Bulgarian Industrial Association Survey Suggests Lack of Skilled Labour Is Biggest Issue for Businesses

Bulgarian Industrial Association Survey Suggests Lack of Skilled Labour Is Biggest Issue for Businesses

December 16 (BTA) Nearly 70 per cent of surveyed
entrepreneurs consider the lack of skilled labor as the biggest
obstacle in their work, said Bulgarian Industrial Association
(BIA) Chairman Radosvet Radev at a BTA press conference. He
presented the annual survey among BIA members on the business
climate over the past year and expectations for 2020. The survey
 was conducted between November 10 and December 10 among 792
company managers.

One of the main obstacles to business development, according to
68.2 per cent of the respondents, is the lack of skilled labor,
with a the most significant shortage being that of specialists
and executive staff (the most common deficits in the workforce
are in the field of management, professional and
technical/technological skills). For 60.2 per cent the biggest
obstacle is bureaucracy and for 59.1 per cent it is corruption.

About 18 per cent said that the business climate has improved,
which indicates cautious optimism about the economic environment
 compared to the previous year, said Radosvet Radev.

Among the proposals for regulatory changes during the year, the
proposal for eliminating the obligation of employers to pay the
first three days of their employees' sick leave has the highest
approval (80 per cent). About 63 per cent of respondents
encourage the facilitation of procedures for attracting
third-country workers. In terms of Bulgaria's accession to the
Eurozone, there is a serious fluctuation in the business
environment: 41 per cent support it, 39 per cent oppose it, and
20 per cent find it difficult to judge the pros and cons of such
 a move.

The data breach at the National Revenue Agency this summer did
not cause difficulties in the direct work of companies, but
created serious skepticism regarding the ability of public
institutions to store sensitive data, shows the study.
Businesses value access to credit and access to justice in 2019
is less than in the previous year.

The Presidential Institution and the Ombudsman are the highest
rated institutions and the judiciary and the National Assembly
are the lowest rated ones.

According to the study, the total amount of overdue receivables
decreased from the previous year from 82 per cent to 61 per
cent, with a serious increase in overdue receivables from
counterparties (33 per cent in 2019 compared to 11 per cent in

Businesses expect some stagnation in 2020, Radev noted, as 
energy prices, commodity prices, inflation, fiscal and
regulatory burdens are expected to rise in the next year.
Compared to last year's survey, the job growth forecast is
significantly more moderate (28 per cent, down from 36 per cent
the previous year). RY/DT



Source: Sofia