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Reinstatement After Wrongful Dismissal in Bulgaria — Rights & Procedure

Published: March 27, 2026 | Last updated: March 27, 2026

Wrongful dismissal is one of the most common employment law violations in Bulgaria. If your termination order was issued in breach of the Labour Code, you have the right to file up to four separate claims before the court: annulment of the dismissal, reinstatement to your position, compensation of up to 6 gross salaries, and correction of the recorded grounds for dismissal. The deadline for filing is 2 months from the date you received the termination order, and the employee is exempt from court fees and costs.

What you will learn in this article

  • When a dismissal is considered unlawful under the Bulgarian Labour Code
  • The four claims available under Art. 344 LC
  • The 2-month deadline for challenging dismissal and when it starts running
  • The step-by-step procedure from filing to reinstatement
  • How compensation under Art. 225 LC is calculated
  • Your obligations if the court reinstates you
  • Answers to 8 frequently asked questions

When is a dismissal unlawful?

A dismissal is unlawful when it is carried out in violation of the substantive or procedural rules of the Labour Code. The main grounds for unlawfulness include:

Procedural violations

  • Lack of reasoning in the termination order — The order must clearly state the legal grounds and factual reasons. Vague, contradictory, or missing reasoning renders the dismissal unlawful.
  • Improper service — The termination order must be properly served on the employee. Improper service (e.g., without witnesses when the employee refuses to accept) makes the dismissal challengeable.
  • Lack of prior consent — For certain protected categories of employees (pregnant women, mothers of children under 3, employees with reduced capacity, trade union officials, etc.), dismissal requires prior authorisation from the Labour Inspectorate (Art. 333 LC). Dismissal without such authorisation is unlawful.

Substantive violations

  • Non-existent or incorrect grounds — The employer cited grounds that do not correspond to reality (e.g., “staff redundancy” when the position continues to exist).
  • Selection procedure in breach of Art. 329 LC — In redundancy situations, the employer must conduct a selection procedure. If the selection is fictitious, unmotivated, or not conducted at all, the dismissal is unlawful.
  • Disciplinary dismissal without following Art. 193 LC procedure — The employer must hear the employee and accept written explanations before imposing a disciplinary sanction. Violation of this procedure is an independent ground for annulment.

Protection under Art. 333 LC

Certain categories of employees enjoy prior protection against dismissal. The employer must obtain prior authorisation from the Labour Inspectorate and/or an opinion from the medical expert committee (TELK) before terminating the employment contract. This protection covers pregnant women, mothers of children under 3, employees with reduced work capacity, employees with certain diseases, trade union officials, and employees on leave (for certain dismissal grounds).

The four claims under Art. 344 LC

Art. 344(1) of the Labour Code grants the employee four independent claims, which may be filed separately or together in a single statement of claim:

Claim 1: Annulment of the dismissal (Art. 344(1)(1) LC)

The claim for recognition of the dismissal as unlawful and its annulment is the primary and most important claim. Success on this claim is a prerequisite for the remaining three.

Claim 2: Reinstatement to previous position (Art. 344(1)(2) LC)

With this claim, the employee asks the court to reinstate them to the position held before the dismissal. If this claim is not filed, the employee will not be reinstated even if the dismissal is declared unlawful. Reinstatement does not occur automatically — the employee must appear before the employer within 2 weeks of receiving the court notification (Art. 345(1) LC).

Claim 3: Compensation for unemployment (Art. 344(1)(3) LC)

The claim for compensation under Art. 225(1) LC covers the material damages suffered due to the unlawful dismissal. Compensation equals the gross salary for the period the employee remained unemployed, but for no more than 6 months. If the employee took a lower-paying job in the meantime, compensation covers the salary difference.

Claim 4: Correction of dismissal grounds (Art. 344(1)(4) LC)

This claim applies when the employee does not contest the dismissal itself but is dissatisfied with the stated grounds in the order or employment book. For example, if “disciplinary dismissal” was recorded instead of “by mutual consent.”

Challenging deadline — 2 months (Art. 358 LC)

Under Art. 358(1)(2) of the Labour Code, claims under Art. 344(1) LC must be filed within 2 months from the date of termination of the employment relationship. This is a preclusive deadline — once it expires, the right to sue is extinguished.

When does the deadline start?

The deadline runs from the date the termination order was served on the employee. If served by registered mail, it is the date of receipt. If the employee refuses to accept the order, the employer must certify the refusal with the signatures of two witnesses, and the order is deemed served from that moment.

What if you miss the deadline?

Missing the 2-month deadline means the court will dismiss the claim as inadmissible. Restoration of the deadline is possible only in exceptional circumstances (e.g., serious illness that made it impossible to file).

Step-by-step procedure

Step 1: Gather documents

Before filing, secure: the termination order (original or certified copy), employment contract and addenda, employment book, job description, payslips for the last 6 months, correspondence related to the dismissal, and medical documents (if protected under Art. 333 LC).

