Employer of Record in Turkey

Businesses can only operate smoothly in Turkey if they comply with local labor laws including drafting compliant employment contract agreements and meeting taxation and payroll obligations. Learn more about the employment laws and regulations in Turkey below, to avoid any compliance issues.

Employment Contract Requirements

The Turkish Constitution and the Labor Act of 2003 define provisions for employee protections and workers' rights. Discrimination based on age, religion, sexual orientation, gender expression, and race is prohibited. Contracts must be drafted in Turkish but have the option to be bilingual. A contract should include the following elements:

• Commencement date
• Duration of employment
• Working hours
• Compensation and benefits

Onboarding Process

We can help you get a new employee started in Turkey quickly, with a minimum onboarding time of just 1-2 working days. The timeline starts once the employee submits all required information onto the Playroll platform and completes any necessary local authority registrations.

For non-nationals, the Right to Work assessment (if applicable) may add up to three extra days. Additional time may be needed for follow-ups on this assessment. Please note, payroll cut-off dates can impact the actual start date. Playroll's payroll cut-off date is the 10th of each month unless otherwise specified.

Probation Period in Turkey

Though optional, employment contracts typically include a probationary or trial period, with the standard duration being two months.

In Turkey, an employee aged 18 or older is allowed to work up to 45 hours per week, with a maximum of 11 hours per day.  A minimum meal interval of 30 minutes must be observed by employees who work between 4 and 7.5 hours in a day, and this increases to 1 hour for those working more than 7.5 hours. In typical working hours, Monday through Friday, the hours are 9:00 AM to 6:00 PM, though this can vary by company and industry.

In Turkey, overtime is defined as any work performed beyond the standard 45-hour work week. Turkish labor law sets a clear annual limit on overtime: 270 hours per year per employee. This averages to about 5 hours per week, though it can be distributed unevenly throughout the year based on business needs.

Turkish law requires that overtime work be compensated at a rate of 150% of the regular hourly wage (time-and-a-half). This applies to all overtime hours worked beyond the standard 45-hour week. Weekend work is paid at an additional full day's wage, while public holiday work receives double the daily wage.

Hiring in Turkey means navigating local labor laws, mandatory employee benefits, payroll taxes, and strict employment regulations. These requirements aren’t always intuitive, especially if your team lacks in-country legal or HR expertise. An Employer of Record steps in as the legal employer for your hires, managing all compliance-related responsibilities. This includes issuing locally compliant contracts, registering employees with relevant authorities, processing payroll, and handling social security contributions and taxes in line with national laws.

By handing over these complexities to an EOR, your business avoids costly compliance errors and the time required to master local employment standards. You can focus on growing your team and operations while trusting that the legal and administrative foundation is solid. Whether you're making one strategic hire or building out an entire team, the EOR keeps you compliant, removes guesswork, and reduces the risk of legal or financial penalties, without requiring you to open a legal entity or maintain a local HR team.

In Turkey, payroll taxes involve a combination of contributions and withholdings that employers must manage carefully to ensure compliance. Key components include income tax withholding, social security premiums, and unemployment insurance contributions. Employers are responsible for deducting 14% for social security and 1% for unemployment insurance from employees’ gross wages, while also contributing 20.75% to social security and 2% to unemployment insurance. Income tax is progressive, ranging from 15% to 40%, and is calculated cumulatively throughout the year.

Employers must submit monthly declarations to the Turkish Tax Office and Social Security Institution, and failure to comply can result in penalties. Payroll is typically processed on a monthly cycle, and businesses must stay updated on tax thresholds and contributions to avoid legal issues.

Using payroll management software can help employers consolidate payroll data and stay compliant in Turkey.

Running payroll in Turkey is complex, especially when you're hiring without a local entity. Local laws determine everything from tax withholdings and reporting deadlines to benefit contributions and currency requirements. Missteps can lead to fines, payment delays, or unhappy employees. An Employer of Record takes this burden off your plate by handling the full payroll process. Acting as the legal employer, the EOR ensures you remain compliant with all payroll-related obligations, while still allowing you to manage your team’s day-to-day work and performance.

Key Ways an EOR Supports Payroll in Turkey:

• Compliance Assurance: Ensures payroll aligns with local tax laws, labor regulations, and statutory deadlines.
• Payroll Processing & Tax Management: Calculates salaries, applies correct tax withholdings, and submits required reports.
• Benefits & Social Security Contributions: Manages employer obligations for pensions, health insurance, and other legal entitlements.
• Contract Generation & HR Administration: Drafts compliant employment contracts and supports onboarding, terminations, and HR tasks.
• Currency Payments: Issues timely salary payments in local currency, ensuring employees are paid accurately and on time.

