There is no legal regulation distinguishing blue-collar and white-collar workers in Turkish employment legislation. However, in practice, such a distinction is made, affecting contract terms, wage types, and other factors.

“Blue-collar personnel” refers to employees mainly involved in production, performing jobs that require physical labour and manual skills, where the focus is on quantity over quality. Conversely, “white-collar personnel” refers to employees who use their mental abilities, typically involved in administrative and managerial roles, where quality is prioritised.

In practice, white-collar personnel are generally employed on a fixed monthly salary. A written agreement can specify that up to 270 hours of overtime per year is included in their monthly wage. For this agreement to be valid, the monthly wage must be above the minimum wage level. With this wage structure, employees are paid in full, regardless of the days or hours worked per month, and no deductions are made for sick leave or similar absences. In such cases, any allowance received from the social security institution is deducted from the employee’s wage.

In practice, blue-collar personnel are generally employed on an hourly or daily wage basis, meaning they are paid for the hours or days they work. There is no obligation to pay wages for absenteeism or days off.

The main distinction in practice is between blue-collar and white-collar employees. Although it is not common, the term “grey collar” is sometimes used for employees who possess characteristics of both statuses. However, there is no legal regulation for this status, nor is there any judicial practice resulting in distinct legal outcomes.

Additionally, it should be noted that the concept of “steel collar” has begun to emerge in today’s world, where the use of artificial intelligence and robots is becoming widespread. This concept may be subject to judicial practices and potential legal regulations in the future.

Under Turkish Labour Law No 4857 (the “Labour Law”), the parties may arrange the employment contracts in accordance with their needs, without prejudice to the limitations imposed by the provisions of the law.

Employment contracts are concluded for a definite or indefinite term. These contracts may be full-time, part-time, probationary or other types in terms of working hours.

Employment under Fixed and Indefinite Term Employment Contracts

In Turkish labour law practice, the main principle is that the contract is of indefinite duration. If the employment relationship is not established for a specific period, it is considered to be of indefinite duration; a fixed-term employment contract is an exception.

A fixed-term employment contract is a type of contract that terminates automatically upon the expiration of the period specified in the contract without the need for the parties to declare termination. Employees working under a fixed-term employment contract cannot benefit from certain rights provided by the Labour Law. As such, they are not entitled to severance pay when the contract expires spontaneously, and the notice periods regulated in the law for the termination of an indefinite-term employment contract do not apply to fixed-term employment contracts. Most importantly, employees with fixed-term employment contracts cannot benefit from the “job security” provisions regulated in the Labour Law, which require the termination of employment contracts for valid reasons for employees with a certain level of seniority in workplaces with a certain number of employees.

For these reasons, especially to make the “job security” provisions operational, the validity of a fixed-term employment contract is subject to certain conditions. Accordingly, a fixed-term employment contract may be validly concluded for fixed-term work or subject to objective conditions such as the completion of a certain work or the occurrence of a certain event. If there is no objective reason of this nature in the fixed-term employment contract concluded with the personnel, the employment contract is deemed indefinite from the beginning.

According to the legal regulation, employment contracts with a duration of one year or more must be made in writing. In cases where there is no written contract, the employer is obliged to give the employee a written document within two months at the latest showing the general and special working conditions, daily or weekly working hours, basic wage and wage supplements, if any, wage payment period, the duration of the contract if the duration is fixed, and the provisions that the parties must comply with in case of termination. In any case, it is recommended that the employment contracts be drawn up in writing in terms of the requirement of proof.

Employment with Full-Time and Part-Time Employment Contracts

There is no clear definition of a full-time employment contract in the Labour Law. A full-time employment contract can be defined as a contract between the employee and the employer in which the employee undertakes to work for an employer for the entire weekly and daily legal working hours specified in the Labour Law.

Part-time work, on the other hand, is defined in the Labour Law as work performed up to two-thirds of the equivalent work performed in the workplace with a full-time employment contract.

There is no legal obligation for a part-time employment contract to be made in writing, but it is recommended that it be arranged in writing between the parties in terms of the requirement of proof.

There is no compulsory legal regulation on the proportion of part-time work to be distributed to which days of the week. The parties may freely agree on the work schedule, if it does not exceed the legal working hours.

On-Call Working

On-call working is basically a type of part-time work. It is regulated separately in the Labour Law. Accordingly, it is a labour relationship in which it is agreed that the employee will work upon the employer’s call if he/she is needed in relation to the work he/she has undertaken to do. 

If there is no agreement on total working hours per week, month, or year, it is assumed to be 20 hours per week. The employee is entitled to wages even if he/she is not employed during the specified period. 

Unless otherwise agreed, the employer must make the call at least four days before the time the employee will work. The employee is obliged to fulfil his/her work performance upon the call in accordance with the time limit. There is no compulsory regulation in the law on the form of the call.  If the daily working time is not agreed in the contract, the employer must make the employee work at least four consecutive hours a day in each call.

The on-call employment contract must be made in writing in accordance with the legal regulation.

Remote Working

Remote working is regulated in Article 14 of the Labour Law. It is defined as a work relationship established in writing and based on the principle that the employee performs his/her work at home or outside the workplace with technological communication tools within the scope of the work organisation established by the employer. From the definition in the law, remote working can actually be done in two ways: working from home and working with technological communication (teleworking).

