Negotiation of Social Security Floors: Problems and Possible Solutions
Negotiation of Social Security Floors: Problems and Possible Solutions

Summary/Abstract: This paper examines the process of negotiating social security floors (SSF) in Bulgaria and analyzes its problems. The focus is placed on finding the adequate balance between the role of SSF to accumulate sufficient means in the social funds and the impact of these floors on employment. Five different systems of SSF are presented aimed at offering specific rules for their change over time. These rules ensure the lack of motivation for informal practices and for reduction of employment, and at the same time meet the need for adequate revenues for the social funds. All five systems are based on sound economic arguments, they are practically oriented and are easy to use. They may be used separately or together – in combination.

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