The latest market survey from the Employment Agency indicates a persistent high demand for labor in Bulgaria, both in the short and long term. However, the need for workers varies significantly across different sectors and professions. Construction workers have surged to the forefront, replacing machine operators, while the tourism sector shows a decline in demand. Additionally, there is a notable increase in the need for teachers in higher education, contrasting with a reduced demand for healthcare workers. The ongoing shortage of staff underlines the pressing need for reforms in education and labor market policies to tackle these structural challenges.
According to the survey responses from employers, the challenges associated with hiring new employees are intensifying. In 2024, 66.7% of employers reported difficulties in recruitment, a slight increase from 64% in the previous year. The primary reason for these challenges remains the inadequate qualifications, education, and skills among available candidates, as noted by 43% of employers. Furthermore, the shortage of individuals of working age is becoming increasingly critical; 16% of employers reported having no available candidates, and an additional 12% cited a lack of applicants for specific open positions. It’s important to highlight that these issues pertain only to the 14% of companies actively seeking new hires, while the remainder do not view expanding their workforce as feasible or necessary.
The immediate demand for labor in various sectors is also undergoing considerable transformation. While industry accounts for 36% of the total demand of 212,000 workers, the construction sector now ranks second at 21%, overtaking trade, transport, and tourism, which collectively account for 20%. These shifts reflect both the normalization of the labor market following the COVID-19 pandemic and the recovery of tourism to pre-crisis levels, alongside the continued growth in the construction sector. Public administration, education, and healthcare also feature prominently, primarily due to the needs of schools and hospitals.
Analyzing the demand for professionals reveals significant shifts in specific roles. The anticipated shortage of construction workers in 2024 is projected to be nearly 23,000, a substantial rise from 8,300 a year earlier. There is also a marked increase in the demand for construction technicians, which has surged from 1,200 to 5,100 positions. Conversely, the shortage of cooks, waiters, and bartenders is gradually declining, likely attributed to a rapid increase in employment within the hospitality sector, bolstered by the influx of foreign workers.
In the industrial sector, trends are mixed; the shortage of machine operators has decreased by almost 5,000, bringing the total to 9,600. However, demand for locksmiths (3,900) and welders (3,400) continues to grow. Overall, the labor demand can be divided into two categories: roles with a shortage of qualified specialists and those where compensation is uncompetitive compared to both national and EU labor markets. This discrepancy is particularly evident in professions related to the sewing industry, as well as in tourism and construction.
Furthermore, there is a significant shift in the demand for higher-educated personnel over the next 12 months. Teachers are now at the top of the list, with a shortage of 6,500 positions, representing an increase of more than 2,000 from the previous year. This trend raises concerns about the effectiveness of recent teacher pay reforms and suggests that additional measures are needed. In healthcare, a contraction is anticipated with a drop in demand for nurses (3,600) and doctors (2,000). The discrepancies between educational majors and labor market needs, coupled with poor working conditions and salaries in some professions, particularly nursing, contribute to this situation.
Regionally, labor demand is recovering from previous anomalies and generally aligns with the structure of the labor market. The capital city leads with a demand for 47,000 workers, followed by Varna (29,000), Plovdiv (23,000), and Burgas (22,000). The demand profile varies significantly across regions, with tourism, trade, and transport being dominant in many areas, while construction is prominent in Burgas and Sofia. The need for personnel in education and healthcare is relatively evenly distributed.