As clearly stated in the definition in the Labour Law, the employment relationship based on remote working must be established in writing. The minimum elements that must be included in the employment contract for the establishment of a remote working employment relationship are: the definition of the work, the way it is done, the duration and location of the work, the wage and the issues regarding the payment of the wage, the equipment provided by the employer and the obligations regarding the protection of these, the employer’s communication with the employee and the provisions regarding the general and special working conditions.

For other forms of employment other than remote working, there is no legal regulation on the mandatory content that must be included in the contract. However, in terms of the employment relationship, the necessary and provable information can be listed as the name-surname-address information of the employee, his/her position, the type and amount of employment, the type and amount of wage, the date of payment, the place where the work will be performed; and for the employer, the full title, address, and the wage he/she undertakes to pay. Without prejudice to the law, the parties may also agree on other special conditions in the contract, such as the obligations undertaken within the employment contract, details regarding the form of employment, rights determined above the legal limit. In any case, the unit wage to be paid to the personnel shall not be below the minimum wage decided and applied by the relevant commission.

Maximum Working Hours

The Turkish Labour Law sets the maximum weekly working time at 45 hours.

The maximum daily working time is set at 11 hours. There is an exceptional provision for night work. Work between 20:00 and 06:00 is considered night work. In workplaces where shift work is applied, the work of the shift in which more than half of the working time coincides with the night period is considered night work. Night work cannot exceed 7.5 hours per day.

Flexible Working Arrangements

The Labour Law does not directly regulate flexible working. However, partial work and equalisation arrangements can be examined under the section on flexibilisation of working time.

Partial work

Partial work is the work performed up to two-thirds of the equivalent work performed in the workplace with a full-time employment contract. If there is work exceeding two-thirds of the full-time work applied in the workplace, this will not be accepted as part-time work. Overtime work is prohibited in part-time work. Part-time work can be realised between the parties on a voluntary basis. This work must be continuous and regular. Reducing the working time for a temporary period in a full-time employment relationship will not make the employment relationship part-time.

Equalisation

The normal weekly working time can be distributed differently to the working days of the week in the workplaces with the agreement of the parties, provided that the total working time does not exceed eleven hours a day. In this case, the average weekly working time of the employee within a period of two months cannot exceed the normal weekly working time. The equalisation period may be increased up to four months by collective labour agreements. In order to apply equalisation at the workplace, the parties must agree on this issue. An agreement may be reached through an employment contract or a collective bargaining agreement, or the parties may also agree on this issue through a separate written protocol.

Overtime

Overtime work is defined as work exceeding 45 hours per week. In accordance with the relevant legal regulation, overtime work exceeding 45 hours per week is paid by increasing the amount per hour by 50%. In cases where the weekly working time is determined below forty-five hours by contract, the work exceeding the weekly working time and up to forty-five hours is defined as overtime work. In overtime work, the wage for each hour of overtime work is paid by increasing the normal working wage by25% per hour.

In any case, the working time cannot exceed 11 hours per day, 7.5 hours per day if night work is performed and 270 hours of overtime work per year. Exceeding this limit is grounds for justified termination of the employment contract for the employee and is subject to administrative sanctions (such as administrative fines). In any case, if the working time exceeds 11 hours per day, or 7.5 hours per day if night work is carried out, regardless of whether the weekly work exceeds 45 hours or not, the work exceeding the limit must be paid as overtime wages.

Minimum Wage Requirements

According to Labour Law, the minimum wage is determined by the Ministry of Employment and Social Security through the Minimum Wage Determination Commission every two years at the latest. In general practice, the Minimum Wage Determination Commission determines the minimum wage every year.

Workers cannot be paid less than the wages determined by the Commission. Provisions to the contrary cannot be included in employment contracts and collective labour agreements. No deduction can be made from the minimum wage by employers for social benefits provided to workers. Apart from the minimum wage regulation, there is no other legal regulation that obliges employers to increase wages in certain periods.

Bonuses

In addition to the main wage, the employer may pay bonuses to employees on certain days such as holidays, New Year’s and birthdays. If the payment of bonuses is agreed in the employment contract or collective bargaining agreement or has become a working condition with the unilateral application of the employer, the employee has the right to demand the payment of bonuses. If the conditions do not exist, the employer is not legally obliged to pay bonuses.

In the workplace where the bonus payment is made, if the employee has been dismissed/dismissed before the payment date, the bonus must be paid in proportion to the period of employment, unless there is a different agreement.

Week Holiday

A week holiday is a period of at least twenty-four hours without interruption within a period of seven days, provided that the employee has worked on the working days specified in the Labour Law. Even if the employee does not work on a week holiday, he/she is entitled to that day’s wage. If he/she works on a week holiday, in addition to the one wage he/she would be entitled to even if he/she did not work, he/she is entitled to 1.5 wages with a 50% increase, considering the overtime tariff for working over 45 hours. In other words, if the employee works on a week holiday, he/she is entitled to a total of 2.5 wages for that day.

National and Public Holidays

National and public holidays are defined in the Labour Law and it is essential that these days are recognised as holidays. Even if the employee does not work on these days, he/she is entitled to that day’s wage. If the employee works on these specified holidays, he/she is entitled to one wage for working in addition to the one wage he/she will be entitled to even if he/she does not work. In other words, if the employee works on national and public holidays, he/she is entitled to a total of two wages. National and public holidays are listed in the legal regulations.

