An amendment to the Bulgarian Commercial Code has been proposed that would give employees the right to submit a claim as a priority creditor if their company files for bankruptcy.
Current legal provisions allow bankruptcy proceedings to be initiated by debtors, creditors, liquidators or the National Revenue Agency. In 2011, the Labour Ministry issued around 2300 citations for unpaid salaries and there have been a number of high-profile cases of major delays in meeting outstanding salary obligations by Bulgarian companies in liquidation.
The proposal is currently open for public consultation prior to its approval by the Cabinet and submission to the national Parliament.