The problem of youth unemployment rates should be scrutinised together with inactive young people. Both issues make the situation on the Bulgarian labour market even more dramatic than it seems at first sight. In fact, the real problem is young people who are not in employment, education or training and those who are long-term unemployed. Early school leavers and the comparatively lower quality of education in Bulgaria are some of the main reasons why many young people do not have an adequate education, qualifications or skills. However, both problems are well known and measures are being taken to improve the situation. Social status amplifies the risk of being unemployed in Bulgaria. If one's parents are unemployed, inactive, with low education, illiterate, without skills and qualifications, live in poverty or belong to a disadvantaged group their children are likely to have the same characteristics. Bulgaria has rich set of active labour market instruments, which allow it to deploy the most appropriate tools for combating youth unemployment and inactivity. It is not active labour market policy overall but the details of particular programmes that should be examined. Some programmes that are unattractive or have inadequate management because of procedural obstacles and restrictions lead to poor results.