Annual Leave

Pursuant to the Labour Law, all employees who have completed one year of seniority in the workplace of the same employer are entitled to annual leave. Employees with one to five years of service are entitled to at least 14 days of annual leave, while those with more than five but less than fifteen years are entitled to 20 days. Employees with fifteen or more years of service have a minimum entitlement of 26 days. Employees aged 18 and under and employees aged 50 and over cannot be granted less than 20 days of annual paid leave. Annual leave periods may be increased by employment contracts and collective bargaining agreements.

The employer is obliged to pay the employee taking his/her annual leave in advance before the start of the leave period. While there is no legal requirement for additional payment, it is customary for employers to provide a “leave allowance” to employees taking annual leave. This practice is often enshrined in collective bargaining agreements.

Prenatal and Postnatal Leave

Pursuant to Article 74 of the Labour Law, it is essential that a female worker is granted leave for a total period of sixteen weeks, eight weeks before and eight weeks after childbirth. In case of multiple pregnancies, two weeks are added to the eight-week period before the birth. However, if it is documented that the health condition of the employee is appropriate to work with the approval of a doctor, female and pregnant employees can work up to three weeks before the birth. In this case, the periods worked before the birth are added to the postnatal leave periods. In case of the death of the mother during or after childbirth, the periods that cannot be used after childbirth shall be made available to the father. Employees who adopt a child (only one spouse if a married couple adopts) under the age of three are granted eight weeks of maternity leave from the date the child is delivered to the family or adopting parent.

Right to Unpaid Leave After Birth/Adoption

If the female employee requests, she should be granted unpaid leave for up to six months after the completion of sixteen weeks of maternity leave or after the completion of eighteen weeks in case of multiple pregnancy. This leave is also granted to one of the spouses or adopting parent in case of adoption of a child under the age of three.

Postnatal Part-time Work

From the end of the maternity leave, provided that the child is alive, female workers and female or male workers who adopt a child under the age of three are given unpaid leave for sixty days in the first birth, one hundred and twenty days in the second birth, and one hundred and eighty days in subsequent births for half of the weekly working time. In case of multiple births, thirty days are added to these periods. If the child is born disabled, the applicable period is three hundred and sixty days. On the days of part-time work, the worker receives an allowance from the Social Security Institution for the period he/she does not work and if he/she meets the necessary conditions.

Part-time Work at the Compulsory Primary Education Age of the Child

After the end of the prenatal and postnatal maternity leave, one of the parents may request part-time work at the beginning of the month following the start of the compulsory primary education age of the child. This request must be met by the employer and the employer cannot terminate the employee’s employment contract for this reason. An employee who starts part-time work within the scope of this provision may return to full-time work, without benefiting from this right again for the same child. The employee who wishes to return to full-time work must notify the employer in writing at least one month in advance.  If one of the parents is not working, the working spouse cannot request part-time work.

Breastfeeding Leave

A female worker is given 1.5 hours of paid leave per day to breastfeed her child under one year of age.

Illness and Incapacity for Work

There is no legal regulation in the Labour Law regarding any requirement to grant leave to employees without a doctor’s note for illness. In case of illness or other reasons, the employer’s wage payment obligation varies according to the type of wage received by the employee.

For employees working on a monthly fixed wage, the wages of the days they do not work due to illness are not deducted, and the temporary incapacity allowance paid by the Social Insurance Institution is deducted from the wages of monthly paid workers. On the other hand, there is no regulation stating that no deduction can be made from the wages of personnel paid hourly or daily. However, the Turkish Code of Obligations stipulates the obligation to pay an equitable wage to the employee for the period of short-term absenteeism in case of illness, if it is not covered by any other means.

Duty of Confidentiality and Loyalty

In terms of other conditions of employment, particularly in the context of employees’ liability, the duty of confidentiality and loyalty of the employees should also be addressed.

According to the Turkish Code of Obligations, the employee cannot use the production and business secrets that he/she learns during his/her work at the workplace for his/her own benefit during the continuation of the employment contract, nor can he/she disclose them to third parties. Even after the termination of the employment contract, it is clearly regulated in the law that the employee is obliged to keep secrets to the extent necessary for the protection of the rightful interest of the employer.

The employee’s disclosure of confidential information during the continuation of the employment contract in violation of the obligation of loyalty and in a way that harms the employer is regulated as a justified termination due to breach of integrity and loyalty in the provisions of the Labour Law.

At this juncture, the concept of whistleblowing also finds a place in Turkish law. Whistleblowing can be summarised as the employee’s disclosure of practices contrary to the law and ethical rules that he/she is aware of in the workplace to third parties, the media and official institutions. In the doctrine and jurisprudence, it is stated that the employee’s disclosure of information that may cause damage to the employer will constitute a breach of the duty of loyalty, but at this point, if there is a situation that constitutes a criminal element and the public interest should be kept superior, this behaviour of the employee should not be considered a breach of the duty of loyalty.

Pursuant to Article 396 of the Turkish Code of Obligations, the employee may not engage in competition with his/her employer during the term of the employment contract and may not work for a third party for remuneration in violation of the duty of loyalty. If the contrary situation is detected, the employment contract of the employee may be terminated immediately by the employer for just cause due to the employee’s behaviour contrary to the duty of loyalty and integrity.

However, for the employee to have a non-competition obligation after the termination of the employment contract, an agreement on non-competition must be concluded between the parties.

For the non-competition agreement signed between the employee and the employer to be valid, the following conditions must be met:

• The employee must have the capacity to act at the time of signing the agreement.
• The non-competition agreement must be in writing.
• The service relationship provides the employee with the opportunity to obtain information about the customer environment or production secrets or the employer’s business.
• The use of the information possessed by the employee is likely to cause significant damage to the employer.

