Bulgaria's Informal Employment Rate Stands Out as One of the Lowest in Europe

Informal employment, which refers to work without formal contracts or social benefits, is a widespread issue globally. The International Labor Organization (ILO) estimates that 58% of the world's workforce is engaged in such informal labor. This figure highlights the prevalence of non-contracted work across various sectors.

In Europe and Central Asia, about 20% of workers are involved in informal employment. Although this percentage is relatively lower compared to other regions, a notable number of workers in these areas still lack formal employment agreements.

Among European Union countries, Hungary and Poland report the highest levels of informal employment, with rates of 17.8% and 9.8% respectively. In contrast, many EU member states exhibit much lower levels of informal employment, with one-third of the countries showing rates below 2%. Malta has the lowest level at just 0.7%, followed by Slovenia and Belgium with 1% each. Bulgaria is also among the top three countries with the lowest informal employment rate, recording 1.3% of the workforce.

In comparison, Greece and Moldova have significantly higher informal employment rates, at 56% and 52% respectively. Turkey, particularly notable for its high informal employment rate, reports a rate of 27%. Professor Aziz Çelik of Kocaeli notes that in Turkey, the employment in the informal sector is considerably higher compared to the European average.

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