ARTICLE
2 April 2026

Employment Retention Incentive In The Manufacturing Industury Enters Into Face

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The Regulation on the Implementation of the Employment Retention Support Program was published in the Official Gazette dated 3 March 2026...
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The Regulation on the Implementation of the Employment Retention Support Program was published in the Official Gazette dated 3 March 2026 and numbered 33185, and has entered into force.The Program aims to preserve and increase employment in enterprises operating in the manufacturing industry. It covers the period between 1 January 2026 and 31 December 2026, with the final deadline for submitting payment claims set as 31 March 2027.

Duration and Fundamental Principle of the Support Program

The Support Program shall be implemented between 1 January 2026 and 31 December 2026.

The fundamental condition of the Program is the maintenance of employment levels. Accordingly:

  • If the monthly number of premium days in the month for which payment is claimed in 2026 is equal to or higher than the average monthly premium days for November-December 2025, employment shall be deemed to have been maintained for that relevant month.
  • If the average monthly number of premium days from the beginning of 2026 up to and including the month of claim is equal to or higher than the average monthly premium days for November-December 2025, employment shall be deemed to have been maintained for all months within that period.

Provided that this condition is satisfied, the relevant months shall be eligible for support.

Sectoral Support (Direct Grant)

Direct financial support is provided to enterprises operating in specific manufacturing sectors, including:

  • Manufacture of textile products
  • Manufacture of wearing apparel
  • Manufacture of leather and related products
  • Manufacture of furniture
  • Certain accessory manufacturing (e.g., zippers, buttons)

Subject to the condition that employment is maintained:

  • A support payment of TRY 3,500 per month for 30 premium days shall be granted.

Loan Interest / Profit Share Support for SMEs

For manufacturing enterprises outside the above-mentioned sectors that qualify as SMEs, a credit support mechanism is envisaged.

Within this scope:

  • The support shall be provided based on the loan utilized by the enterprise, in accordance with the procedures and principles set forth in the Regulation. The amount of support shall be calculated pro rata, taking into account the ratio of the number of months in which employment is maintained to 12 months.

Application and Evaluation Process

Applications shall be submitted through an online application system to be established by the Ministry.

The Regulation also allows for the application process to be conducted in cooperation with KOSGEB (Small and Medium Enterprises Development Organization)

Payment Procedure

  • Payment lists for enterprises meeting the eligibility criteria shall be approved by the General Directorate, and payments shall be made by the Ministry.
  • Support payments may be made directly or offset against tax and Social Security (SGK) liabilities.
  • Duplicate utilization of the same support element is not permitted.
  • Payments shall be made by the end of the month following the application, and claims may be submitted until 31 March 2027 at the latest.

Monitoring, Audit and Sanctions

Monitoring and audit activities shall be carried out by the Ministry and/or KOSGEB. (Small and Medium Enterprises Development Organization)

In the event of false or misleading declarations:

Support payments shall be suspended; and

Amounts already paid shall be recovered together with legal interest.

On the other hand:

In the event of closure, transfer, or merger of the enterprise, previously granted support shall not be subject to reimbursement.

The full text of the Regulation is available via the relevant link.

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.

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