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PRACTICAL INFORMATION GUIDE FOR 2026
Here is some practical information regarding employment and litigation practices that apply in 2026. This information is updated every year, in accordance with the legislation.
LABOUR AND SOCIAL SECURITY LAW
Minimum Wage
Information on the minimum wage to be applied between 1 January 2026 and 31 December 2026.
| GROSS AMOUNT OF THE DAILY AND MONTHLY MINIMUM WAGE | |
| Minimum Wage Daily Amount | Minimum Wage Monthly Amount |
| TRY 1,101 | TRY 33,030 |
| LEGAL DEDUCTIONS FROM THE MONTHLY MINIMUM WAGE | |
| Employee’s Share of the Insurance Premium (14%) | TRY 4,624.20 |
| Employee’s Contribution to Unemployment Insurance (1%) | TRY 330.30 |
| Income Tax and Stamp Duty | TRY 0 |
| Net Minimum Wage | TRY 28,075.50 |
| MINIMUM WAGE TOTAL COST TO THE EMPLOYER | |
| Gross Minimum Wage | TRY 33,030 |
| Employer’s Share of the Insurance Premium (21.75%) | TRY 7,184.03 |
| Employer’s SSI Incentive (5%) | TRY (-1,651.5) |
| Employer’s Unemployment Insurance Fund (2%) | TRY 660.60 |
| Total Cost to the Employer | TRY 40,874.63 |
Severance Pay
The maximum gross wage to be used as a basis for calculating severance pay has increased to TRY 64,948.77 per month, applicable from 1 January 2026 to 30 June 2026. The amount for the second half of the year will be determined at a later time.
Stamp duty of 0.759% is deducted from severance pay paid to employees. No other deductions are made from severance pay.
Minimum and Maximum Insurance Premium Fees
Minimum and maximum insurance premium fees to be applied between 1 January 2026 and 31 December 2026:
| MINIMUM AND MAXIMUM AMOUNTS OF MONTHLY INSURANCE PREMIUM FEES | |
| Minimum Monthly Fee | Maximum Monthly Fee |
| TRY 33,030 | TRY 297,270 |
Administrative Fines For Unlawful Acts according to Labour Law No 4857
| UNLAWFUL ACT | ADMINISTRATIVE FINE |
| Violation of the obligation to notify the workplace | TRY 302,485 (separately for the principal and sub-employer, or their representatives whose duty it is to notify the workplace) |
| Violation of the equal treatment principle for employees | TRY 2,531 (per employee affected) |
| Violation of temporary employment relationship obligations | TRY 4,235 (per employee affected) |
| Violation of Article 7/2-f regarding a temporary employment relationship | TRY 16,941 |
| Violation of the obligation to provide a written document regarding the content of the employment contract | TRY 2,531 (per employee affected) |
| Violation of on-call and remote work provisions | TRY 2,531 (per employee affected) |
| Violation of the obligation to provide an employment certificate | TRY 2,531 (per employee affected) |
| Violation of the collective dismissal procedure | TRY 9,944 (per employee affected) |
| Violation of the obligation towards disabled employees and ex-offenders | TRY 37,749 (per disabled and ex-offender as required per month) |
| Intentionally failing to pay or partially paying the salary arising from this law, a collective bargaining agreement or an employment agreement | TRY 2,734 (per employee affected, per month) |
| Violation of the obligation to pay salary and all other financial benefits to a specially opened bank account | TRY 2,734 (per employee affected, per month) |
| Violation of the obligation to issue a pay slip | TRY 9,944 |
| Making an illegal salary deduction, or failing to report the reason and calculation of the deduction | TRY 9,944 |
| Violation of the obligation to pay at least the minimum wage | TRY 2,734 (per employee affected, per month) |
| Violation of the obligation to pay remuneration for overtime work, or to allow the employee to use the free time accrued within six months, or a violation of the obligation to obtain the consent of the employee to perform overtime work |
TRY 4,815 (per employee affected) |
| In workplaces where the percentage payment method is applied, a violation of the obligation to distribute a document showing the sum of each accounting roll to the employee representative | TRY 9,944 |
| Violation of the provisions on an employer dividing an employee’s days of annual leave | TRY 4,815 (per employee affected) |
| Violation of the obligation to pay or underpaying the equivalent for unused annual leave | TRY 4,815 (per employee affected) |
| Violation of the obligation to pay the equivalent for unused annual leave to an employee whose employment agreement has been terminated | TRY 4,815 (per employee affected) |
| Violation of the obligation to allow employees to use annual leave according to the essential procedures of the annual leave regulation | TRY 4,815 (per employee affected) |
| Violation of the obligation to comply with working hours and the provisions of the relevant regulation | TRY 26,620 |
| Violation of the obligation to comply with compensatory work procedures | TRY 4,815 (per employee affected) |
| Violation of the obligation to give a rest break to an employee | TRY 26,620 |
| Violation of the obligation not to work employees for more than 7.5 hours at night, and to change day and night shifts | TRY 26,620 |
| Violation of the prohibition on employing children of certain ages and under certain conditions | TRY 26,620 |
