Following a request from the Bulgarian Minister of Labour, a group of specialists from the Team and the ILO's Social Security Department visited Bulgaria for the second half of October to analyse the government's draft of its White Paper on social security reform. The group consisted of Roger Beattie and Albrecht Otting of SEC/SOC and Michael Cichon of CEET.

The Bulgarian pension and short-term benefit system is facing radical change. There will soon be an independent body governed by a tripartite board, which will have to cope with escalating benefit costs and the consequences of widespread poverty. Action is needed to consolidate the system and put it in a financial state that allows adequate benefits . In its discussions with the government, trade unions and employer organisations, the group mapped out the difficult choices that will have to be made. Above all, the extremely high demographic burden must be addressed and pensions aligned with labour market policies. Presently, a large number of pensioners receive very low pensions, breeding old age poverty. Solutions will not be easy, and the ILO will continue to be available to assist in the search for fair social compromises. MC.