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15/04/2020

After a detailed analysis of the situation of the cross-border regions in Bulgaria, the demographic situation is unfavorable and with a tendency to worsen. Crisis demographic trends are directly affecting the labor market and economic development of the region, posing a threat, mainly due to the reduction of labor force, aging population, outflow of young people, increased migration of young and highly educated people, depopulation of the regions and the continued decline in economic activity.

The regions in the cross-border region have adequate natural resources and are characterized by rich and diverse nature, fertile soils and favorable climatic conditions. All this contributes to the development of agriculture, which is also a structural economic activity for the districts of Silistra, Dobrich and Rousse. The richness of natural resources, developed agriculture, favorable geographical location, transport links of international importance are prerequisites for the development of manufacturing, transport, tourism and construction, which are priority directions in the region. About 70% of the surveyed companies indicate that their business has not changed or grown.

This trend is confronted with the demographic crisis and the sharp shortage of skilled labor in the labor market. The local labor market is characterized by a decrease in unemployment and an increase in employment. The key problem is the imbalance between labor supply and demand. Every second employer has significant difficulties in securing a workforce, and one in three states that this is the most serious obstacle to further business expansion. Almost 50% of the announced vacancies of 147 in employment services remain vacant. This problem is compounded by the prevailing cyclical (seasonal) nature of work in the tourism, agriculture and manufacturing sectors. The most serious is the shortage of skilled workers, technicians and specialists with secondary education and support staff.

Despite this problem, admission to vocational high schools in the region continues to decline. The network of vocational high schools does not meet the needs of staff for the local economy. Hiring a cross-border mobile workforce as an opportunity to solve labor market problems is underestimated by half of employers in the region. Traditional approaches such as interaction with employment services, company training and development and the provision of specific remuneration are preferred.