Title:

Create an HR plan for blue line subsidiary

Contents
Title:.................................................................................................................................................1

Create an HR plan for blue line subsidiary......................................................................................1

Executive Summary.........................................................................................................................2

Hiring and Promotion......................................................................................................................2

Recruiting and Promoting Process...................................................................................................2

Gender and Sexual Orientation........................................................................................................3

Suggested Policy on Child Labor....................................................................................................3

Working Condition..........................................................................................................................4

Worker Pay......................................................................................................................................4

Hours of Work.................................................................................................................................4

Health and Safety.............................................................................................................................5

Organizational Structure and Leadership Style...............................................................................5

Organizational Structure..................................................................................................................5

Leadership Style..............................................................................................................................6

Targets, Motivation, and Appraisal Styles......................................................................................6

Conclusion.......................................................................................................................................7

References........................................................................................................................................7
Executive Summary
In light of the fact that Blue Line Hockey Sticks is going to set up a subsidiary in Bulgaria as part
of its international expansion, the purpose of the report that is currently in the works is to make
some suggestions for the company. The suggestions that have been provided relate to the hiring
and promotion, working conditions, organizational structure, and leadership style of Blue Line
Hockey Sticks in Bulgaria. Additionally, these recommendations concern the country as a whole.
By adhering to these standards, Blue Line Hockey Sticks would be able to maintain its integrity
and reputation while also respecting Bulgaria's traditions and culture and taking the company's
financial objectives into consideration.

Hiring and Promotion

Recruiting and Promoting Process

The Blue Line Hockey Sticks is committed to providing equal employment opportunities
worldwide. The firm must respect the norms and values of the Bulgarian community while
actively working to eliminate discrimination of any kind. Family life plays a central role in
Bulgarian society. In Bulgaria, relationships are highly valued. They take protecting their
heritage very seriously and are very sensitive to any slights against it. Competence and
responsibility in the workplace and the community are two of Bulgaria's most important criteria
for hiring. A hard worker with relevant experience stands a better chance of being promoted in
Bulgaria.

The Bulgarian Employment Agency also coordinates financial aid and incentives for residents of
the country. Employees are placed into different incentive groups based on their age, job title,
and accessibility needs (HR.org, n.d.). The Blue Line Hockey Sticks must also follow the
guidelines of the NEP in Bulgaria. Terziev and Ivanov argue that it can help boost employment
rates in Bulgaria by encouraging more people to enter the labor force. This is achieved by
offering financial incentives to workers or reducing their tax burden (2020).

Gender and Sexual Orientation

In 2007, Bulgaria joined the European Union. To be an EU member, a company must follow a
number of regulations concerning the hiring of people who identify with the LGBTQ+
community (FRA, 2015). That being said, the discrimination against the LGBTQ+ community
is still rampant, and they continue to encounter severe barriers to finding employment in
Bulgaria. The country had already banned any types of discrimination on gender identity and
sexual orientation. The Bulgarian government also supports the rights of the LGBTQ+
community by implementing the Protection Against Discrimination Act (PADA). According to
the Republic of Bulgaria (2004), it forbids all forms of discrimination, and it lays out the rules
for regulatory penalties and fines for transgressing those rules. PADA monitors employers'
adherence to regulations. Accordingly, the Blue Line Hockey Sticks must abide the rules
mandated by the European Union Fundamental Right as well as the Protection Against
Discrimination Act that prohibit discrimination against LGBTQ+ people and members of other
gender-based minorities.

Suggested Policy on Child Labor

The Bulgarian Labor Code mandates that workers must be 16 years old to be employed and must
be 18 years old to perform hazardous labour (Ruskov, n.d.). Despite the regulations mandated by
the Labor Code and the Child Protection Act, there are still some sectors of the Bulgarian
economy where minors are exploited and abused. According to the Bureau of International Labor
Affairs (2006), child labour is still a common practice in Bulgaria; the majority of them work at
home, in family-run businesses, and on family farms, with some performing difficult or
hazardous tasks. Consequently, the Bulgarian government has been obliged to make necessary
modifications to its rules to abolish child labour in the country. Following the expansion of the
Blue Line Hockey Sticks in Bulgaria, the company should abide by the mandated rules in
Bulgaria and moral principles. The Blue Line Hockey Sticks will only hire workers minimum of
16 years old and older for non-intensive and non-hazardous positions.
Working Condition

