Terminating Labor Contracts In Turkey: Process And Factors To Consider

The relationship between employers and employees is regulated in Turkey by the Labor Law numbered 4857 and dated 22 May 2003 ("Labor Law"). This article explains the circumstances an employer may terminate an employee's contract, as well as the relevant procedures and considerations.

Under the Labor Law, employers may terminate an employee's labor contract immediately where certain justified grounds exist. Alternatively, the Labor Law says employers can terminate an employee's labor contract with notice where other valid grounds are present. Where valid grounds for termination exist, the length of notice required will depend on the employee's length of service. However, the employer may choose to pay the employee a notice payment instead of having the employee work the notice period. In some circumstances, the employer may have to pay the employee a severance payment.