Work Allowances in Turkey: A Comprehensive Guide

Turkey, with its strategic location, growing economy, and dynamic labor market, has become an attractive destination for expatriates and international companies. Whether you’re a foreigner seeking employment in Turkey or a business interested in hiring foreign nationals, understanding the country’s work allowances and labor laws is essential. This article provides a detailed overview of the types of work permits, legal regulations, rights of employees, and various allowances that workers are entitled to in Turkey.

1. Overview of Work Permits in Turkey

Before diving into work allowances, it’s crucial to understand the types of work permits that allow foreign nationals to legally work in Turkey. The work permit also serves as a residence permit for the duration of employment.

a) Temporary Work Permit

  • Foreign employees are typically issued a one-year work permit, renewable for up to two years. After three years of continuous work, employees can apply for a permit valid for another three years.

b) Independent Work Permit

  • Foreign professionals, especially those in specialized fields or with significant investments, may apply for an independent work permit. This allows self-employed individuals to operate a business in Turkey.

c) Permanent Work Permit

  • After residing and working in Turkey for a minimum of eight years, foreign nationals may apply for a permanent work permit. This permit grants indefinite work and residence rights, similar to those of Turkish citizens.

d) Turquoise Card

  • Highly skilled professionals, researchers, and investors may be eligible for the Turquoise Card, which provides work and residence rights without time limitations. Turquoise Cardholders enjoy benefits similar to those of permanent work permit holders.

2. Work Hours and Overtime Allowances

a) Standard Work Hours

  • According to Turkish Labor Law, the standard workweek consists of 45 hours, typically spread over six days. Employers and employees may agree to divide these hours differently, but the 45-hour limit remains in place unless specific exemptions apply.

b) Overtime Work

  • Any work performed beyond the standard 45 hours per week is considered overtime. Turkish law mandates that overtime work should not exceed 270 hours annually. Employers are required to pay employees an additional 50% of their regular hourly wage for overtime.
  • In cases where employees work during holidays or weekends, they are entitled to 100% additional pay for those hours. Employers can also compensate overtime with time off, provided that this is agreed upon by both parties.

c) Night Work

  • Night shifts, defined as work performed between 8 PM and 6 AM, must not exceed 7.5 hours per shift. For night work, employees are entitled to additional pay or benefits, as determined by collective bargaining agreements or company policies.

3. Minimum Wage and Salary Allowances

a) Minimum Wage

  • Turkey has a legally mandated national minimum wage, which is adjusted periodically (usually annually) based on inflation and economic conditions. The minimum wage is determined by the Minimum Wage Determination Commission and is applicable to all employees, both Turkish nationals and foreigners.
  • As of 2024, the minimum gross monthly wage in Turkey is around 14,000 TRY, with net take-home pay depending on deductions for social security, income tax, and other contributions.

b) Work allowances in Turkey / Salary Structure and Components

  • In addition to the basic salary, Turkish employees are often entitled to various allowances and benefits, which can include:
    • Meal Allowance: Employers may provide a meal allowance or offer meals at the workplace.
    • Transportation Allowance: If the workplace is far from the employee’s residence, companies may offer a transportation allowance or provide shuttle services.
    • Housing Allowance: For employees who relocate to another city or country for work, some companies offer a housing allowance.
    • Health Insurance Allowance: Although public health insurance (SGK) covers all employees, many companies offer private health insurance as an additional benefit.

c) Bonuses and Incentives

  • Many companies in Turkey provide bonuses based on performance, length of service, or holiday periods (e.g., year-end bonuses, holiday allowances). These bonuses are often negotiated individually or as part of collective agreements.

4. Social Security Contributions and Benefits

a) Social Security System (SGK)

  • All employees in Turkey, including foreign nationals with work permits, are required to contribute to the Turkish social security system (SGK). The employer and the employee both contribute to the system, with a percentage of the employee’s gross salary deducted for social security.
  • The social security system covers health insurance, pensions, unemployment insurance, and work-related accidents. Employees are entitled to healthcare benefits through SGK, including free or discounted treatment at state hospitals and clinics.

b) Retirement Benefits

  • Employees who have worked in Turkey for a minimum period (currently 25 years for men and 20 years for women) and have made sufficient social security contributions are eligible for a pension. The retirement age in Turkey is gradually increasing to 65 for both men and women, but early retirement is possible under certain conditions.

c) Unemployment Benefits

  • Employees who lose their jobs involuntarily can receive unemployment benefits if they have contributed to the unemployment insurance scheme for at least 600 days over the last three years. The unemployment benefit is calculated as a percentage of the employee’s gross salary and is paid for a period ranging from 6 to 10 months, depending on the length of contributions.

