General Overview
Turkey, strategically located between Europe and Asia, has a dynamic and growing economy driven by agriculture, manufacturing, and a burgeoning service sector. The country provides a robust legal framework for employee rights, making it an attractive destination for workers and businesses alike.
Employment Contracts
Employment contracts longer than 1 year must be in writing. Common contract types:
- Indefinite-term contracts: Default employment type.
- Fixed-term contracts: Used for specific tasks or events.
Probation Period
- The probation period is capped at 2 months but can be extended to 4 months via collective bargaining agreements.
- During this time, either party may terminate the contract without notice or severance obligations.
Working Hours
Standard workweek: 45 hours. Daily work hours: Maximum 11 hours. Overtime is capped at 270 hours annually and must be paid at a higher rate.
Vacation Days
Annual leave depends on the length of service:
- 14 days for 1–5 years of service.
- 20 days for 5–15 years.
- 26 days for over 15 years.
Employees cannot waive their right to annual leave.
Sick Leave
Employees are entitled to sick leave in case of illness or injury.
- If sick leave exceeds the notice period by 6 weeks, the employer may terminate the contract with severance.
- Sick pay is provided through government disability programs, not by employers.
Wages and Salary Payment
- Minimum wage for 2024: Approximately €400 per month (updated annually).
- Salaries are typically paid at the end of the month or within the first 5 days of the following month.
Public Holidays
Turkey observes 15 public holidays, including:
- January 1: New Year’s Day.
- April 23: National Sovereignty & Children’s Day.
- May 1: Labor and Solidarity Day.
- Religious holidays: Ramadan (3.5 days) and Eid al-Adha (4.5 days).
If employees work during public holidays, they are entitled to additional pay.
Employer Taxes
- Employers contribute 20.5% of gross wages to social security.
- Unemployment insurance: 2% of gross wages.
Employee Taxes
- Employees pay 14% of gross wages to social security.
- Income tax rates are progressive, ranging from 15% to 40%.
Notice Period
The minimum notice period depends on the length of employment:
- 2 weeks: Less than 6 months.
- 4 weeks: 6–18 months.
- 6 weeks: 18 months to 3 years.
- 8 weeks: Over 3 years.
Termination and Severance Pay
- Employees with 1 year of continuous employment are eligible for severance pay.
- Severance is calculated as 1 month’s gross salary per year of service, capped by government regulations and exempt from income tax.