Discover the latest 2025 payroll parameters in Turkey, featuring a detailed breakdown of the gross minimum wage's 30% rise to TRY 26,005.50. Our comprehensive guide ensures your payroll management is up-to-date with the newest regulations, including social security contributions and tax rates.
Under Article 17 of the Turkish Labor Law, employers are mandated to provide statutory notice prior to terminating an indefinite employment contract. This legal provision serves as a safeguard for employees, protecting them from abrupt cessation of employment and the consequent loss of income. The law specifies minimum notice periods based on the length of the employee's service, ensuring that employees are afforded time to seek new employment while still receiving their salary.
The social security system in Türkiye underwent a significant transformation process in 2007. As a result of this process, different social security funds were consolidated under a single institution, the Social Security Institution (SGK), to be centrally supervised and operated for enhanced efficiency and speed. Three separate social security institutions, namely SSK (Social Insurance Institution), [...]
Employment incentives in Turkey serve as vital government supports provided to employers under specific conditions. These incentives are aimed at encouraging employers to hire more employees, expand their workforce, and promote the employment of workers from targeted groups. By alleviating financial burdens and facilitating business operations, these incentives contribute to the overall growth and development [...]
As outlined in Article 61 of Income Tax Law No. 193, wage encompasses both monetary and non-monetary benefits provided to registered employees in exchange for their services, regardless of the payment labels used, such as indemnity, allowance, cash compensation, allocation, increment, advance, remuneration, attendance fee, premium, bonus, expense reimbursement, or revenue-based percentages.
The table of Social Security Termination Codes below demonstrates the employees’ rights in terms of severance pay, notice pay and unemployment insurance as a result of the reason for termination of employment.
On April 21, 2022, a press briefing on the Communiqué No. 2022-32/66 has been released on the web page of Ministry of Treasury and Finance to provide further details on the implementation of Communiqué No. 2022-32/66.
In Turkey, the companies can be incorporated in accordance with various laws. The companies incorporated according to the Turkish Commercial Code are classified as sole proprietorships and equity companies. On the other hand, the cooperative companies can be specified according to the Cooperatives Law and the ordinary partnerships can be specified according to the Code of Obligations.
Law No. 7349 regarding amendments to the income tax law and certain other laws, has entered into force on 25 December 2021.
The severance pay is referred to as the payment made upon the termination of the employment contract based on the seniority of the employee within the framework of the reasons specified in the Turkish Labor Law. There are quite different discussions with respect to the qualifications of the severance pay and its [...]