5. Paid Leave and Allowances

a) Annual Paid Leave

  • Employees in Turkey are entitled to annual paid leave after completing one year of service with the same employer. The amount of leave depends on the length of service:
    • 1-5 years: 14 days of annual leave
    • 5-15 years: 20 days of annual leave
    • Over 15 years: 26 days of annual leave
  • Workers under the age of 18 and over the age of 50 are entitled to a minimum of 20 days of annual leave, regardless of their length of service.

b) Public Holidays

  • Turkey has several national holidays, and employees are generally entitled to time off with pay on these days. If employees work during public holidays, they are entitled to double pay or compensatory time off. The major public holidays in Turkey include:
  • New Year’s Day (January 1)
  • National Sovereignty and Children’s Day (April 23)
  • Labor Day (May 1)
  • Republic Day (October 29)
  • Religious holidays, such as Eid al-Fitr (Ramazan Bayramı) and Eid al-Adha (Kurban Bayramı), which vary according to the Islamic lunar calendar.

c) Sick Leave

  • Employees in Turkey are entitled to paid sick leave, provided they obtain a medical report from a doctor or hospital. The employer is required to pay for the first two days of sick leave, and from the third day onwards, social security (SGK) covers the employee’s salary.

d) Maternity and Paternity Leave

  • Maternity Leave: Female employees are entitled to 16 weeks of paid maternity leave, divided into 8 weeks before and 8 weeks after childbirth. Additional unpaid maternity leave of up to 6 months is available, and breastfeeding mothers are entitled to additional breaks during the workday.
  • Paternity Leave: Fathers are entitled to 5 days of paid paternity leave upon the birth of a child.

e) Marriage and Bereavement Leave

  • Employees are entitled to a few days of paid leave for marriage or in the event of the death of a close family member (such as a spouse, child, or parent).

6. Work Safety and Health Allowances

a) Workplace Safety Regulations

  • Turkey has strict regulations to ensure occupational health and safety. Employers are required to implement measures to protect employees from workplace accidents and health risks. Companies must provide safety equipment, conduct regular safety training, and ensure compliance with national safety standards.

b) Work Accident and Occupational Disease Benefits

  • In case of a workplace accident or occupational illness, employees are entitled to compensation through SGK. This includes medical treatment, compensation for lost income, and, in severe cases, disability benefits.

7. Termination and Severance Allowances

a) Termination Procedures

  • Turkish labor law outlines specific procedures for terminating an employment contract. Employers must provide valid reasons for termination and give notice periods based on the employee’s length of service:
    • Less than 6 months: 2 weeks’ notice
    • 6 months to 1.5 years: 4 weeks’ notice
    • 1.5 to 3 years: 6 weeks’ notice
    • More than 3 years: 8 weeks’ notice

b) Severance Pay

  • Employees who are dismissed for reasons other than misconduct are entitled to severance pay, provided they have worked for the employer for at least one year. The severance pay amounts to one month’s gross salary for each year of service.

c) Compensation for Unfair Dismissal

  • If an employee believes they have been unfairly dismissed, they can file a lawsuit for compensation. If the court rules in favor of the employee, they may be entitled to reinstatement or compensation of up to 8 months’ salary.

8. Conclusion

Work allowances in Turkey provide employees with a range of protections, benefits, and compensations that help safeguard their rights and improve their quality of life. From fair wages and overtime pay to social security, health coverage, and paid leave, the Turkish labor market is governed by robust regulations designed to ensure a safe and supportive work environment.

Whether you are an employee or an employer, understanding the various allowances, legal rights, and obligations under Turkish law is essential to maintaining a productive and compliant workforce. As the Turkish economy continues to grow and evolve, these allowances provide the framework for a stable and fair labor market.

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