Bulgaria's Hotel Sector Faces Workforce Shortages and High Taxes Ahead of 2025 Season
Veselin Danev, chairman of the Bulgarian Hotel Association, highlighted a major issue in Bulgaria’s tourism sector: a significant decline in the workforce
Tourism in Bulgaria experienced a notable loss in its workforce during the peak summer season. Official figures from the National Statistical Institute (NSI) show that the sector shed 11.5% of its employees, while the overall economy saw a smaller decrease of 1% compared to the previous quarter. This decline in tourism employment occurred despite the sector being one of the fastest-growing in terms of salary increases, with the average gross wage rising by 18.2% year-on-year to BGN 1,495, the lowest average among industries.
Despite the workforce reduction, tourism's financial performance showed positive signs. In September, revenue from overnight stays grew by 14.8% year-on-year, reaching BGN 249.7 million. Of this, foreign tourists contributed BGN 157.1 million. When compared to pre-pandemic September 2019, however, revenues from foreign tourists were slightly lower, as they totaled BGN 166.7 million, with inflation having increased in the meantime.
The occupancy rate of hotel beds also rose, reaching 34.1% in September, an increase of 2.4 percentage points from the previous year. Luxury hotels, particularly 4- and 5-star accommodations, saw the highest occupancy at 44.9%, catering mostly to foreign visitors. The total number of overnight stays grew by 1.4%, driven by a 2.6% increase in foreign guest stays, while stays by Bulgarians rose by 0.4%.
According to Georgi Duchev, executive director of the Bulgarian Association of Hotel Management Professionals, one-third of Bulgarian hoteliers are planning a modest price increase of about 10%
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