Explore our EOR&PEO services in TURKEY

As your Turkey EOR, we would support your growth by contracting personnel and handling their payment without establishing a local branch office or subsidiary.

 

In compliance with regional labor laws, your individual is employed by an Turkey PEO and can be onboarded in days as opposed to the usual months. Your new employee will start working for you soon, similarly to the rest of your team.

Turkey PEO
Istanbul
Turkey EOR

Country Overview

Turkey is a transcontinental nation bordering the Black Sea in southern Europe and southwestern Asia. The nearby nations are Armenia, Azerbaijan, Bulgaria, Georgia, Greece, Iran, Iraq, and Syria. Turkey is in a vital position since it controls the Turkish Straits, which connect the Black and Aegean Seas.

General Information

  • Population: ~85.000.000

 

  • Capital City: Ankara (population: ~5.600.000)

 

  • GDP: ~$815 billions

 

  • GDP per capita: ~$8.500
  • Turkish Lira (TRY)

 

  • Unemployment: ~13.4%

 

  • Employer Taxes: ~22.5%

 

  • Employee Taxes: ~41%

TURKEY EOR SPECIFICS

Employment contracts in Turkey

Employment agreements that last for more than a year must be done in writing.

 

Most common types of contracts are indefinite term (usual contract) & fixed term (exceptional contract).

Probation period in Turkey

The trial period shall not exceed a maximum of 2 months. This duration must be stipulated in the employment contract. If a trial period is specified in fixed-term employment contracts, it is possible to terminate the employment contract during the trial period. In this case, the parties have no obligation to notify or pay.

 

However, if the employment contract is terminated by the employer before the expiration of the contract and after the trial period is not specified, or after the expiration of the trial period, the employer must pay the obligations concerning the date of termination linked to the end of the contract.

Working hours in Turkey

A workweek cannot include more than 45 hours. Furthermore, no more than 11 hours may be performed in a single day. By mutual consent of the parties, the 45 hours of work time may be split unevenly throughout the days of the week. The Turkish Labor Code regulates overtime work; the annual maximum is 270 hours.

Vacation days in Turkey

Depending on the period of employment, the permitted annual leave may range in length: 

 

  • Employees who have worked for one year or less than five years (including the fifth year) are given 14 days; 

 

  • Those employees with five years of experience or more but fewer than 15 are given 20 days; 

 

  • Those who worked for more than 15 years get 26 days.

Sick leave in Turkey

If an employee becomes ill or injured, they are entitled to time off. The employer has the authority to immediately terminate the employment agreement by paying the employee’s severance payment on the grounds that the employee’s illness cannot be cured if the period of illness or injury lasts longer than the employee’s legal notice period of six weeks.

 

Employees are not required to get sick pay while on sick leave from their employers. Through government disability programs, employees are eligible for payments throughout this period.

 

The employee will be eligible for temporary sick pay beginning on the first day of their time off if the illness or injury can be considered occupational. The company cannot claim reimbursement from the state for any additional payments made to the employee while they were on sick leave.

Wages and salary payments in Turkey

The relevant commission of the Ministry of Labor and Social Security establishes and updates the minimum wage twice a year. The national minimum wage in Turkey has been set at €373.6 per month since June 2022, or 4,483 euros yearly when all 12 payments are made. The national minimum wage has increased by 1,467 liras per month from the previous year, or 29.32% if we look at the minimum income in Turkish official currency. This year, it was 6,471 Turkish liras monthly.

Salary is paid on a monthly basis. Payment date: End of the month or in the first five days of the following month.

The Turkish Labor Code stipulates that a worker’s weekly work hours cannot exceed 45. The employer must provide overtime pay if the employee works beyond the normal schedule.

Public holidays in Turkey

Turkey has 15 days of public holidays each year. Public holidays are not included in the minimum paid annual leave entitlements. Here’s the short list of Turkish national public holidays when banks, offices, and businesses are closed and traffic intensifies:

 

  • January 1: New Year’s Day

 

  • April 23: National Sovereignty & Children’s Day

 

  • May 1: Labor and Solidarity Day

 

  • May 19: Atatürk Commemoration, Youth & Sports Day

 

  • July 15: Democracy & National Unity Day

 

  • August 30: Victory Day

 

  • October 28-29: Republic Day

 

  • Ramadan 3,5 days, and Eid Qurbani 4,5 days

 

If employees work during public holidays, they are entitled to an additional payment for each day.

Employer taxes in Turkey

Employer contributions: 20.5% of gross paid by the employer.

 

Unemployment insurance contribution rate: 2% payable by the employer.

Employee taxes in Turkey

Turkey Employee Tax

Notice period in Turkey

According to the Turkish Labor Code, the following minimum notice periods are likely to apply:

 

  • When working for less than six months, you must give two weeks’ notice

 

  • When working for six months to 18 months, you must give four weeks’ notice

 

  • Six weeks’ notice when employed for between 18 months and three years

 

  • Eight weeks’ notice while working for more than three years

Termination / Severance in Turkey

Employees are entitled for getting a severance payment upon termination of their employment contract, provided they have worked continuously for at least a year. Severance pay is calculated on the basis of last month’s gross salary of the employee and exempted from income tax.

 

Severance pay is only subject to stamp tax. In the calculation of severance pay, in addition to the monthly gross salary, wage and salary related remunerations including benefits, allowances premiums are taken into account. Gross salary cannot exceed the ceiling determined every six months by the Ministry of Labor and Social Security. Between July 2022, and 31 December 2022 severance pay ceiling is 15 371,40 TL.

Reviews on our service

5/5
Our business's crucial aim for a quick employment of three in Ankara was completed in time.
Grey
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5/5
I've had a ton of pleasure while consulting with Acvian on our hiring process in Turkey. Efficient and fast.
Linda
image 9 150x150 - Turkey EOR and PEO
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