Work Permit Application of Free Trade Zone Personnel

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International Workforce Law No: 6735 aims at attracting qualified foreign professionals such as engineers and architects, medical personnel, academicians, research and development personnel, free trade zone personnel and partners of companies, cross-border service providers and the investors.

Work permit application of foreign free trade zone personnel legally staying in Turkey will be made to relevant free zone management by the free trade zone firm. Applications are evaluated by Ministry of Economy and granted by Ministry of Labor and Social Security. It should be noted that “relevant free zone management means” regional directorates of free zones at which the workplace is established, not the General Directorate of Free Zones of Economy Ministry.

Implementation Regulation, determining the application and issuance of work permits related to foreigners who wish to work in the scope of Free Trade Zone Law, No. 3218, has been issued in Official Gazette No. 30078, dated 27th May 2017.

A Brief Overview of Social Security and Private Insurances in Turkey

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MANDATORY STATE SOCIAL SECURITY

Employees’ & Employers’ Contributions

All employees must be registered with the Social Security for healthcare benefits, work-related accident and illness, sickness, pregnancy, disability, old age and death.

Employees’ and employers’ contributions are calculated as a percentage of gross salary. Employee deductions reduce the taxable income.

Work Permit Application Process

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Turkish Law on the Work Permit for Foreigners No. 4817, which had been in effect since 2003 has been abrogated and substituted by "INTERNATIONAL WORKFORCE LAW No. 6735,” which got through the Parliament on 28th July 2016. However, the Regulation, which is arranging the procedures of application for work permit, issued according to previous law is still in effect.

Applications for work permits can be made inside or outside Turkey. Foreigners residing outside Turkey shall apply to the Turkish Consulates in their country of residence or of citizenship. Foreigners with a valid residence permit (valid for a minimum of 6 months, except for residence permits for educational purposes) can apply directly to the Ministry of Labor and Social Security.

Workplaces Entering into Private Pension System on July 1st

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We would like to remind you that the workplaces employing 100 (Inc.) to 249 (Inc. ) personnel will start to enter into contracts with pension companies and offer pension plans to the employees as of 1st July 2017

However, in case the number of employed personnel is beyond the 250 on 1st July 2017, workplace’s entrance date will be 1st January 2018, because workplaces can join the system only in case of having the required number of personnel at a specific gradual entrance date.        

Obligation of Hiring Workplace Doctor Postponed to 2020

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The obligation of employing occupational safety specialist and workplace doctor for every private establishment with less than 50 personnel (regardless of their danger class) has been postponed to 1st July 2020.

As is known, many of the provisions set forth in the "LAW ON OCCUPATIONAL HEALTH AND SAFETY NO. 6331" had entered into force as of 30th December 2012 for the workplaces with 50 or more personnel which engage in heavy duty and hazardous operations, however the effective dates of article 6 and 7 that include the above mentioned obligation for every private establishments with less than 50 personnel in the scope of less hazard class had been postponed to July 1, 2017, because sufficient number of specialists and workplace doctors do not exist.

Obligation of Employer in Turkish Law

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In our recent employer bulletins we discussed the responsibility of workers, such as competition ban, confidentiality obligation and duty of care.

In this week’s article we will underline the obligation of employer stipulated in Turkish Code of Obligation, articles 401-427.

Some of the responsibilities of employer are also arranged in Labor Law No. 4857 and Social Security and General Insurance Law No. 5510, which can be found in our website.

OBLIGATION OF EMPLOYER IN TURKISH CODE OF OBLIGATION

Obligation of paying wage

* Employer is under the obligation of paying the wage determined in employment contract or collective agreement; if there are no provisions in the agreement he must pay a wage not less than minimum wage.

* Overtime wage: must be paid by raising the regular working wage by fifty percent at least. (Article 402). However, according to Labor Law in cases where the weekly working time has been set by contract at less than forty-five hours, work that exceeds the average weekly working time done in conduction with the principles stated above and which may last only up to forty-five hours weekly is deemed to be work at extra hours. In work at extra hours, the wage for each extra hour is paid by raising the hourly rate of the regular working wage by twenty-five percent; in other words each extra hour shall be remunerated at one and a quarter times the normal hourly rate.

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