The Code of Obligations stipulates that the non-competition clause should not be regulated in a wide scope in terms of location and subject matter, and its duration should not exceed two years in order not to jeopardise the economic future of the employee.

The non-competition clause expires if the employment contract is terminated by the employer without a justified reason or terminated by the employee for a reason arising from the employer.

The employee who violates the non-competition clause is obliged to compensate all damages incurred by the employer as a result. If a penalty clause is included in the employment contract or non-competition agreement, the employee is released from the non-competition obligation by paying this penalty. However, he/she must also compensate the damages, if any, exceeding the amount of the penalty imposed. 

It is a requirement of the duty of care and loyalty regulated in the Turkish Code of Obligations that the employee does not engage in any act or behaviour against the employer during the continuation of the employment contract.

After the termination of the employment contract, avoiding behaviours that may be to the detriment of the employer may be regulated in the content of non-competition-based agreements to be added to the employment contract or signed separately.

In practice, it is common for an employee who leaves the workplace to transfer some of his/her colleagues from the old workplace to the new workplace, and/or to ensure that the customers of the old workplace become customers of the competitor company.

To prevent such situations, in practice, a non-competition clause is added to the content of the employment contract signed between employers and employees or to the content of the independent contract made in this regard. In addition to the content of such contracts, there are also provisions that prohibit the employee from encouraging the transfer of other colleagues from the workplace to competitor companies and the unfair referral of the customers of the workplace to competitor companies and stipulate the payment of a penalty in case of violation.

According to Law No 6698 on the Protection of Personal Data, employers (as the data controller) may process employee data in accordance with the law and good faith, within specific, clear and legitimate purposes and limited to these purposes, if it is proportionate, and may also retain employee data limited to the purpose.

Employers are also obliged to destroy employee data when the reasons for data processing cease to exist. The transfer of employee data within the country and the transfer of employee data abroad are subject to special conditions.

Employees must be informed about the purpose for which their data is processed, the persons/institutions to whom their data may be transferred, how their data is processed and the rights they have in relation to their data.

This information must be made clearly, in writing, and it is recommended that the disclosure notices be made against signature as a separate text independent from the contract when the employment contracts are established.

Within the scope of occupational health and safety obligations, a lot of health data of employees is kept in the workplace. This data is defined as sensitive personal data within the scope of the Law on the Protection of Personal Data. For this reason, such data should be kept in a way that is not accessible to everyone and accessible only to the relevant persons, such as physicians and health officers.

Regulations on foreign employees are regulated in the International Labour Force Law No 6735. Except for workers who are exempted from work permits under other laws or international agreements, the work of foreigners within the scope of the International Labour Force Law in Türkiye is subject to the condition of obtaining a work permit. Accordingly, unless they have an exemption regulated by law, foreigners cannot work in Türkiye without a work permit. Foreigners with a work permit are subject to the same regulations as Turkish employees.

The evaluation criteria for work permit applications are clearly and in detail listed in the International Labour Force Law. It is clearly stated in the law that the applications of those who do not meet these criteria will be rejected.

Work permits are not granted to foreign workers in domestic services, except for the care of the elderly, sick and children. Pursuant to Article 13 of the Implementing Regulation of the Law on Work Permits for Foreigners in force, the evaluation criteria to be met by the applicant workplaces and foreigners are explained by the Ministry of Labour and Social Security, accordingly:

• It is compulsory to employ at least five citizens of the Republic of Türkiye in the workplace where a work permit is requested. In case a work permit is requested for more than one foreigner in the same workplace, five Turkish citizens must be employed for each foreigner after the first foreigner for whom a work permit is granted. Some sectors are exempt from this rule.
• The paid-in capital of the workplace must be at least TRY100,000 or the gross sales must be at least TRY800,000 or the last year’s export amount must be at least USD250,000.
• The capital share of the foreigner, who is a partner of the company requesting permission, must be at least 20%, and not less than TRY40,000.
• The amount of monthly wage declared to be paid to the foreigner by the employer must be at a level compatible with the duties and competence of the foreigner.

Work permit applications are made directly to the Ministry of Labour and Social Security in Türkiye and to the embassies or consulates general of the Republic of Türkiye abroad.

The work permit application shall be evaluated according to the international labour policy. In cases deemed necessary by the Ministry, the opinions of the relevant public institutions and organisations and professional organisations having the status of public institutions are to be taken into consideration.

The documents requested from the foreign employee during the application are listed below:

• employment contract signed by the employer and the foreigner;
• passport copy;
• translated copy of diploma or temporary graduation certificate; and
• professional qualification certificate/permit to be obtained from the relevant authority according to the sector in which the foreigner will work.

Data Protection

It is stipulated that the employer shall inform the remote worker about the business rules and relevant legislation regarding the protection and sharing of data related to the workplace and the work performed and shall take the necessary measures to protect this data. It is important that this information is made in writing to provide ease of proof.

The employer must determine the definition and scope of the data to be protected in the employment contract or telework protocol signed with the employee. The remote worker must comply with the operating rules determined by the employer to protect the data.