| Violation of the prohibition on working underground and underwater | TRY 26,620 |
| Violation of the obligation not to employ children and young people at night | TRY 26,620 |
| Violation of the obligation not to make work women work during pre/postnatal periods, or not to give unpaid leave | TRY 26,620 |
| Violation of the obligation to create a personal file for each employee | TRY 26,620 |
| Violation of regulations related to working hours | TRY 26,620 |
| Violation of the obligation to show the necessary documents and evidence upon demand, and to provide everything that Labour Inspectors need to perform their duties (paragraph 92/1), and to carry out their orders and requests without delay | TRY 241,992 |
| Violation of the obligation not to influence employees’ testimony, not to force them to hide or change the truth, to not behave inappropriately towards them when they testify to the relevant authorities | TRY 241,992 |
| Violation of the obligation not to prevent investigations and inspection duties of Labour Inspectors | TRY 241,992 |
Administrative Fines For Unlawful Acts, According to the International Labour Force Law No 6735
| WRONGFUL ACT | ADMINISTRATIVE FINE |
| An employer employing a foreigner without a work permit | TRY 102,503 (on the employer, for each foreign employee separately) |
| A foreigner working dependently without a work permit | TRY 40,977 |
| A foreigner working independently without a work permit | TRY 82,010 |
| A foreigner working independently and with an indefinite work permit without performing the notification obligation stipulated by law in due time, and an employer employing foreign employees under these conditions | TRY 6,805 (on the both foreign employee and the employer separately) |
MONETARY THRESHOLDS FOR 2026 UNDER CIVIL PROCEDURE LAW, ADMINISTRATIVE PROCEDURE LAW, AND EXECUTION AND BANKRUPTCY LAW
| Threshold on Proving by Deed | Threshold for an appeal before the Court of Appeal | Threshold for an appeal request before the Court of Cassation |
| TRY 41,000 | TRY 50,000 | TRY 682,000 |
| Threshold for hearing requests before the Court of Cassation | Threshold for an appeal before the Court of Appeals (in Execution Courts) | Threshold for appeals before the Court of Cassation (in Execution Courts) |
| TRY 1,023,000 | TRY 119,000 | TRY 682,000 |
| Threshold for appeals before the Council of State (in administrative jurisdiction) | Threshold for appeals before the Court of Appeal (in administrative jurisdiction) | Threshold for hearing requests with a single judge |
| TRY 1,660,0000 | TRY 55,000 | TRY 485,000 |
INCOME TAX CALCULATIONS
The income brackets used to calculate income tax rates have been reviewed for 2026 as follows:
| INCOME TAX RATES | |||
| Income Scales
(Employment Income) |
Tax Rates | Income Scales
(Non-Employment Income) |
Tax Rates |
| Up to TRY 190,000 | 15% | Up to TRY 190,000 | 15% |
| TRY 28,500 for income up to TRY 190,000 with the excess up to TRY 400,000 at: | 20% | TRY 28,500 for income up to TRY 190,000 with the excess up to TRY 400,000 at: | 20% |
| TRY 70,500 for income up to TRY 400,000 with the excess up to TRY 1,500,000 at: | 27% | TRY 70,500 for income up to TRY 400,000 with the excess up to TRY 1,000,000 at: | 27% |
| TRY 367,500 for income up to TRY 1,500,000 with the excess up to TRY 5,300,000 at: | 35% | TRY 232,500 for income up to TRY 1,000,000 with the excess up to TRY 5,300,000 at: | 35% |
| TRY 1,697,500 for income up to TRY 5,300,000, with any excess at: | 40% | TRY 1,737,500 for income up to TRY 5,300,000 with any excess at: | 40% |
INTEREST RATE DEVELOPMENTS
The Central Bank of the Republic of Turkey has determined the discount interest rate to be applied in rediscount transactions as 38.75 % per annum. The interest rate to be applied in advance transactions is 39.75 % per annum, with an effective date of 20 December 2025. In cases where the default interest rate for late payments made to the creditor in the supply of goods and services is not stipulated in the contract or the relevant provisions of the contract are invalid, the interest rate to be applied is determined as 43 % per annum, with an effective date of 1 January 2026.
REVALUATION RATE DEVELOPMENTS
The revaluation rate for 2025 has been set at 25.49 % in accordance with paragraph (b) of the duplicated Article 298 bis of Tax Procedure Law No 213. This means that all administrative fines stated in the respective Laws (including Labour Law No 4857 and Consumer Protection Law No 6502) have been updated at the above rate.
The monetary limits that must be adhered to in applications to consumer arbitration committees have also been re-determined with regard to the 25.49 % revaluation rate. For consumer disputes under TRY 186,000 such applications can be made to the Provincial or District Consumer Arbitration Committees.
In compliance with Turkish bar regulations, opinions relating to Turkish law matters that are included in this client alert have been issued by Özdirekcan Dündar Şenocak Ak Avukatlık Ortaklığı, a Turkish law firm acting as correspondent firm of Gide Loyrette Nouel in Turkey.