No Need to Re-Sign Contracts: What Bulgaria’s Euro Switch Means for Your Salary

The upcoming introduction of the euro in Bulgaria does not require employees to re-sign their employment contracts, Deputy Minister of Labor and Social Policy Natalia Efremova clarified in an interview with Bulgarian National Radio. She cautioned that if an employer insists on signing a new contract, it could signal other changes in contract terms and advised workers to be careful in such cases.

Efremova emphasized that contracts originally signed in leva will remain valid even after the currency switch. There is no need for employees to change their bank accounts for salary payments, as all transfers will be automatically converted to euros. She explained that starting January, workers will receive their salaries in euros, though cash payments might still be made in leva during that month.

Pensions, salaries, social benefits, and compensations will keep their current amounts without any reductions. According to the Euro Law, currency conversion rounding, based on the fixed rate set by the Bulgarian National Bank (BNB), is designed to protect consumers.

From July, pensioners will be informed about the euro equivalent of their pensions by the National Social Insurance Institute. Efremova reassured that no new bank accounts will be required or opened as part of the transition.

Source: BNR interview