Occupational Health and Safety

The Remote Working Regulation clearly stipulates that the employer is obliged to inform the employee about occupational health and safety measures, to provide the necessary training, to provide health surveillance and to take the necessary occupational safety measures regarding the equipment provided, considering the nature of the work performed by the remote worker. Accordingly, the employer is obliged to:

• carry out a risk analysis;
• prepare an emergency action plan;
• provide training; and
• ensure that obligations, such as providing protective equipment where necessary, continue to be fulfilled within the scope of teleworking; in cases where it is not possible for the employer to directly access the remote working environment, the regulation allows for alternative solutions to fulfil these legal obligations, such as written questionnaires to gather information about the employee’s working environment and assess potential risks, and using video recordings to deliver health and safety training to remote workers.

It is important to establish clear procedures for verifying compliance with occupational health and safety (OHS) practices in remote work settings. This includes documenting training efforts, such as conducting video training sessions followed by assessment tests, and implementing risk assessment protocols like using checklists to identify hazards and track preventive measures. Even in the absence of specific regulatory guidance, proactive steps to establish and document OHS practices can help demonstrate due diligence.

Furthermore, given the presumption that accidents during working hours are work-related, it is advisable to include a provision in employment contracts or additional protocols requiring employees to promptly notify their employer of any work-related accidents or health issues. This ensures that the employer can meet their legal obligations regarding reporting and notification.

Social Security

All the employer’s obligations regarding the payment of social security premiums and social security benefits for employees, as outlined in Law No 5510, remain unchanged even when employees are engaged in remote or mobile work arrangements.

There is no provision in Labour Law to grant paid leave to employees due to the need for training. In this respect, it is subject to the employer’s acceptance to grant paid and/or unpaid leave to the personnel who need it upon request. The employer is not legally obliged to grant paid and/or unpaid leave to the personnel due to the need for training.

The new forms of labour that have recently been encountered in practice are listed below. However, there are no clear definitions and regulations in the laws on these forms of labour, nor has there been a clear legal characterisation in the jurisprudence.

Freelancing

The word “freelancing” refers to freelance work or self-employment. In practice, it is often used in the professions of writing, editing, translation, and computer programming. Freelance work is generally carried out remotely and over the internet. In the few precedent judicial decisions on the subject, it is stated that each concrete case should be evaluated separately based on whether there is a dependency relationship between the employee and the employer. 

Crowdsourcing

Work is divided into smaller tasks and distributed among multiple workers. This approach aims for faster completion without requiring a fixed workplace, thereby potentially saving on office and personnel costs. There is not yet a separate legal regulation regarding this way of working.

Hybrid Working

This is a working model in which office and remote working are applied together. This form of work is widespread in Türkiye, especially after the COVID-19 pandemic. Unlike other new working models, in this type of work there is a dependency relationship between the employee and the employer, and the provisions of the Labour Law clearly apply.

The Purpose and Principles of the Establishment of Unions

Trade unions are organisations with legal personality established to protect the rights and interests of workers and employers. Provided that the conditions specified in the law are met, trade unions may be established without any prior authorisation. The right to establish trade unions is also guaranteed by the Constitution.

Under Turkish law, trade unions are established on a line of business basis and can only operate in the line of business in which they are established. The Ministry of Labour and Social Security determines which jobs are included in which business line.

The Role of Trade Unions

The most important role of trade unions is to conclude collective labour agreements with employers to improve the rights and interests of workers.

Not all trade unions, but those that can obtain official authorisation can conclude collective bargaining agreements. For a trade union to be officially authorised:

• at least 1% of the registered workers across the country in the line of work in which the union is established must be members of the relevant union;
• more than half of the employees of the employer with whom the collective labour agreement will be signed must be members of the relevant trade union; and
• if collective labour agreements are to be made at enterprise level, 40% of the employees in the enterprise must be members of the relevant union.

Trade unions represent workers in many areas other than collective bargaining. Here are some of their fundamental representation powers:

• Trade unions have the authority to initiate legal action on behalf of their members, and to actively participate in ongoing legal proceedings.
• In workplaces with established collective labour agreements, trade unions are empowered to appoint employee representatives.
• The trade union with the largest membership nationwide has the significant responsibility of representing workers on the minimum wage commission.

Trade Unions and Confederations

Trade unions are the most fundamental employee representative body enshrined in labour legislation and guaranteed by the Constitution. Trade unions are private law legal entities that can be established with the participation of at least seven workers.

While trade unions can only operate in the business line they are affiliated with, at least five trade unions in different business lines can come together to form a confederation.

Trade Union Employee Representatives

The trade union, whose authorisation to conclude a collective bargaining agreement is finalised, shall appoint representatives from among the employees of the workplace where the agreement will be concluded.

The number of employee representatives to be appointed in a workplace is specified in the law and is determined according to the total number of employees of the workplace.

The term of office of the representatives is for the duration of the collective labour agreement. Employee representatives, limited to the workplace where they work, are responsible for listening to and resolving workers’ complaints, ensuring communication and harmony between employees and employers, and protecting employees’ rights.

Occupational Health and Safety Employee Representatives

According to legal regulations, it is mandatory to have an employee representative in the field of occupational health and safety in workplaces, whether there is an authorised trade union in the workplace. The number of employee representatives required in a workplace according to the degree of danger of the workplace and the total number of employees in the workplace is regulated by law. It is essential that employee representatives are elected.

Occupational health and safety employee representatives are authorised to represent the employees in the workplace in matters such as participating in work at the workplace, requesting measures to be taken to reduce risks, and making proposals for the improvement of processes.

Optional Employee Representatives

It is known that in some workplaces in Türkiye, employee representation units are established even though they are not legally obligatory. Particularly in larger workplaces, these representatives serve as a vital communication channel between employees and management, fostering a harmonious work environment, and ensuring that employee perspectives are considered in business decisions.