Worker Pay
Despite being a member of the European Union, Bulgaria sets a relatively lower minimum wage
for its workers compared to its developed neighboring counterparts. According to Wage
Indicator.org (2022), Bulgaria has a minimum salary set by the government. As of 2022, the
general minimum hourly wage is 3.92 Bulgarian Lev (BGN) or 2.64 Canadian Dollars (CAD),
which is 710.00 BGN or 477.74 CAD per month. This is significantly lower compared to the
federal minimum hourly wage in Canada of 15.55 CAD or 2488 CAD per month (Government
of Canada, 2022). All employees should be paid according to the set minimum wage. The
Bulgarian government has the authority to penalize employers who refuse to pay the minimum
wage. Regardless of the background, age, or skill of the employee, these standards apply to every
business industry sectors in the country. Depending on the government's annual fiscal
assessment, the set minimum wage may fluctuate (CMS, n.d.).

Hours of Work
The Labor Code states that the typical working hours in Bulgaria are 8 hours a day per 5 days a
week. It totals up to 40 working hours per week (Ruskov, n.d.). The typical working hours for
most shops in Bulgaria are similar to other western countries such as Canada, having opening
hours between 8:00-9:00 and closing hours between 20:00 - 22:00. Employers in the country
may also increase working hours for their employees, but they must first communicate with labor
inspectors, employee representatives, and representatives of trade unions before doing so.
According to the European Monitoring Centre on Change (2021), a maximum of 10 hours could
be added to the workday for those employees with extended hours, and up to an additional hour
could be added for those with reduced hours. In certain situations, the maximum number of
hours in 1 business week can be is 48, or 40 for employees with reduced work weeks. Employees
who work extended hours may also be given extra days off on different days by their employers
as compensation. Furthermore, according to the European Commission (n.d.), night shifts are
generally worked between 20:00 to 6:00, while minors or employees who are less than 18 years
of age are capped on working only for 7 hours during night shifts. Workers have a right to have
one or two breaks during regular business hours, which are not counted toward the total number
of working hours. Similarly, lunch breaks cannot be less than 30 minutes just like in Canada.
Health and Safety
Being a member of the European Union, Bulgaria offers free universal healthcare to its citizens
or residents, just like Canada. Bulgarians are eligible for free or subsidized doctor consultations
from the country's public health system. The Bulgarian Government has established the National
Council on Working Conditions (NCWC), which supervises the "coordination, consultation and
cooperation for the development and implementation of occupational safety and health policy at
the national level" (Konova, n.d.). The council ensures that all employers in the country adhere
to the Health and Safe Working Conditions among their employees. It also requires employers to
make sure that every person in their workplace has received the appropriate and necessary
training to mitigate accidents in the workplace (Republic of Bulgaria, 2021). Just like in Canada,
every employee is entitled to a safe workplace. Each employee is entitled to decline work that
they believe poses a risk to their safety or the safety of their colleagues.

Organizational Structure and Leadership Style

Organizational Structure
As illustrated in Appendix 1, Bulgaria holds high Power Distance Index in Hofstede's cultural
dimensions. The country has a PDI score of 70, topping Canada's PDI score of 39 (Hofstede
Insight, n.d.). It indicates that Bulgarians are content with a hierarchical structure where
everyone has a specific duty in their own respective positions. The higher authorities have a
chain of command that extends to the average employee. The upper levels of management are
where Bulgarians want to make decisions since they can do it more effectively. Bulgarians
favour that all company decisions should be made and carried out by the higher-ups or who are
superior to them. Hence, the Blue Line Hockey Sticks should follow a hierarchical
organizational structure in its Bulgarian subsidiary. The main headquarters will remain
centralized in Canada and oversee all essential operations and functions. The Blue Line Hockey
Sticks can take advantage of economies of scale from the employees' use of specialized skills in
their respective departments. To achieve optimum efficiency and profitability, it is imperative
that the executives make sure there is good coordination across the departments.
Leadership Style
Looking at Bulgaria's Uncertainty Avoidance Index (UAI) and Power Distance Index (PDI)
scores on Hofstede's cultural dimensions (Appendix 1), an autocratic leadership might suit the
Blue Line Hockey Sticks' Bulgarian subsidiary. Bulgaria has a high UAI, having a score of 85,
which is drastically higher than Canada's UAI score of 48. It signifies that Bulgaria is a
conservative-leaning society and has a preference for avoiding uncertainties.

