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The Level and Structure of Remunerations in the Armed Forces as Factors for the Competitiveness of the Army on the Labour Market


  • Dimitar Kanev


Analyzed are the level and structure of remunerations in the armed forces and their reflection on the competitiveness of the Bulgarian army on the labour market. On this basis is revealed that despite the relatively high social costs on maintenance of military men an obstacle in front of the attractiveness of the military profession are the detachment of remunerations from personal needs and labour market condition, the rather big share of non-financial and postponed benefits, the underestimation of a number of the proposed compensations. The resolution of this situation is in providing: flexible incentives for joining service and resumption of service contracts; broad possibilities for qualification, transforming the military service from a substitute to a key for realization of educational ambitions of young people; monetizing of some of the benefits and proposing the rest in packages which ensure for equal access and choice possibilities for military men.

Suggested Citation

  • Dimitar Kanev, 2008. "The Level and Structure of Remunerations in the Armed Forces as Factors for the Competitiveness of the Army on the Labour Market," Economic Thought journal, Bulgarian Academy of Sciences - Economic Research Institute, issue 4, pages 32-48.
  • Handle: RePEc:bas:econth:y:2008:i:4:p:32-48

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    References listed on IDEAS

    1. Saul Pleeter & John T. Warner, 2001. "The Personal Discount Rate: Evidence from Military Downsizing Programs," American Economic Review, American Economic Association, vol. 91(1), pages 33-53, March.
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    JEL classification:

    • H56 - Public Economics - - National Government Expenditures and Related Policies - - - National Security and War
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • J33 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Compensation Packages; Payment Methods
    • J45 - Labor and Demographic Economics - - Particular Labor Markets - - - Public Sector Labor Markets


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