Collective Labour Agreement Negotiation Process

The trade union, which has reached a sufficient majority for a collective bargaining agreement, invites the employer to collective bargaining negotiations after the finalisation of its authorisation. If they reach an agreement, the collective labour agreement is signed.

If the parties cannot reach an agreement, the legal mediation process starts. At the end of this procedure, if the parties agree, the collective labour agreement is signed.

In case of failure to reach an agreement, the trade union has the right to strike.

Form, Duration and Basic Principles of Collective Labour Agreements

Collective labour agreements must be in writing. The duration of the agreement can be at least one year and at most three years. A collective labour agreement generally includes the following: 

• the scope and applicability of the agreement;
• the wage increases that will be applied to workers’ wages during the contract period;
• benefits to be provided to the workers and the increases to be applied to them; and
• disciplinary rules and sanctions that will be in effect in the workplace.

Scope of Collective Labour Agreements

Collective labour agreements benefit all workers who are members of the union or all workers who are not members of the union but pay solidarity dues to the union. However, when drafting a collective labour agreement, out-of-scope employees may be identified. In practice, white-collar employees are generally excluded.

The Employer’s Obligation to Rely on a Valid Reason and the Concept of Job Security

According to legal regulations, if the employer has at least 30 employees, it must rely on “valid reasons” when terminating the employment contract of an employee who has worked for more than six months and is not the employer’s representative.

Valid reasons are situations where it is unreasonable to expect the employer to continue the employment relationship, although they are not as severe as the grounds which allow the employer to “justify termination”.

The employer is obliged to make the notice of termination in writing and to state the reasons in clear and precise language. In addition, if the employment contract is to be terminated for valid reasons arising from the performance or behaviour of the employee, it is obligatory to take the employee’s defence before termination.

Other Reasons for Termination for the Employer

The employer may terminate the employment contract within the probationary period, except for valid reasons. The employer who uses the right of termination during the probationary period is not obliged to comply with the notice periods.

In addition, the employer may terminate the employment contract for “just cause”. The justified reasons that the employer may rely on will be mentioned in 7.3 Dismissal for (Serious) Cause.

Collective Dismissal

The employer may make a collective dismissal for economic or structural reasons. To be able to mention collective dismissal, the employment contracts of the following number of employees must be terminated on the same or different dates within a month:

• at least ten in a workplace employing 20-100 workers;
• at least 10% in workplaces with 101-300 employees; and
• at least 30 in workplaces employing 301 or more workers.

The employer who will make a collective dismissal shall notify this situation to the workplace union representatives and the Turkish Labour Institution at least 30 days in advance.

Reasons for Termination and Legal Consequences for the Employee

Probation and resignation

Employees, just like employers, may terminate their employment contracts during the probationary period without the obligation to comply with the notice periods. After this period, termination of the employment contract by the employee without any reason is considered as resignation. The resigned employee is not entitled to any compensation.

Termination due to marriage, military service, retirement

Female employees can terminate their employment contract within one year from the date of marriage due to marriage, and male employees can terminate their employment contract due to military service. Providing legal retirement conditions is another reason for termination in the legislation.

If the employee’s working period is one year or more, these types of termination entitle the employee to severance pay. The employee who terminates the employment contract on these grounds does not have to comply with the notice periods.

Termination by the employee based on justified reasons

Article 24 of the Labour Law regulates “just cause” for the employee. The following can be listed as the main justified reasons in question:

• dangerous working conditions at the workplace for the health of the worker;
• the employer misleading the employee about the terms of the contract;
• the employer attacks the personal rights of the employee, taunts the employee, accuses the employee of a crime;
• the employee has been subjected to harassment and the employer has not taken precautions in this regard despite knowing about it;
• failure by the employer to pay the employee’s progress payments or failure of the employer to fulfil other legal obligations; or
• stoppage of work for more than one week due to reasons arising from the workplace.

If the employee has more than one year of seniority and can prove the reason for termination, the employee is entitled to severance pay. The employee who terminates his/her employment contract based on these reasons does not have to comply with the notice periods.

The employee is obliged to exercise his/her right of termination within six working days following the date on which he/she learns the justified reason for termination. Otherwise, the right of termination disappears.

According to legal regulations, the party who will terminate an indefinite-term employment contract must notify the other party of this situation a certain period in advance. These periods are called notice periods.

Notice Periods

According to legal regulations, the party who will terminate the employment contract must comply with the following notice periods according to the duration of the employment contract between the parties.

• two weeks if the employment has lasted less than 6 months;
• four weeks if it lasted between six months and 1.5 years;
• six weeks if it lasted between 1.5 years and three years; and
• eight weeks if more than three years.

These periods regulated in the law are minimum and can be increased with the agreement of the parties.

Cases Where There is No Obligation to Comply With the Notice Period

In fixed-term contracts, since the date of termination of the contract is known by both parties, the parties will not need such a transition period. For this reason, in the Turkish Labour Law, the notice period is applicable only for indefinite-term contracts.

However, there is no obligation to comply with the notice periods for terminations based on justified reasons by the employer or the employee.

Again, it is not obligatory to comply with the notice periods for terminations due to marriage, military service, retirement and trial terminations.

Notice Pay

The party who terminates the indefinite-term employment contract without complying with the notice periods is obliged to pay the other party the wage covering this period as compensation. This compensation is different from severance pay.

