Actions are being taken to significantly reduce the cost of remuneration of the management and control bodies of the companies under the Ministry of Economy and Industry
In order to turn around the operations and improve the efficiency of the Ministry of Economy and Industry’s (MEI) public enterprises, an analysis was carried out on their financial situation, including the remuneration received by all employees.
On the basis of the information provided, it was found that despite the numerous management problems identified, the management bodies receive extremely high remuneration (over BGN 12 thousand per month), regardless of the financial situation and the results achieved by the enterprises.
With a view to the appropriate use of funds and given the opportunity provided in the Public Enterprises Act and the Implementing Rules of the Public Enterprises Act (PPZPP), the Ministry of Economy and Industry is significantly reducing the remuneration of the management and control bodies of the companies under the Ministry of Economy and Industry. In addition to remuneration, the amounts for representation expenses and how they are spent will be limited.
In some of the public undertakings, inspections by the competent authorities are ongoing. Upon completion of each inspection, immediate action will be taken to remedy the violations and remediate the company concerned.
The resolution and restructuring programme for public enterprises will go through several stages and is expected to be completed by the end of 2023. The first stage starts with cost containment and unduly spending. Second is ensuring management capacity in companies. An updated business programme for the period 2024—2026 is also being prepared, as well as the establishment and implementation of a monitoring and control system.