Deductions From Employee Salaries Under Turkish Law

An employee’s right to salary is one of the most strongly protected areas under Turkish labor law. The full and timely payment of salary is a consequence of both the constitutionally guaranteed right to work and a fundamental element of the employment contract. Therefore, an employer may make unilateral deductions from an employee’s salary only in limited circumstances provided for by law or recognized as legally valid.

Under the Labor Law No. 4857 (“Labor Law”), salary is defined as “the amount provided by the employer or third parties to an individual in exchange for work and paid in cash”. The fundamental principle in labor law is the full payment of the employee’s salary. Any reduction or deduction from salary made by the employer arbitrarily or based on their unilateral discretion is unlawful.