About

Labor and Social Insurance Law

Labor and Social Insurance Law for Foreigners in Turkey

Overview
This document provides essential information about labor and social insurance regulations for foreign workers and employers in Turkey. The Istanbul Chamber of Certified Public Accountants (ISMMMO) serves as a trusted resource for understanding and implementing these regulations, supporting economic development through transparency and professional guidance.
Turkey's labor and social insurance framework applies equally to both Turkish and foreign workers, ensuring comprehensive protection and standardized rights across all employment relationships.

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Key Legislative Framework

Law No. 4857 – Labor Law (İş Kanunu)
Effective Date: 2003 (latest amendments 2025)
The Labor Law (4857) establishes fundamental employment rights and obligations for all workers in Turkey, including foreign nationals.
Key Provisions:
• Standard Working Hours: 45 hours per week (organized in daily shifts not exceeding 11.5 hours)
• Overtime: Any hours exceeding 45 per week are classified as overtime and compensated at 150% (time and a half)
• Annual Leave: Minimum 14 working days per year for workers with less than 5 years service; 20 days for those with 5+ years service
• Sick Leave: Paid leave for illness, with medical documentation required
• Severance Rights: Workers are entitled to severance compensation in cases of unjustified termination
• Notice Period: Minimum 2 weeks to 4 weeks depending on employment duration
• Equal Treatment: Foreigners receive identical protections under the law; discrimination based on nationality is prohibited
Minimum Wage (January 2026):
• Gross Monthly: ₺33,030.00
• Net Monthly: ~₺28,075.50 TL

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Law No. 5510 – Social Insurance and General Health Insurance Law

Effective Date: 2006 (consolidated legislation)
Law 5510 mandates comprehensive social security coverage for all employed workers in Turkey.
Coverage Categories:

Class A – Employees (Dependent Workers)
• Includes all foreign workers employed under labor contracts
• Mandatory registration with Social Security Institution (SGK) within 30 days of employment start
• Employer contributes 15.5% of gross salary to SGK
• Employee contributes 14% of gross salary (deducted from wages)

Covered Benefits:

• Short-Term Insurances:
o Work accident and occupational illness insurance
o Sickness insurance (medical treatment, medication)
o Maternity benefits

• Long-Term Insurances:
o Disability pension
o Old-age pension (retirement at age 65 for men; age varies for women)
o Survivor benefits for dependents

• Healthcare: Universal health insurance (General Health Insurance – GSS) included with SGK registration

Contribution Basis (2026):

• Minimum Base: Statutory minimum wage (₺33,030.00
• Maximum Base: 15 times the minimum wage (₺297,270.00
• Medical Nutrition Support: Up to ₺330 TL per day (tax-exempt, employer-provided meals)

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Law No. 6735 – International Labor Law (Uluslararası İşgücü Kanunu)
Effective Date: 2017
This law governs the employment of foreigners in Turkey and establishes the work permit system.

Work Permit Requirements:
Types of Work Permits:

1. Limited-Term Work Permit: Valid for specific project or position, renewable annually (maximum 2 years)
2. Unlimited-Term Work Permit: Valid for indefinite duration with same employer
3. Independent Work Permit: For self-employed foreigners, contractors, and business owners
4. Exemptions: Certain categories (diplomats, investors, international organization staff) may be exempt

Mandatory Reporting Requirements:
Employers and foreign workers must notify the Ministry of Labor and Social Security within 15 days of:
• Work permit issuance
• Commencement of employment
• Termination of employment
• Changes in employment terms
• Permit cancellation or expiration

Timeline for Social Security Registration:

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Rights and Protections for Foreign Workers

Employment Rights (Identical to Turkish Workers)

• Fair Wages: Minimum wage protection and equal pay for equal work
• Safe Working Conditions: Occupational health and safety standards
• Paid Leave: Annual vacation, sick leave, and special leave entitlements
• Severance Compensation: Entitled upon unjustified termination
• Social Insurance Benefits: Full access to SGK-provided healthcare and insurance
• Union Membership: Right to join labor unions (with permit holder status)
• Anti-Discrimination: Protection from unfair treatment based on nationality

Contract Requirements
Employment Contracts Must Include:

• Names and addresses of both parties
• Job description and workplace location
• Salary amount and payment terms
• Working hours and overtime conditions
• Duration of employment (if fixed-term)
• Governing law (Turkish law applies)
• Language: Written in Turkish or with certified Turkish translation

Invalid Contract Clauses:

• Discrimination provisions
• Excessive working hours (exceeding legal limits)
• Forfeiture of statutory rights
• Unequal terms compared to Turkish workers
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Employer Obligations and Liabilities

Pre-Employment Responsibilities

1. Obtain Work Permit: Employer must apply for work permit at Provincial Labor Office (İl Müdürlüğü) before foreign worker commences employment
2. Contract Preparation: Written employment contract in Turkish (or translated)
3. Workplace Registration: Register with labor inspectorate if employing more than 10 workers

During Employment

1. Social Security Notification: Notify SGK within 30 days of employment start
o Use Form "İSE-01" (New Employee Notification)
o Required information: foreign worker's name, ID, contract start date, salary
2. Premium Payments: Regular monthly SGK premium payments (employer + employee share)
o Due date: 10th of following month
o Penalty for late payment: 5% monthly surcharge plus interest
3. Work Permit Renewal: If permit expires, employer must apply for renewal minimum 60 days before expiration
4. Workplace Inspections: Cooperate with labor inspectors and provide required documentation

Upon Termination

1. Notification: Report employment termination to SGK within 30 days
2. Final Payment: Pay all outstanding wages, severance (if applicable), and accrued benefits immediately
3. Work Permit Status: Notify Ministry of Labor of permit termination
4. Certificate of Employment: Provide detailed letter confirming employment dates, position, and salary
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Common Violations and Penalties

