As the Employment Law Department of Esin Attorney Partnership, we are pleased to share with you our monthly newsletter.
This newsletter provides a summary of the recent legal developments in relation to employment matters in Türkiye.
Work Permit Fees and Valuable Paper Fees Increased
Effective date: 7 July 2023
Pursuant to the Presidential Decree No. 7344 published in the Official Gazette of the Republic of Turkey ("Official Gazette") dated 7 July 2023 and numbered 32241 ("Decree"), the fixed fee amounts stated in the tariffs attached to Fees Law No. 492 and applied in 2023 have been increased by 50%.
- The Decree increased the fees to be paid during the application process by 50%.
- In this regard, until 31 December 2023, the fee for a work permit valid for up to one year is TRY 4,635.30 (approximately USD 171).
Omnibus Law on Minimum Salary Support and Increasing the Old Age Pension is Published
Effective Date: 15 July 2023
Omnibus Law No. 7456 published in the Official Gazette No. 32249 dated 15 July 2023 increased pension amounts including for those benefiting from the legislation on Early Retirement Despite Failing to Meet the Age Requirement (Emeklilikte Yaşa Takılanlar in Turkish ("EYT"). Furthermore, the minimum salary support to be paid to employers by the Social Security Institution ("SSI") as of July 2023 has been determined.
- Pension payments have been increased by 25% effective from the payment period of July 2023, including for those benefiting from the EYT legislation.
- It has been decided that the SSI minimum salary support will be TRY 500 (approximately USD 18) per month for the period from July to December 2023.
Employees Who Benefit from Short-Time Working Allowance and Cash Salary Support in Excess and Inappropriately are Granted the Right to Complete Their Underreported Days
Effective date: 25 July 2023
With the circular dated 25 July 2023 and numbered 2023/24, the SSI allowed employees who have benefited from short-time working allowance and cash salary support in excess and inappropriately to complete their underreported days to the SSI.
For the insured to benefit from the relevant right, each of the following conditions must be present:
- In the months/periods of improper payment and overpayment, the services of the employee to whom the improper payment and overpayment was made were underreported to the SSI,
- The missing day code and reason for the employee for whom the missing service notification has been made was selected as "18-Short-Time Work Allowance", "27-Short-Time Work Allowance and Other Reasons", "28-Pandemic Unpaid Leave" or "29-Pandemic Unpaid Leave and Other",
- The payments made to the employee are within the scope of temporary Articles 29 and 32 of Law No. 4447 on short-time working due to the coronavirus.
Presidential Decree on the Extension of Short-Time Working Allowance Periods
Effective date: 29 July 2023
Presidential Decree No. 7410 published in the Official Gazette dated 29 July 2023 and numbered 32263 ("Decision") extended the duration of the short-time working allowance given within the scope of the earthquakes in Kahramanmaraş that occurred on and after 6 February 2023, until 7 August 2023, without the need to determine eligibility anew.
- To benefit from the extension mentioned in the Decision, workplaces must be those that have applied for short-time working before or on 8 May 2023 and employers must apply for the extension.
- Short-time working allowance periods have been extended for the same employees who previously benefited from short-time working and under the same conditions, as of 9 May 2023 (inclusive) for workplaces whose short-time working period ended on or before 8 May 2023, and as of the date following the end of the short-time working period (including this date) for workplaces whose short-time working period ended after 8 May 2023.
Supreme Court of Appeals' Decision on Material Change in Work Conditions
Decision date: 13 March 2023
In its decision dated 13 March 2023 with file number 2023/3247 and decision number 2023/3581, the 9th Civil Chamber of the Supreme Court of Appeals ("Court") ruled that the employees' absenteeism due to the change of the shuttle route by the defendant employer ("Defendant") and without obtaining the employees' written consent, would be deemed that they terminated their employment agreements for just cause and by action.
- The Court ruled that the Defendant's unilateral change of the shuttle service route reaching the employees' residences during the duration of their employment agreements constituted an adverse material change in the working conditions and the termination their employment agreements by the employees is based on just cause.
- The Court did not consider the employees' absence from work due to the change of the shuttle route as a de facto impossibility, considering that the possibility of transportation to the workplace did not cease.
- The Court ruled that the employees' termination of their employment agreements by not coming to work for this reason constituted a termination by action due to the failure to implement working conditions.
- The Court also ruled that the employment agreement cannot be terminated by the Defendant where the employees already terminated their employment agreements through termination by action and that the employees are not entitled to notice pay in the event of termination that they carried out for just cause but are only entitled to seniority compensation.
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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.