In Turkey, work permits and visas are essential for employers hiring foreign workers. The process involves securing a job offer, submitting applications to the Ministry of Labor and Social Security (MLSS), and meeting eligibility criteria such as valid passports, employment contracts, and health insurance. Key visa types include the Employment Purpose Visa, Assigned Lecturer Visa, and Free Zone Worker Visa. Employers must also comply with Turkish labor laws when sponsoring foreign employees.

Mandatory Leave Entitlement in Turkey

The annual leave entitlement in Turkey is from 0 to 20 days, depending on the length of service. for a full time worker. These can include public holidays on top of that or within those days, which would otherwise be unpaid.

Public Holidays In Turkey

There are several public holidays throughout the calendar year. These holidays are distinct from the minimum paid leave entitlement and are granted in addition to annual leave. The following list comprises the national holidays in Turkey:

Paid Time Off in Turkey

In Turkey, the labor law ensures that employees are entitled to annual paid leave based on their length of service, provided they have completed at least one year of employment. The accrual periods and corresponding leave durations are as follows:

• One to five years of employment, including the fifth year: 14 days
• Five to 15 years of employment, including the fifteenth year: 20 days
• 15 years of employment or more: 26 days
• Individuals under 18 or over 50 years of age are automatically granted 20 days of paid annual leave in Turkey.

Maternity Leave In Turkey

Female employees get 16 weeks of paid maternity leave. They need to take eight weeks before giving birth and the other eight weeks after. If it's a multiple pregnancy, they get an extra two weeks before childbirth. If a doctor confirms the woman's good health, she can work until three weeks before delivery and then take a 13-week leave after giving birth.

Paternity Leave In Turkey

Employees in Turkey are granted five days of paid leave when their spouse gives birth, and three days of paid leave in the case of adoption. The employer covers the costs of this leave.

Sick Leave In Turkey

Employees become eligible for sickness benefits from the social security office after the third consecutive day of illness. Employers are not required to provide sick pay during the initial two days of an employee's sickness (although often paid in practice), and they have the option to terminate workers after a six-week period of sick leave.

Parental Leave In Turkey

Parental leave in Turkey is not specifically regulated by any law. Nonetheless, employees may be eligible for maternity leave and paternity leave benefits.

Marriage Leave

Employees are permitted a maximum of three days of paid leave to fulfill their matrimonial ceremonies.

Adoption Leave

Adoptive parents of children below the age of three are eligible for eight weeks of compensated leave, starting from the date their legal custody is officially recognized. Furthermore, these parents have the option to apply for up to six months of unpaid leave following the completion of the adoption process.

Administering employee benefits in Turkey requires more than just offering a standard package. Local labor laws often mandate specific entitlements, from health insurance to paid leave, and the rules can change without warning. Turkey also has unique standards for what an attractive, competitive benefits package looks like. For businesses without in-country expertise, meeting these obligations and expectations can quickly become risky and expensive. An Employer of Record acts as your compliance partner, ensuring all benefits are provided according to the latest legal requirements and without administrative strain on your internal team.

Beyond compliance, an EOR brings clarity and consistency to a process that’s often complex and fragmented. They handle enrollments, ensure accurate employer contributions, manage communications with local providers, and keep everything properly documented. This means employees get what they’re entitled to, and you avoid the headache of navigating benefits systems in a foreign market. Whether you're hiring one person or building a larger team, an EOR provides a clear, dependable structure that lets you offer competitive benefits without taking on unnecessary risk or workload.

Termination Process in Turkey

The procedures for termination in Turkey depend on the specific terms outlined in the employment agreement and collective agreement. Termination can occur under the following circumstances:

• Due to immoral, dishonorable, malicious conduct, or similar behavior
• Because of medical reasons causing incapacity for the job
• As a result of misconduct
• Through disciplinary dismissal

Notice Period in Turkey

For those employed under an open-ended contract in Turkey. Fixed-term contracts in Turkey do not entail any specific notice period. The duration of notice periods is by the length of the employee's tenure, outlined as follows:

• Less than six months: A notice period of two weeks.
• Six to 18 months: A notice period of four weeks.
• 18 to 36 months: A notice period of six weeks.
• Over 36 months: A notice period of eight weeks.

Severance in Turkey

In Turkey, employees who have worked for more than a year and are unfairly dismissed or resign for a valid reason, get severance pay. The amount is calculated by multiplying their monthly salary by the number of years they worked, including any extra months and days. The calculation uses the gross wage, with a set limit.