Impact Of Active Social Policies And Programs In The Period Of Active Economic Transformations In Bulgaria

This research paper is a result of several years of efforts related to the study of the social policies applied on unemployment and employment in Bulgaria and in particular a study of the impact of the National Program "From Social Assistance to Employment" of the national labor market, as the opportunities for social interpretation and reintegration of the members of vulnerable groups have been considered.

The labor market policy in the Republic of Bulgaria in the transition period and nowadays has in different extents reflected the needs of the economy. Initially developing along with the labor market, its character is mainly preventive. Later, it includes more active programs and activities targeted at adequate answers to the changes of macroeconomic environment and periods of economic development. The anti-crisis policy in the country from 2008 till now is mostly directed to the financial stability and consolidation and strongly limits the support to employment. However, as a whole the active policy has a secondary and temporary role in employment support and could not exchange the investment activities for creation of places of work. Economic development is the determining one for demand and supply on the labor market and the balance during the periods of its development. Consideration of the peculiarities in economic development and of probable impacts on the labor market is consecutively turning into an inseparable element of the development process of labor market policies. In initial periods of labor market development its policies are mainly directed to overcoming consequences of the economic reforms on employment but now the policy is of clearly expressed active character and targeted to impacts on the processes and behavioral development in target groups according to the preliminary set goals. The functional labor market in the country is an adequate mechanism of the market environment and the conducted policy is more and more accorded to the existing dependencies and interactions between economic development and labor market.

The political changes of the early 90s of the twentieth century in Bulgaria laid the foundations for a real labor market and major reforms in the hitherto existing social protection systems and the development of human capital. The transition from centrally planned to a market economy in Bulgaria is expressed in massive transformations in the ownership and structure of the national economy. In these adverse economic conditions the formation of the labor market and social protection policies went through many twists because of the inconsistent policy of frequently changing governments and their different attitude towards policies on unemployment and employment. Next years, acquiring the features of a developed market economy, the national economy get opportunities for further integration to the current global economic and social processes. At the same time the opportunities are widened for participation in the common European and global networks, schemes, different initiatives which unite efforts to overcome the economic and social problems. The latest financial and economic crisis of 2008 found Bulgaria insufficiently prepared to implement an integrated approach to the social sphere, and in particular in the development of the labor market, social protection and human resources according to changing unfavorable macroeconomic environment. In practice, applied are various measures and programs borrowed from foreign experience in an attempt to approbation on regional and national level without having made a preliminary comprehensive analysis. Current study makes a profound analyses of the characteristics of labor market development in Bulgaria and development of the active social policies in these periods of active transformations in social and economic spheres.

The paper discusses the main characteristics of the active social programs on the labor market implemented in Bulgaria in periods of active transformations. The active programs' advantages are analyzed and some important considerations on the process of assessment of their effectiveness are made putting an accent on their essence as an instrument of support to the effectively functioning labor market. The key peculiarities of implemented so far programs in the country are revealed. Main conclusions focus on the effects of the active social policies for social and economic development.

The paper discusses the development of social policies in the Republic of Bulgaria. Employment policies and measures are examined in connection to the national governmental policies and in conditions of some major changes in economic and social life in the transition to a market economy and joining the EU. Active social policy is characterized in its different aspects, as well as different approaches on employment and unemployment regarding labor force and in comparison to the passive policies. The lessons learnt during preparation, organization and implementation of the programs and measures of labor market policy are a valuable experience on which basis conclusions are made about the functioning of labor market and the link to social and economic development, as well as priorities of future development are set.

Unfavorable negative demographic trends in the country leading to processes of decreasing and aging of labor resources, sustainably unbalanced character of labor market, characterized by high unemployment and low labor demand, the availability of vulnerable groups and significant regional discrepancies in labor market development are among the most serious challenges before the country in the XXI century. Among the macroeconomic policies and means a significant place is rendered to the so-called active programs and measures on the labor market which are an object of increasing attention not only because the expectations of tangible effects but also because comparatively significant financial resources necessary for their implementation. Furthermore, the problem of effective spending of resources gains bigger sharpness in the current situation of limited social expenses in the country and poses questions to the effectiveness of the implementation of different programs and control. Current study examines information about active programs for labor employment, makes analyses of existing good practices and determines main preferences of unemployed persons in capable of working age taking monthly social support towards transformation of social support into incomes from labor, as well as the attitude of the main institutional departments conducting the state social policy in the field of employment and unemployment and the attitude of the non-governmental organizations towards the program and their readiness for distributing the functions between state, municipalities and non-governmental organizations in implementation and financing of the program, probable problems and conflict points.

Current paper presents challenges to development of labor market and social policies in transition periods through the example the transition from planned to market economy in the Republic of Bulgaria. Some important implications are made about passive and active social programs as a whole and in particular about advantages and disadvantages of national social programs targeted to overcoming social marginalization. The specific example of the National program “From social support to employment” is discussed as a good practice in the attempts to conduct an active social policy addressing to some extent education and qualification problems and providing useful recommendations for future development of social policies in the country, organization and implementation of social programs and measures on different levels and assessments of their effectives.

The subject of study of this paper is in the need to introduce social management, based on the requirements for economy, efficiency and effectiveness, transparency and adequate social responsibility, the formation of a functioning active labor market through ongoing active social policy and implementation of effective social programs, relevant to the changes in the social environment. The object of the scientific research is social programming, social activity and social adaptation as a basis of active social policy and effective social management in a dynamic social environment. The aim of the studies in this paper is the creation and verification of a theory of active social policies for a working active labor market, which should serve as a basis for the practical implementation of the system for effective social management in the dynamically changing social environment.

The transformations in the labor market, social security, social assistance and human resources development as well as the relations between different public systems are issues of special consideration in recent years because of the dynamic changes in economic and social environment in conditions of all embracing globalization processes influencing as never before European countries and regions. The characteristics of labor market development in different countries provide valuable implications about future development and policy building. Through the peculiar example of the Republic of Bulgaria the study presented in the paper outlines the importance of the active policies for building a functioning labor market. The factors of unemployment and economic growth in the country are further examined leading to conclusions about the need of flexibility and adequate and timely policies of labor market and economic development.

This book discusses the issues of economic, political and social transformation in post-1989 Bulgaria. Its main aim is to assess realities in the country in the context of changes in Eastern Europe.