In addition, it is accepted in Turkish Labour Law that the notice period is indivisible. In other words, it is not possible to complete part of the notice period by working and the remaining part by paying notice pay.

For both parties of the contract, it is recommended to notify the other party with a written notification in order to prove that the notice periods have been complied with.

Reasons for Justified Termination That the Employer May Rely on

Termination due to the employee’s behaviour contrary to the rules of morality and good faith

Article 25/II of the Labour Law gives the employer the right to terminate the employment contract immediately, without any compensation, in cases contrary to the rules of morality and goodwill. The main reasons for justified termination for serious cause mentioned in the article are as follows:

• the employee making statements or behaviours that are offensive to the personal rights of the employer or one of his/her family members, imputing a crime;
• sexual harassment of another worker by the worker;
• engaging in bullying or harassment towards the employer or another worker, or coming to the workplace under the influence of intoxicants or drugs or using them at the workplace;
• abusing the trust of the employer, theft, behaviours incompatible with honesty such as revealing the employer’s professional secrets;
• failure of the employee to come to work within the periods specified in the law for an arbitrary reason;
• refusal by the worker to fulfil his/her duties despite being warned; or
• endangering occupational health and safety, or damaging an item belonging to the employer in an amount exceeding his/her 30-day wage.

The employer must exercise his right of termination within six working days from the day he/she learns the reason and in any case within one year from the date of the act. If the termination occurs beyond this timeframe, even if there is a justified cause for termination, the employer will lose the legal advantages associated with justified termination.

Other justified reasons that the employer may rely on

Other justified reasons for termination by the employer listed in Article 25 of the Labour Law are as follows:

• the employee being ill or having a bad lifestyle for any reason and being absent at the workplace for a certain period for this reason;
• an employee submitting an official medical board report stating that he/she will not be able to work due to health reasons; or
• an employee who is detained or arrested due to an offence committed can be counted as being unable to come to the workplace for a certain period.

Unlike the reasons that are contrary to the rules of morality and good faith, the employer is obliged to pay severance pay to the employee who has worked for more than one year.

To prove both the reason for termination and that the termination was made in due time, it is recommended that the employer terminate the employment contract with a written notice clearly stating the reasons for termination.

Rescission Agreements

Although the legal regulations do not contain a provision on termination agreements, the precedent set by the high court acknowledges the possibility for parties to mutually agree on termination.

In cases where the contract is concluded by mutual agreement, as a rule, the employee cannot file a reinstatement lawsuit. For an agreement where the employee is deprived of these rights to be valid, an appropriate benefit must be provided in return for the deprived rights.

It is important which party is the party proposing the agreement in terms of whether the agreed additional benefit is appropriate or not. When the offer is made by the employee, it may be sufficient to pay only the severance and notice pay, whereas if the offer is made by the employer, it is appropriate to make an additional payment of at least four salaries in addition to the severance and notice pay.

Release Agreements

Release agreements are agreements that release the debtor from the debt. The conditions that must be present in a valid release in terms of labour contracts are listed in the law:

• The release agreement must be in writing and at least one month after the date of termination. 
• The release agreement should clearly set the types and amounts of receivables subject to it.
• The employer must make all payments in full and through a bank transfer, ensuring that the employee receives the entirety of the agreed-upon compensation.

A release agreement that does not meet these conditions does not completely release the employer from the debt. In such cases, the agreement will only be considered as a receipt for the specific amounts mentioned within it.

Employees Subject to Job Security

The employer’s obligation to “rely on valid reasons” is referred to as the principle of job security. The principle of job security aims to prevent the employer from using the right of termination arbitrarily. Employees can benefit from job security when the following conditions are met:

• Workplace size: The employer must have at least 30 employees.
• Seniority: The employee must have completed at least six months of service.
• Position: The employee cannot be an employer’s representative.
• Contract type: The employee must be under an indefinite-term employment.

In accordance with this principle, not only the existence of a valid reason is sufficient, but it also requires the employer to act in accordance with the principle of “termination of last resort” by taking certain measures to avoid termination. Failure to adhere to this principle can lead to “reinstatement cases”, where employees can seek legal recourse to regain their employment.

Trade Union Members

Employers may not terminate the employment contract of an employee for being a member of a trade union or participating in trade union activities. Otherwise, the employee shall be paid union compensation not less than one year’s salary.

Trade Union Representatives

The employer may terminate the employment contract of union representatives only for just cause. If the representative files a reinstatement lawsuit and the lawsuit is concluded in his/her favour, even if the employer does not reinstate him/her despite the court decision, the employee is entitled to wages and other fringe benefits as if he/she were working until the end of the representation period.

Protection Principles Specific to Women Workers

Women workers cannot be dismissed solely on the basis of pregnancy. Otherwise, the employer is liable for the consequences of a reinstatement lawsuit, severance pay and notice pay. In addition, the compensation for non-reemployment in a reinstatement case is determined in the amount of eight months’ salary, which is the upper limit. However, the employer must pay discrimination compensation to the employee in the amount of four months’ salary.

In addition, female employees have the right to request part-time work after childbirth until the child reaches primary school age. In accordance with the legal regulation, this request must be met by the employer, and it is forbidden to terminate the employment contract for this reason.

Reinstatement Lawsuits

The employee whose employment contract is terminated by the employer may claim that the employment contract was terminated by the employer without a valid reason and that the termination is invalid.

Application to mediation is mandatory before filing a lawsuit and the application period is one month from the date of termination. When the mediation process results in the parties’ failure to agree, this situation is recorded in the minutes. The employee must file a lawsuit for reinstatement within two weeks from the date of this report.

