beef bourguignon recipe

2 pounds beef chuck, cut into 1-inch cubes - Salt and pepper to taste - 2 tablespoons olive oil - 4 ounces bacon, diced - 1 large onion, chopped - 2 cloves garlic, minced - 1 cup carrots, sliced - 2 tablespoons tomato paste - 2 tablespoons all-purpose flour - 2 cups red wine (such as Burgundy or Pinot Noir) - 2 cups beef broth - 1 tablespoon Worcestershire sauce - 1 teaspoon dried thyme - 1 bay leaf - 1 cup pearl onions, peeled - 8 ounces mushrooms, sliced - Fresh parsley, chopped (for garnish)