Understanding Employment Law in Turkey: A Comprehensive Overview

Employment law in Turkey has been designed to govern the relationships between employers and employees while safeguarding the rights and responsibilities of both parties. The Turkish legal framework for labor relations is primarily encompassed in the Labor Law No. 4857, which came into effect in 2003, replacing earlier legislation that was no longer adequate for the evolving economic and social landscape of the country.

Key Components of Turkish Employment Law

The Turkish Labor Law outlines several critical aspects of employment, covering working conditions, employment contracts, working hours, wages, health and safety, and termination of employment among others.

Types of Employment Contracts

In Turkey, employment contracts can be established for definite or indefinite periods, based on the nature of the work. An indefinite-term contract is the default type unless explicitly stated otherwise. Employment contracts might be either written or oral, though written contracts are highly advisable to avoid any disputes or misunderstandings regarding employment conditions.

Working Hours and Overtime

The regular workweek in Turkey is set at 45 hours, typically spread over six days. Any work exceeding this duration is considered overtime and is subject to premium pay, which is generally 50% more than the regular hourly rate. Employers must obtain prior consent from employees to perform overtime work, barring some exceptional urgent situations.

Wages and Minimum Wage

Wages in Turkey must not be below the national minimum wage, which is determined and updated annually by a tripartite commission consisting of government, employer, and employee representatives. In addition to the base salary, employees in Turkey are entitled to various benefits, including annual leave, bonuses, and in some sectors, profit-sharing arrangements.

Health and Safety Regulations

Ensuring a safe working environment is a fundamental obligation for employers under Turkish law. The Occupational Health and Safety Law No. 6331 obliges employers to take all necessary measures to ensure occupational health and safety, such as providing the necessary equipment and training, conducting risk assessments, and implementing preventive measures to avoid workplace accidents.

Termination of Employment

The termination of employment contracts in Turkey can either be due to legitimate reasons or without just cause. Employees with indefinite-term contracts have certain protections against unfair dismissal. The law mandates that employers provide notice periods for terminations and, in some cases, severance pay depending on the duration of employment and the reason for termination.

Severance and Notice Pay

If an employee with an indefinite-term contract is dismissed without a valid reason or in cases of business, workplace, or sectoral changes, they may be entitled to severance pay, which is typically calculated based on the length of service at the organization. Additionally, employees are entitled to a notice period prior to termination, which ranges from 2 to 8 weeks, depending on the length of their service.

Social Security and Insurance

Employees in Turkey are subject to social security coverage, which is managed through the Social Security Institution (SGK). Contributions to the social security system are shared between employers and employees and cover health insurance, retirement benefits, and unemployment insurance among other aspects.

Conclusion

Employment law in Turkey provides a robust framework designed to protect worker rights while also addressing employer needs. As a rapidly developing economy with a strategic geographic position connecting Europe and Asia, Turkey attracts substantial foreign investment, and its modern legal framework supports international business operations within its borders. Understanding and complying with Turkish employment law is crucial for both local and international companies to successfully operate in the country.

Here are some suggested links for understanding employment law in Turkey:

Relevant Legal Resources:
hg.org
lexology.com

Government and Institutional Websites:
mevzuat.gov.tr
ilo.org

Law Firms and Legal Services:
whitecase.com
dlapiper.com