The burden of proof in reinstatement cases is on the employer. The employer is obliged to prove the reason for the termination.

The favourable outcome of the reinstatement case means that the termination made by the employer is invalid. Accordingly, the court decides on the invalidity of the termination and the reinstatement of the employee.

After the court decision is finalised, the employee must apply to the employer in writing. If the employer does not accept the reinstatement application, the employee must be paid four months’ salary specified in the court decision and non-reinstatement compensation in the amount of 4-8 months’ salary. 

Since the invalidation of the termination means that the termination is not based on just cause, the employee must also be paid severance and notice pay because the reinstatement case concluded in favour of the employee.

Bad Faith Compensation

Employees who are not covered by job security do not have the right to file a reinstatement lawsuit. The law gives these persons the opportunity to claim bad faith compensation against the employer who does not have a justified and valid reason for the termination and acts in bad faith. This compensation is three times the amount of the notice period to which the employee is subject according to his/her seniority at the date of termination.

It is mandatory to apply to the mediator before the lawsuit. The burden of proof in the lawsuit is on the employee, and the employer’s bad faith must be proved by the employee.

Severance and Notice Pay Cases

The employee may claim that the employment contract was terminated by the employer without a just cause. The main issue in this case is not whether the termination was valid but whether it was justified.

It is mandatory to apply to the mediator for these cases as well.

In compensation cases, the employee is obliged to prove that the employer did not have just cause for the termination.

Severance Pay

Severance pay is the compensation paid to the employee in the amount of 30 days’ wage for each full year of service during the continuation of the employment contract. There is an upper limit for severance pay and this upper limit is announced by the official authorities every year. Even if the 30-day wage of the employee is higher, he/she may be entitled to severance pay up to the official upper limit.

Equal Treatment Obligation of the Employer

According to the law, employers cannot discriminate based on language, race, sex, disability, political opinion, religion and similar reasons. In addition, the employer cannot discriminate on the grounds of gender and pregnancy and cannot subject employees with fixed-term contracts and part-time contracts to different treatment than other employees.

The equal treatment obligation of the employer exists at every stage of the employment relationship, including the establishment of the employment relationship, the provision of working conditions and termination.

The equal treatment obligation of the employer does not aim for absolute equality; the main thing is not to violate the equality between equals. Accordingly, the employer may develop different practices based on a concrete and objective justification that justifies the discrimination.

If the employer violates the equal treatment obligation, the employee may terminate his/her employment contract for just cause and may be entitled to severance pay. In addition, the employee may demand the payment of the rights he/she has been deprived of due to this breach by the employer.

The burden of proof is, as a rule, on the employee. However, the employee’s burden of proof is not conclusive and if the employee demonstrates a situation that strongly indicates the existence of such a possibility, the employer must prove that their actions were not discriminatory.

National Judicial Network Project (UYAP) and E-Trial

UYAP is the information system in which the central and provincial organisations of the Ministry of Justice of the Republic of Türkiye are transferred to the digital environment. This system allows parties and their attorneys to access and track all information related to their cases pending in any court.

Furthermore, e-trials are now possible in labour disputes. The party requesting an e-trial must notify the court at least two working days in advance, together with the grounds thereof. The court judge who receives the request shall decide on the request at least one day before the hearing.

Expertise and Representation in Litigation

In Türkiye, the Civil Code allows individuals with the necessary legal capacity to personally handle their lawsuits. While hiring a lawyer is not compulsory, it is often recommended given the complexity of legal proceedings.

Since litigation can be pursued personally by the employee or, if the employee prefers, by proxy, it is not possible to pursue litigation processes through specialised employment forums etc, in the Turkish legal system.

Class Actions

In terms of labour law, only trade unions can file class actions. These lawsuits may be related to disputes such as the determination of a violation of law or the interpretation of a collective labour agreement.

Cases that directly concern the individual interests of workers, such as reinstatement, receivables and compensation, cannot be filed as class actions.

Type of Dispute That Can be Submitted to Arbitration

Article 20 of the Labour Law stipulates that reinstatement cases filed on the grounds of invalidity of termination may be submitted to arbitration if the parties agree. However, there is no provision in the legislation regarding the possibility of arbitration in other types of cases.

The Validity of Arbitration Clauses in Employment Contracts

While the Labour Law stipulates that the parties may agree to arbitration for reinstatement cases, there is no limiting provision on when this agreement should be made. However, in the decisions of the high courts, it is accepted that arbitration agreements made at the time of the establishment of the employment contract or during the continuation of the contract are invalid on the grounds that the employee is economically dependent on the employer due to the need for work.

In a judicial process, the parties bear certain expenses such as fees, witness fees, expert witness fees, notification expenses and attorney’s fees if they choose legal representation.

At the end of the proceedings, the party deemed to be at fault is generally responsible for covering the expenses incurred by the prevailing party, in addition to their own costs.

In scenarios where the court’s decision involves partial acceptance and partial rejection of the claims, both parties are obligated to reimburse each other for expenses proportionally, based on the extent to which their respective claims were upheld. Throughout the proceedings, the court decisions explicitly document the judicial expenses borne by each party, along with the precise amount each party is liable to pay the other.

The attorney’s fee within the costs of the proceedings is determined according to the officially published attorney’s fee tariff. The victorious party is entitled to claim only the fee specified in this tariff, even if their actual legal fees, per their agreement with their lawyer, were higher.