According to Hofstede Insight (n.d.), societies that have high UAI scores tend to have the
necessity for rules, and security plays a significant role in motivating workers. Additionally,
Bulgaria has a high PDI score of 70. It implies that Bulgarian workers expect to be given orders
and that they want authority to be centralized. Considering the country's preference for rules,
certainty, and authority in its hierarchical structural society, an authoritarian leadership would
function competently for the company's Bulgarian subsidiary. The Blue Line Hockey Sticks can
benefit from autocratic leadership through their strong leadership and effective decision-making
while also satisfying Bulgaria's cultural dimensions. The company must also ensure the
prevention of any forms of abuse of autocratic power. The executives must communicate and
respect their workers to maintain harmony and cooperation in the workplace.

Targets, Motivation, and Appraisal Styles

Bulgaria's high UAI score indicates that workers in the country are more likely to be diligent and
hard-working. The Blue Line Hockey Sticks can increase productivity and success by
establishing a reward strategy for when a worker meets their objective to encourage them to
reach their targets. Objectives will be defined based on specified demands and timeframes. For
instance, if a sales staff meets their daily sales goal, they may receive a bonus. This can
encourage employees and motivate them to hit their targets. Additionally, based on Bulgaria's
Long-Term Orientation (LTO) score of 70, Bulgarians are likely to be pragmatic and possess an
exemplary work ethic (Hofstede, n.d.). Bulgarians consistently strive in order to accomplish their
objectives and finally succeed in their position. Ideally, managers must give appraisals by
conducting performance reviews at least twice a month. The ratings of the supervisor to workers
as well as workplace assessments from senior managers must be included in the reviews.
Conclusion
The proposed report addresses how the Blue Line Hockey Sticks will manage its Bulgarian
subsidiary by taking into consideration the country's preference for hiring and promotion,
working conditions, as well as organizational structure and leadership styles. The company ought
to follow Bulgaria's local customs and discourage child labour as well as discrimination against
gender identity and sexual orientation in the workplace. Bulgaria shares similarities with Canada
in regard to hours of work as well as the health and safety regulations of workers. However,
Bulgaria has a significantly lower general minimum wage as the country is still considered a
developing nation in Europe. Moreover, the Hofstede cultural dimension theory was used to
assess Bulgaria's suitable organizational structure and leadership style. Based on the country's
PDI, UAI, and LTO scores, the Blue Line Hockey Sticks must establish a hierarchical
organizational structure and authoritarian leadership style in its Bulgarian subsidiary. The
company may also establish a reward system and appraisal for its employees to encourage
motivation and reach target goals.

References
Bureau of International Labor Affairs. (2006). 2005 Findings on the Worst Form of Child Labor:

Bulgaria. United Nations Commissioner or Refuge.

https://www.refworldorg/docid/48d748de3c.html

CMS. (n.d.). Labour Law in Bulgaria. https://cms.law/en/int/expert-guides/cms-expert-guide-to-

labour-law-in-central-eastern-europe/bulgaria

European Commission. (n.d.). Living and Working Conditions: Bulgaria.

https://eceuropaeu/eures/public/livingandworking/livingandworkingconditions/
livingandworkingconditionsbulgariaen

European Monitoring Centre on Change. (2021). Bulgaria: Working Time Flexibility. European
Foundation for the Improvement of Living and Working Conditions.
https://www.eurofoundeuropaeu/observatories/emcc/erm/legislation/
bulgariaworkingtimeflexibility

Fundamental Rights Agency. (2015). The European Union Charter of Fundamental Rights: In

Bulgaria.

https://fra.europa.eu/sites/default/files/frauploads/fra2019eucharterinbulgariaen.pdf

Government of Canada. (2022). Federal Minimum Wage to Rise to $15.55 per Hour on April 1.
Employment and Social Development Canada.
https://www.canada.ca/en/employmentsocialdevelopment/news/2022/03/
federalminimumwagetoriseto1555perhouronapril1.html