New Minimum Wage
Decision Publication Date: December 27, 2024
Summary
The minimum wage to be applied in 2025 has been determined with the decision of the Minimum Wage Determination Commission (“Commission”) dated December 24, 2024 and numbered 2024/1 (“Decision”), published in the Official Gazette dated December 27, 2024, and numbered 32765.
Important Details
- For the period of January 1, 2025 - December 31, 2025, the
following applies:
- Daily Gross Minimum Wage: TRY 866.85
- Monthly Gross Minimum Wage: TRY 26,005.50
- The Commission proposed that the scope, procedures and principles of the minimum wage support provided to employers should be redefined so that the minimum wage support provided to employers will remain at TRY 1,000 per month during the January-December period of 2025.
Obligation to have an Occupational Safety Expert and Workplace Physician
Implementation Date: January 1, 2025
Summary:
The obligation to have occupational safety specialists and workplace physicians for workplaces with less than 50 employees and classified as less dangerous was postponed until December 31, 2024. The obligation to have an occupational safety specialist and workplace physician entered into force as of January 1, 2025.
Important Details:
- Under the Occupational Health and Safety Law No. 6331, employers are obliged to appoint a workplace physician and occupational safety specialist. For workplaces with less than 50 employees and classified as less hazardous, this obligation has been implemented as of January 1, 2025
- There is a risk that an administrative fine of TRY 88,663 will be imposed on employers for not appointing an occupational safety specialist and workplace physician for each month. This administrative fine amount is valid for 2025 and changes every year.
Amendment to the Social Insurance Procedures Regulation on Meal Allowance Exception
Regulation Publication Date: December 2, 2024
Summary:
With the Regulation Amending the Regulation on Social Insurance Procedures (“Regulation”) published in the Official Gazette dated December 2, 2024 and numbered 32740, subparagraph (a) of paragraph 7 of Article 97 regarding the meal allowance exemptions has been rearranged.
Important Details:
- The Regulation stipulates that in cases where meals are not provided in the workplace or its outbuildings, the daily exemption amount to be determined by the Social Security Institution will be excluded from the earnings based on the insurance premium for the benefit provided to the employees through means such as meal cards, vouchers coupons, etc. that can also be used beyond just purchasing a meal service in addition to the cash provided to the employees under the name of meal allowance
- The effective date of the Regulation is set as January 1, 2025.
Up-to-date Meal Allowance Exemption Amount
Circular Publication Date: December 31, 2024
Summary:
With the Circular dated December 31, 2024 and numbered 2024/17, published by the Social Security Institution, the daily exemption amount for meal allowance was determined as TRY 158.00, effective from January 1, 2025.
Important Details:
- As of January 1, 2025, the following formula will be applied to
calculate the amount to be considered in the earnings based on the
insurance premium related to the payments made under the name of
meal allowances:
- Daily exemption amount (TRY 158) x Number of days actually worked during the month = Monthly exemption amount
- Monthly meal cost - Monthly exemption amount = Amount to be taken into account in the earnings based on the insurance premium
- This limit and formula will be applied in terms of payments made by employers to the insured in cash under a meal allowance and benefits provided to employees through means such as meal cards, vouchers, coupons, etc. that can also be used beyond just purchasing a meal service.New Minimum Wage
Change in the Periods to Be Taken as the Basis for the Calculation of Temporary Incapacity Benefit
Decision Publication Date: December 27, 2024
Summary:
With the Law on Amendments to the Civil Servants Law and Certain Laws and Decree Laws, numbered 7537 (“Law”) published in the Official Gazette dated December 27, 2024, and numbered 32765, the periods to be taken as basis for the calculation of temporary incapacity benefit have been changed.Important Details
Important Details:
- With the decision of the Constitutional Court dated February 1, 2024 and numbered 2021/61 E., 2024/31 K., published in the Official Gazette on March 21, 2024, it was determined that it was unlawful to differentiate between the period to be taken as the basis for the calculation of the temporary incapacity allowance to be made in cases of illness and maternity and the period to be taken as the basis for the calculation of the allowance to be made due to occupational accidents and diseases. As a result, periods to be taken as the basis for the calculation of temporary incapacity benefit has been rearranged.
