Bulgaria's main employers' organisation has urged the government to end the practice of granting extra days off when public holidays fall on weekends, warning the policy costs the economy hundreds of millions of euros annually.

The Association of Industrial Capital in Bulgaria (AIKB) estimates each additional non-working day reduces national output by between €90 million and €120 million. With three compensatory days already scheduled for 2026, the annual cost could reach €360 million. These are the employers' own calculations, based on distributing GDP across roughly 250 working days, rather than independently verified government figures.

How the System Works

Bulgaria observes 12 official public holidays each year. Since 2017, when a holiday falls on a Saturday or Sunday, the following Monday is automatically declared a non-working day. This practice of compensating weekend holidays with extra weekdays off is not universal across the EU, and the ongoing debate in Bulgaria reflects tensions over balancing cultural expectations with economic performance.

In 2026, three such compensatory days will be added: 25 May (Bulgaria's Education and Culture Day), 7 September (Unification Day), and 28 December (the day after Christmas) all fall on Sundays. The AIKB says this pattern means Bulgaria will have roughly five fewer working days in 2026 than in previous years, equivalent to losing a full working week.

The Economic Argument

Dobrin Ivanov, the association's executive director, told Bulgarian National Radio the cost estimates are approximate but illustrate a broader point about lost productivity. The precise economic impact of extended holidays is difficult to quantify and remains subject to debate, particularly since the figures come from business groups rather than independent economists.

The organisation argues Bulgaria's low labour productivity compared to Western Europe makes the loss more acute. According to AIKB's analysis, a Bulgarian worker produces roughly four times less economic value than a German worker over the same period, though this reflects broader structural challenges in capital investment, technology adoption, and workforce skills rather than simply hours worked.

Industry accounts for 27 to 28 per cent of Bulgaria's GDP, the employers note, while tourism represents about 8 per cent. Although extended weekends can boost tourism revenue, AIKB says the overall economic impact is negative when industrial output is reduced.

Political Opposition

The employers' group also opposes a separate proposal to make 20 April an official public holiday, marking the April Uprising of 1876 against Ottoman rule. While acknowledging the historical significance, AIKB cautioned that Bulgaria faces complex choices in balancing cultural commemoration with economic pressures. The organisation argues that higher incomes ultimately depend on productivity rather than fewer working days, though this position inevitably carries political sensitivity given the cultural importance of such commemorations.

A previous attempt to end weekend holiday compensation was made by the Democratic Bulgaria party in the former National Assembly. The proposal cited concerns over budget deficits and public spending, but was rejected during tripartite discussions between government, employers, and trade unions.

What This Means for British Readers

The debate has practical implications for British companies operating in Bulgaria or considering investment. Production schedules, delivery timelines, and workforce availability can all be affected by the country's holiday calendar, and the pattern of extended weekends differs markedly from UK practice.

In Britain, some public holidays are moved when they fall on weekends (such as bank holidays), but there is no systematic policy of compensating every weekend holiday with additional weekdays off. For UK businesses with Bulgarian operations or supply chains, the five-day reduction in 2026 represents a material difference in available working time compared to British counterparts.

British residents in Bulgaria should also note that the extended holiday periods can affect the availability of government services, banking, and some commercial operations, particularly during long weekends.

The policy introduced in 2017 remains in place. Whether employers' renewed pressure will lead to legislative change remains unclear, particularly given the political sensitivity of reducing what many workers now regard as an established benefit.