The average gross teacher wage will be raised by 15.4% y/y to BGN1,500 (EUR768) in 2020, as well as by another 20.0% y/y to BGN1,800 in 2020, education minister Krasimir Vulchev announced, quoted by local media. We note that the teacher wages were hiked by 20% as of Jan 1, 2019 to reach BGN1,300. Accordingly, the budgetary allocations in the education sector to cover the teacher wage spending will rise by BGN360m to approximately BGN4.6bn in 2020. In 2021, the government expenditure on wages will be further upped by BGN720m to reach some BGN5.3bn, according to preliminary calculations.
The consecutive increases in the wages in the education sector aim to address the serious shortages of teachers in the secondary education and to improve education quality. In 2017, the GERB-United Patriots’ government set as a priority the two-fold increase of the teacher wages by the end of its mandate in 2021.