- In this context, the first paragraph of article 17 of Law No.
5510 has been amended by the Law. Within this scope:
- In calculating temporary incapacity benefits, the number of earnings and premium payment days in the last 12 months prior to the date of the occupational accident, birth, or, in the case of an occupational disease or illness, the date of incapacity to work, will be considered.
- In calculating the income to be granted in the case of an occupational accident or disease, the number of earnings and premium payment days in the last three months within the 12 months prior to the date of incapacity for work will be considered.
- For those with less than 180 days of service in the last 12 months, the amount of daily earnings to be taken as the basis for temporary incapacity benefits shall not exceed double the lower limit of the daily premium-based earnings as of the onset of incapacity
Law Amending the Social Security and General Health Insurance Law and Certain Laws
Law Publication Date: January 15, 2025
Summary:
Law Amending the Social Security and General Health Insurance Law and Certain Laws, numbered 7538 (“Law”) published in the Official Gazette numbered 32783 dated January 15, 2025, introduced various amendments in the fields of social security and labor law.
Important Details:
A. Social Security Institution Premium Discount
- The Law reduced the 5-point discount on disability, old age and death insurance premiums to be paid by private sector employers to the Social Security Institution to 4 points.
- The effective date of this change is February 1, 2025.
- However, for workplaces operating in the manufacturing sector, this amendment will not apply until December 31, 2026. Additionally, the President of Turkish Republic has the power to extend this period until December 31, 2027.
B. Social Security Institution Premium Discount
- The Law clearly defines Employee Health Centers (“EHCs”) under the Ministry of Health. Accordingly, it is envisaged that workplaces can fulfill their obligations to employ occupational safety experts, workplace physicians and other health personnel through EHCs.
- In addition, for workplaces with less than 50 employees and classified as less hazardous, health reports can be obtained through EHCs, in addition to family physicians and public health institutions.
C. Retirement of Disabled Employees
With the Law, the conditions for disabled employees who have been insured before 2009 to benefit from old-age pension changed. Accordingly:
- For employees with a loss of earning capacity between 40% and 49%, 4100 days of premium payments instead of 4680 days is deemed sufficient, provided they have 18 years of insurance coverage.
- For employees with a loss of earning capacity between 50% and 59%, 3700 days of premium payments instead of 4320 days is deemed sufficient, provided that they have 16 years of insurance coverage.
Proposed Law on Social Security Regulations
Law Proposal Date: January 10, 2025
Summary:
The Proposed Law on Amendments to Certain Laws dated January 10, 2025 and numbered 2/2858 (“Proposed Law”) envisages some social security arrangements.
Important Details:
A. Minimum Wage Support
- The amount found by multiplying the total number of premium payment days of the insured, whose daily earnings are reported as TRY 1,000 or less, by TRY 33.33 per day for the period of January to December will be deducted from the insurance premiums to be paid by employers to the Social Security Institution, and this amount will be covered by the Unemployment Insurance Fund.
- With the Proposed Law, it is envisaged that this support will also be applied to the insured employees reported by the workplaces that are considered to be within scope of Law No. 5510 for the first time in 2025
B. Minimum Wage Support
- With the Proposed Law, it is envisaged that the monthly minimum payment amount, which is foreseen as TRY 12,500 for pensioners and their beneficiaries who receive old age, disability and death pensions, will be increased to TRY 14,469 as of January 2025.
Statutory Seniority Compensation Ceiling
Circular Publication Date: January 6, 2025
Summary:
Based on the circular dated January 6, 2025 (“Circular”), issued by the General Directorate of Public Financial Management and Transformation under the Ministry of Treasury and Finance (“Ministry”), the maximum amount for statutory seniority compensation has been updated. The updated amount will be valid between January 1, 2025 and June 30, 2025.
Important Details:
- In accordance with the Circular issued by the Ministry, the maximum amount of the monthly gross salary to be taken as the basis for calculating statutory seniority compensation was set at TRY 46,655.43 for the first half of 2025 (January 1, 2025 to June 30, 2025).
- The maximum amount of monthly gross salary to be taken as a basis in the calculation of statutory seniority compensation is redetermined twice a year: once for the period from January until the end of June, and once for the period from July until the end of December of the same year.