Administrative Fines (2026 Amounts)

Criminal Penalties: Serious violations (systematic undeclared work, wage theft) may result in imprisonment (3 months to 5 years).
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Social Insurance Agreements

Turkey has bilateral social insurance treaties with over 40 countries, allowing workers from treaty countries to:
• Avoid Dual Contributions: Workers from treaty countries may be exempt from Turkish SGK contributions if covered under their home country's system (with proper documentation)
• Contribution Credit Transfer: Years of contributions in home country may count toward Turkish pension eligibility
• Healthcare Benefits: Access to Turkish public healthcare under reciprocal agreements
Major Treaty Partners: Germany, France, Belgium, Austria, Netherlands, Canada, USA (limited scope), and others.

To Claim Treaty Benefits:
1. Obtain Certificate of Coverage from home country social security authority
2. Submit documentation to Turkish SGK before starting work
3. SGK will issue exemption certificate if eligible
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Practical Guidance for Foreign Workers

Step-by-Step Employment Process

Phase 1: Before Arrival (Overseas Application)

• Employer submits work permit application to Provincial Labor Office
• Approval takes 30–45 days
• Worker receives work permit notification
• Timeline: 6-month window to arrive in Turkey from permit issue date

Phase 2: Upon Arrival

• Register with local security forces (Police Department, Foreign Residents Bureau)
• Obtain residence permit (İkamet Tezkeresi) if staying >30 days
• Start work only after these formalities

Phase 3: Within 30 Days of Employment Start

• Employer registers worker with SGK
• Provide documentation:
o Employment contract (Turkish)
o Copy of work permit
o Identity documents
o Medical report (if required)

Phase 4: Ongoing

• Receive monthly payslips documenting wages, deductions, and SGK contributions
• Review annual SGK statement (sent by SGK)
• Report any changes in employment status

Phase 5: Upon Termination

• Request employment certificate from employer
• Claim final paycheck and severance (if applicable)
• File unemployment insurance claim (if eligible)
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Special Considerations

Remote Work and Freelancers

• Remote Workers: If employed by foreign company while residing in Turkey, must still register with Turkish SGK (Class A)
• Self-Employed Freelancers: Must obtain independent work permit and register as Class B self-employed (SGK contributions: 20% of declared income)
• Intra-Company Transfers: Employees transferred by parent company may qualify for shorter permit terms

Contract Termination and Severance
Severance Compensation Calculation:

• 1–5 years service: 30 days' gross salary × service years
• 5–10 years service: 45 days' gross salary × service years
• 10+ years service: 60 days' gross salary × service years

Grounds for Immediate Termination (Without Notice):

• Serious breach of contract
• Willful misconduct
• Violence or harassment
• Theft or fraud
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Resources and Contacts
Government Agencies
Ministry of Labor and Social Security (ÇSGB)

• International Labor Unit (Uluslararası İşgücü İdairesi)
• Website: www.csgb.gov.tr
• Telephone: +90 (212) 455-50-50

Social Security Institution (SGK)
• Website: www.sgk.gov.tr
• Regional Offices: Check SGK website for your province
• Hotline: 188 (within Turkey)

Provincial Labor Offices (İL Müdürlüğü)
• Contact your local Provincial Labor Office for work permit applications
• Addresses available at: www.csgb.gov.tr
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Frequently Asked Questions

Q: Can a foreign worker change employers?
A: Yes, with a new work permit. The new employer must apply for a separate permit; workers cannot change employers under the original permit unless specified as "unlimited-term."

Q: What happens if an employer fails to register with SGK?
A: Both employer and worker face penalties. The worker's healthcare coverage lapses, creating legal and financial risk.

Q: Are foreign workers entitled to unemployment insurance?
A: Yes. After 600 days of contributions, eligible workers can claim unemployment benefits (50% of average daily wage for up to 180 days).

Q: Do treaty country workers avoid SGK registration?
A: Only with proper documentation proving coverage in home country. Registration is still required initially; exemption is applied retroactively after review.

Q: What is the minimum contract duration?
A: No legal minimum. Contracts can be indefinite or fixed-term (including one day). Standard notice periods apply to termination.

Q: Can foreign workers join unions?
A: Yes. Regardless of work permit type, foreign workers have the right to unionize and participate in union activities.
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Date: January 2026
Prepared by: ISMMMO International Relations Committee
Disclaimer: This document provides general informational guidance. For specific legal advice regarding your individual situation, consult with a qualified labor law attorney or ISMMMO professional advisors. Laws and regulations are subject to change; always verify current requirements with relevant government agencies.
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References
[1] Turkish Labor Law (Law No. 4857), Ministry of Labor and Social Security, Official Gazette (Date: 1 June 2003)
[2] Social Insurance and General Health Insurance Law (Law No. 5510), Ministry of Labor and Social Security, Official Gazette (Date: 16 June 2006)
[3] International Labor Law (Law No. 6735), Ministry of Labor and Social Security, Official Gazette (Date: 20 May 2017)
[4] International Labor Law Implementation Regulations, Ministry of Labor and Social Security, 2017
[5] Social Insurance Operations Regulations, Social Security Institution, 2008 (as amended)
[6] Ministry of Labor and Social Security. "Social Security of Foreign Workers" (Yabancı Çalışanların Sosyal Güvenliği). www.csgb.gov.tr, 2025
[7] Social Security Institution. "Foreign Workers and Social Insurance." Official SGK Guidelines, 2025
[8] ISMMMO. "Mevzuat" (Legislation Database). www.ismmmo.org.tr, 2025