Turkey
Introduction
General overview & country facts, as well as labour regulations.
Employer Contributions
These are additional costs incurred by employers over and above the employee’s monthly gross salary and/or bonus.
Employee Contributions
These are costs incurred by employees that reduce their monthly gross salary and/or bonus to determine their net “take home” pay.
Employment Terms
All you need to know about salary & bonuses, working hours & overtime, probation period, notice period & severance pay, as well as all leave types.
COUNTRY PLAYBOOK
Turkey
Everything you need to know about payroll, benefits & hiring top talent in Turkey
Currency
Turkish Lira (TRY)
Salary payment frequency
Monthly
Capital
Ankara
Time Zone
GMT +3:00
Official Languages
Turkish
Is English spoken?
Yes
Quick Links
Introduction
General Overview & Economic Facts
- Turkey, officially the Republic of Turkey is a transcontinental country located in both Western Asia and Southeast Europe
- Turkey is 783,562 square kilometers with 85 million people living in Turkey
- Turkey is an emerging market economy achieving the world’s 20th largest economy by nominal GDP and 11th largest economy by PPP
- Turkey further is placed in 54th place on the Human Development Index as of 2019
Why Employ In Turkey?
- Turkey’s largest sectors driving its economy is the industrial and service sectors. Agriculture however still plays a very important role in the economy of Turkey accounting for about 25% of employment
- Education in Turkey is governed by a national system. Turkey is the second country in the world with access to higher education with a 94.2% schooling rate
- Population demographic- 15.67% of the population is between the ages of 15 and 24 years, with 43.31% of the population being between the ages of 25 and 54. Turkey has a young demographic with an average age of around 31 and only 9% of the population over 60
- Turkey’s youthful and educated population makes it a favorable country to employ intelligent and ambitious individuals
Overview of the Labour Law
- Employment law in Turkey is mainly governed by Turkish Labour Law. The Employment law in Mauritius is governed by statutory regulations found in various laws
- Specific laws relating to unions and collective bargaining agreements are contained in the Law of Unions and Collective Bargaining Agreements. Turkish law allows unions and employees are free to be union members
- Employers in Turkey are obliged to care for employees well being which includes social security, health and safety, union rights, personal and professional reputation, protection of and respect of personal privacy and secrecy and freedom of speech
Fun Country Facts
- The story of Santa Claus originated in Turkey
- The national sport of Turkey is oil wrestling
- Turkey is the largest producer of Hazelnuts
Why Use Playroll Services For Turkey?
- Employing in Turkey requires companies to have their own legal entity in the country as well as managing payroll, employee benefits, taxes and legal compliance. This can get quite complicated, especially with the complexity of employment laws in Turkey
- With Playroll’s Employer of Record services, your team will be employed by our established legal entities in each country
- We will take care of payroll, employee benefits, taxes, legal compliance and provide ongoing employee support, so that you can focus on growing a thriving team
Employer Contributions
These are additional costs incurred by employers over and above the employee’s monthly gross salary and/or bonus.
Unemployment Insurance Fund
Calculated on gross wages, bonuses, and other payments subject to social security premiums.
Calculated on a maximum monthly salary of TRY 5,004
2.00%
Social Security Premium
Calculated on gross wages, bonuses, and other payments subject to social security premiums.
Calculated on a maximum monthly salary of TRY 5,004
20.50%
Employee Contributions
These are costs incurred by employees that reduce their monthly gross salary and/or bonus to determine their net “take home” pay.
Unemployment Insurance Fund
Calculated on gross wages, bonuses, and other payments subject to social security premiums.
Calculated on a maximum monthly salary of TRY 5,004
1.00%
Social Security Premium
Calculated on gross wages, bonuses, and other payments subject to social security premiums.
Calculated on a maximum monthly salary of TRY 5,004
14.00%
Stamp tax
Calculated on total gross earning on the payroll
0.00 – 5,004.00
0.00%
5,004.00 and above
0.759%
Income Tax
Income Tax is ‘Pay As You Earn’
Salary income after the social security deductions, which includes bonuses, commissions, allowances
Income bracket per annum
0.00 – 32,000.00
15.00%
32,000.01 – 70,000.00
20.00%
70,000.01 – 250,000.00
27.00%
250,000.01 – 880,000.00
35.00%
880,000.01 and more
40.00%
Employment Terms
General
Minimum Wage
- TRY 5,004.00 per month
Working Hours
- Maximum of 45 per week
- Minimum meal interval of 1 hour if more than 7.5 hours are worked as well as a rest period of 1 hour if more than 7 hours are worked
- Typical working hours are 08h30 to 17h00 Monday to Friday
Overtime
- Employees may work a maximum overtime hours of 270 hours per year
Notice Period
Notice period depends on the length of the period of employment
- Less than 6 months: 2 weeks
- Between 6 and 18 months: 4 weeks
- Between 18 and 36 months: 6 weeks
- More than 3 years: 8 weeks
Severance Pay
- 30 days’ pay for every full year of employment, after 1 year of employment
- The maximum amount which can currently be paid to an employee as a severance payment is TRY 10,596.74 for each year worked
Probation Period
- Maximum of 2 months
Bonus
- There is no statutory bonus
Public Holidays
- January 1st – New Year’s Day
- April 23rd – National Sovereignty and Children’s Day
- May 1st – Labor and Solidarity Day
- May 2nd – 4th – Ramazan Bayrami
- May 19th – Atatürk Commemoration and Youth & Sports Day
- July 8th – 12th – Kurban Bayrami Holiday
- Jul 15th – Democracy and National Solidarity Day
- August 30th – Victory Day
- October 6th – Liberation of Istanbul
- October 28th – Republic Day Holiday
- October 29th – Republic Day
Leave
Paid Leave / Vacation Days
- Paid leave
- Paid by employer
- Employed between 0 and 1 year- 0 days
- Employed between 1 and 5 years- 14 days
- Employed between 5 and 15 years- 20 days
- Employed for 15 or more years- 26 days
Sick Leave
- Paid leave
- Paid by the employer
- 1 week
- Employees are entitled to an additional 6 weeks unpaid leave, where they can claim sick pay from the state
Maternity Leave
- Paid leave
- Partially paid by the state
- Maternity leave amounts to 16 weeks for a single birth and 18 weeks for multiple births
Paternity Leave
- Paid leave
- Paid by employer
- 5 days
Nursing Leave
- Paid leave
- Paid by employer
- 1.5 hours until the infant turns 1 years old
Bereavement Leave
- Paid leave
- Paid by employer
- 3 days
Family Care Leave
- Paid leave
- Paid by employer
- 10 days
Leave for seeking a new job
- Paid leave
- Paid by employer
- 2 hours during notice period
Marriage Leave
- Paid leave
- Paid by employer
- 3 days
Adoption Leave
- Paid leave
- Paid by employer
- 3 days
Start hiring in Turkey today!