Regulations related to certain significant amendments on labor law legislation that are made with respect to Covid-19 as per Law No. 7226 on Amendment of Certain Laws (“Law”) that is published at the Official Gazette on 26.03.2020 are stipulated under this info note.

Please note that amendments have been made to several legislations within the scope of the Law; however, we have only indicated the significant amendments within the scope of labor legislation.

A.Amendments on Short-Time Working

With the Law, Temporary Article 23 is included in the Unemployment Insurance Law numbered 4447 and in this respect, special regulations related to short-time working to be conducted within the scope of Covid-19 are stipulated and it is stated that such amendments will enter into force on the publication date.

The relevant regulation is set out below in detail.

“TEMPORARY ARTICLE 23 – Until 30.06.2020, in respect of short-time working applications to be made due to a force majeure event arising from the new coronavirus (Covid-19), the provision on fulfilling the conditions related to entitlement to unemployment insurance, except for termination of employment agreement, that are stipulated in third paragraph of additional article 2 for entitlement to short-time working by the employee, shall be applied as payment of premiums for unemployment insurance and being worked subject to insurance for 450 days in the past 3 years in respect of the employees that are subject to employment agreement within the last 60 days prior to the commencement date of the short-time working.

Employees who fail to meet those conditions will continue to benefit from short-time working allowance for the period remaining from the last unemployment allowance right ownership, provided that it does not exceed the short-time working period.

In order to benefit from short-time working within the scope of this article, the employer must not terminate employees, except for reasons set out in sub-paragraph II of the first paragraph of article 25 of Labor Law numbered 4857 during the term of the short-time working applied at the workplace.

The applications made in respect of this article will be concluded in 60 days following the application date.

President of Turkey is authorized to extend the date of application to be made under this article until 31.12.2020 and to amend the number of days stated in the first paragraph above.”

B.Amendments on Labor Law numbered 4857

Within the scope of the Law, with the amendment made on article 64 of Labor Law numbered 4857 that is related to make-up work, period of make-up work has been increased to 4 (four) months from 2 (two) months and it is included in the relevant article that this period may be increased up to twice of the number of months by the President of Turkey.

“Make-up work

Article 64 – In the event the work at the workplace is significantly lower than the normal working periods or the workplace is shutdown or the employee is provided with leave upon the request of the employee due to the cease of work with force majeure events, the workplace is closed temporarily prior to or after national and general holidays or similar reasons, the employer may have the employees conduct make-up work in respect of the non-worked periods within four months. President of Turkey is authorized to increase this period up to twice of the number of months.

Those works are not considered as overtime or additional working hours.

Make-up works shall not be longer than three hours in a day, provided that it does not exceed the maximum working period in a day. Make-up work cannot be conducted on holidays.”

C.Amendments on Social Security and General Health Insurance Law numbered 5510

Additional Article 19 of Social Security and General Health Insurance Law numbered 5510 is amended and the amount of payments to be made within this scope are increased to TRY 1.500 from TRY 1.000. This amendment will enter into force on the publication date of the Law in order to apply as of payment period of April 2020.

“ADDITIONAL ARTICLE 19 – (Addition: 17/1/2019-7161/42 art.) The total of the payments to be made in each month along with the monthly payments made from disability and old-age insurance that are paid in accordance with the provisions of this Law or other laws annulled with this Law, shall not be less than TRY 1.500, including the additional payment to be made pursuant to article 1 of the Law dated 8/2/2006 and numbered 5454. Total of payments to be made from insurance against death shall not be less than the amount to be determined based on the share rates of the right owners.

In the event the monthly payments calculated within the scope of this Law amount less than the amount determined with this Law, the difference will be collected from the Treasury.

Provisions of this article shall not be applicable for partial monthly payments pursuant to international social security agreements.”