Step 2: File the statement of claim

The statement is filed with the district court at the employer’s registered office or the employee’s habitual place of work (Art. 114(1) of the Civil Procedure Code). The employee does not owe court fees for employment disputes (Art. 83(1)(1) CPC).

Step 3: Court proceedings

The case follows the general adversarial procedure. Usually 2–3 hearings are scheduled. The employer bears the burden of proof that the dismissal was lawful. Average duration at first instance: 6–12 months.

Step 4: Appeal

The district court’s decision may be appealed before the regional court within 2 weeks. The appellate proceedings typically last 3–6 months. Cassation appeal before the Supreme Court of Cassation is possible under certain conditions.

Step 5: Appear before the employer

After the reinstatement decision enters into force, the district court must notify the employee. Within 2 weeks of receiving the notification, the employee must personally appear before the employer and declare their intention to resume the position (Art. 345(1) LC). A single appearance suffices.

Compensation up to 6 salaries (Art. 225 LC)

How is it calculated?

Compensation equals the gross salary for the period the employee remained unemployed, but for no more than 6 months. The base is the last monthly gross salary, including basic pay and permanent additional payments (for length of service, night work, etc.).

Example calculation

If the last gross monthly salary was EUR 1,200 and the employee was unemployed for 5 months: EUR 1,200 × 5 = EUR 6,000.

If unemployed for more than 6 months, the maximum is: EUR 1,200 × 6 = EUR 7,200.

If you took a lower-paying job

Compensation covers the difference between the previous and new gross salary for up to 6 months (Art. 225(2) LC).

Compensation for non-admission (Art. 225(3) LC)

If the employer refuses to admit the reinstated employee to work, the employee is entitled to compensation equal to the gross salary from the day of appearance until actual admission. This type of compensation has no upper limit.

What to do if you are reinstated

Appear within two weeks

Per Art. 345(1) LC and Interpretive Decision No. 3/02.12.2021 of the SCC (case No. 3/2019), the 2-week deadline runs from the date of receiving the court notification. It is irrelevant whether the employee learned about the decision earlier.

Employer’s obligations

The employer must immediately admit the employee to work. Even if the position has been eliminated in the meantime, the employer must still reinstate the employee. If the position no longer exists, the employer must terminate anew on “staff redundancy” grounds, following all legal requirements.

Insurance contributions

The period from the unlawful dismissal to reinstatement is recognised as insurable service. The employer owes social security contributions for the entire period, calculated on the last gross salary.

Frequently asked questions

Can I challenge the dismissal if I have already found a new job?
Yes. Finding new employment does not deprive you of the right to challenge the unlawful dismissal. You may file for annulment and compensation even if you do not seek reinstatement.
What happens if the employer refuses to admit me after the court decision?
The employer owes compensation under Art. 225(3) LC equal to your gross salary for every day from your appearance until actual admission. The employer also faces administrative sanctions from the Labour Inspectorate.
Am I obligated to return to my old job if I win the case?
No. Reinstatement is your right, not your obligation. If you do not wish to return, simply do not appear before the employer within the 2-week period.
How long does a wrongful dismissal case take?
On average, 6 to 18 months depending on complexity and court workload. First instance (district court): 6–12 months. Appeal: 3–6 months. Cassation: an additional 6–12 months.
Do I need a lawyer?
Legal representation is not mandatory, but it is strongly recommended. Procedural errors (such as missing the deadline or imprecisely formulating the claim) can be fatal to the outcome.
What happens to my employment book during the case?
The employer must hand over the employment book upon termination. If you win and are reinstated, the employer must delete the dismissal entry and record the correct information.
Can I claim non-pecuniary damages (stress, anxiety)?
Compensation under Art. 225 LC covers only pecuniary damages. For non-pecuniary damages, you may file a separate claim under Art. 45 of the Obligations and Contracts Act (OCA), but the burden of proof is higher and court practice is restrictive.
What if my position has been eliminated?
The employer must reinstate you even if the position was eliminated. After reinstatement, the employer may again terminate your contract on “staff redundancy” grounds, but must follow all legal requirements — notice, selection procedure, Art. 333 LC protection check.

When is legal assistance necessary?

Challenging a wrongful dismissal requires precision in deadlines and evidence. If you have been dismissed and believe it was unlawful, do not wait — the 2-month deadline runs from the date you received the termination order.

Our team can assist you with analysis of the dismissal’s lawfulness, preparation and filing of the statement of claim, court representation, and evidence gathering.

This article is prepared for informational purposes and does not constitute legal advice. For specific legal advice tailored to your situation, please consult a lawyer.

Need assistance?

The Innovires team can assist you with wrongful dismissal claims — from initial assessment to court representation.