Constitutional Court Decision on Employment Receivables
Decision Publication Date: December 3, 2024
Summary:
In its decision dated 10 July 2024 and numbered 2019/22031, published in the Official Gazette dated 3 December 2024 and numbered 32741 (the “Decision”), the Constitutional Court (the “Constitutional Court”) found that the applicant's (the “Applicant”) claim that his right of access to court was violated due to the dismissal of the part of the lawsuit regarding employment receivables, which was increased by an amendment on the grounds of statute of limitations, was valid.
Important Details:
- The Applicant's employment contract was terminated by the employer with a notice dated October 1, 2010. The Applicant filed a lawsuit against the employer on January 17, 2011. In the lawsuit, the Applicant claimed statutory seniority compensation, notice compensation, overtime payment, payment for religious holidays and weekly holidays, annual leave payments, and a settlement fee.
- Following the latest expert report issued in the case file before the Istanbul 5th Labor Court (the “Court”), the Applicant increased the amount of the claim with a petition dated September 28, 2015, and paid the amendment fee on October 2, 2015.
- On January 11, 2016, the Court partially accepted and partially rejected the lawsuit. The Court rejected the request for an increase in the annual leave payment, overtime payment and settlement fee on the grounds of statute of limitations.
- The Applicant appealed, stating that the legal basis of the claims rejected on the grounds of statute of limitations was not clearly explained. On April 9, 2019, the Court of Cassation revised the Decision solely in terms of statutory seniority compensation, and upheld the rest of the Decision.
- The Constitutional Court found that the Court and the Court of Cassation did not provide sufficient justification in their decisions as to when the statute of limitations started and what the effect of the amendment petition was on the statute of limitations. In other words, the Constitutional Court stated that the legal basis of the rejection of the Applicant's claims on the grounds of statute of limitations was not sufficiently explained, and it therefore found that the Applicant's right of access to court was violated.
Constitutional Court Decision on Business Secret and Freedom of Expression
Decision Publication Date: December 3, 2024
Summary:
In its decision dated 18 July 2024 and numbered 2020/12353, published in the Official Gazette dated 3 December 2024 and numbered 32741 (the “Decision”), the Constitutional Court (the “Constitutional Court”) found that the applicant's (the “Applicant”) freedom of expression, whose employment contract was terminated on the grounds that he had disclosed business secrets in his doctoral assignment, was violated.
Important Details:
- The Applicant's employment contract was terminated by the employer on January 13, 2017, on the basis that he had disclosed business secrets in his doctoral assignment.
- The Applicant filed a lawsuit for reinstatement against his employer, claiming that the termination was unlawful.
- The Kocaeli 3rd Labor Court (the “Court”) found that the topics mentioned in the Applicant's term paper were not technologically critical and were common knowledge. Furthermore, the Court noted that even interns at the workplace used similar information and were not dismissed. For these reasons, the Court ordered the Applicant's reinstatement.
- Upon the employer's appeal, on January 30, 2020, the 24th Civil Chamber of the Istanbul Regional Court of Appeals (the “Regional Court”) reversed the Court's decision and dismissed the case. The Regional Court held that the Applicant had acted in breach of the Employee Information Security Undertaking dated June 17, 2016 (the “Undertaking”) and that the termination was therefore valid.
- Thereupon, the Applicant filed an individual application. The Constitutional Court found that the Regional Court of Appeal did not make any assessment as to what kind of provisions the said Undertaking contained, which provision in the Undertaking was violated by the Applicant's doctoral paper, and how and on what grounds these provisions justified or validated the termination. The Constitutional Court also stated that the Regional Court of Appeal did not make an assessment regarding the allegations that the submission date of the doctoral paper was June 14, 2016, and the Undertaking was signed on June 17, 2016.
- In the Decision, it was also mentioned that the Applicant faced a very severe consequence due to a doctoral paper that was not a thesis and that could not be shown to be publicized in any way, and that the principle of last resort was violated.
- The Constitutional Court ruled that freedom of expression was indirectly restricted in the concrete case without sufficient justification, and it decided that the freedom of expression guaranteed under Article 26 of the Constitution was violated for the reasons explained.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
