intends to take to give effect to the provisions of the Convention in this regard.
The Committee hopes that the Government will take the necessary action in the very near future in order to bring its legislation into full conformity with the provisions of the Convention. It requests the Government to communicate in its next report precise information on the measures taken and the progress made in the above-raised matters.
The Committee notes with satisfaction the repeal of Regulations No. 1 of 30 July 1991 on the conditions and procedures for the carrying out of intermediary activities in supplying information and placement. Under section 6 of the repealed Regulations, fees could be charged by the intermediary to the person seeking employment for the mediation in obtaining an employment contract - up to 25 per cent of the first monthly wage received. The issue is now regulated by a new Ordinance which came into force on 1 January 1999, section 15 of which provides that the intermediary and the employer may freely negotiate the remuneration due for the services rendered but that such remuneration cannot be deducted from the wages of the employed person.
The Committee is raising other points in a request addressed directly to the Government.
The Committee notes the Government's report as well as the Labour Code as amended most recently by Act No. 100 of 1992. It requests the Government to supply further information on the following points.
Article 1 of the Convention. The Committee asks the Government to indicate whether the term "labour remuneration" is defined in any manner for the purpose of the Labour Code. Please refer also to the question raised under Article 8 below.
Article 4. The Committee notes that section 269(2) of the Code allows the payment of bonus in kind. Please indicate the measures taken to prohibit the payment in the form of alcoholic liquor or of noxious drugs (paragraph 1), and also to ensure that such payment in kind is appropriate for the personal use and benefit of the worker and his/her family and that the value attributed to it is fair and reasonable (paragraph 2).
Article 6. Please indicate the measures taken to prohibit employers from limiting the worker's freedom to dispose of his or her wages.
Article 7. Please indicate the measures taken to ensure that workers are free from any coercion to make use of works stores or services operated by the employer (paragraph 1) and that goods and services are offered at fair and reasonable prices, or that the stores and services are not operated for profit (paragraph 2).
Articles 8 and 10. (i) Please indicate the limits of deductions from wages set out in the Code of Civil Procedures, as referred to in section 272(2) of the Code. (ii) The Committee notes the Government's indication that benefits and other payments not due to labour relations are not protected under section 272 of the Code. Recalling that the definition under Article 1 of the Convention covers any remuneration or earnings, however designated or calculated, payable in virtue of a contract of employment, the Committee requests the Government to confirm that this provision of the Code covers not only the basic wage but also other allowances and benefits paid by the employer by virtue of an employment contract. (iii) The Committee notes the Government's indication to the effect that, if the worker gives consent, deductions from wages can be made without any further restriction. It points out that Article 8(1) of the Convention provides that both the conditions and the extent of deductions from wages should be prescribed by national laws or regulations or fixed by collective agreements or arbitration awards. Please indicate steps envisaged to give effect to this provision, as the worker's consent does not make the provisions of the Article inapplicable.
Article 9. The Committee notes from the information received in the Government's 1993 report on the Convention on Placing of Seamen (No. 9), that Regulations No. 1 of 30 July 1991, on the conditions and procedures for the carrying out of intermediary activities in supplying information and placing, are applicable to all branches of economic activity, and that, under section 6 of the Regulations, fees may be charged by the intermediary to the person seeking employment for the mediation in making an employment contract - up to 25 per cent of the first wage per month received at the workplace occupied. The Committee recalls that under Article 9 any deduction from wages with a view to ensuring, among others, a payment made by a worker to any intermediary should be prohibited. It asks the Government to indicate the measures taken to give effect to this provision.
Article 11. (i) The Committee notes the Government's explanation concerning two laws, i.e. the Commercial Act (Official Gazette No. 63 of 1994) and the Act on Obligations and Contracts, both of which provide the priority of creditors in the event of insolvency, but in slightly different manners. Please indicate the respective scope of application of these two Acts. The Committee also notes that, according to the Government, the Act on Obligations and Contracts puts the claims based on labour relations in the fifth place together with claims by other persons, which is not in conformity with Article 11(2) of the Convention, and asks the Government to indicate measures taken to give full effect to this provision. (ii) The Committee notes the Government's indication that, under section 722(2) of the Commercial Act, when the funds are not enough to cover all the claims, they will be distributed among the creditors "in the order of proportionality". Please clarify what is meant by the term "in the order of proportionality". (iii) Finally, the Committee asks the Government to supply texts of the relevant provisions of the Acts mentioned above.
Article 12(2). Please indicate the measures taken to ensure the final settlement of all wages due upon the termination of an employment relation.
Article 13. Please indicate the measures taken to ensure that wages are paid on working days only.
Article 15(d). Please indicate the measures taken for the maintenance of adequate records regarding the payment of wages.