Turkish Labor Law
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Minimum Wage 2019 has been announced as gross 2,558.40 TRY, net 2,020.91 TRY to be implemented all through the year.
Minister of Family, Labor and Social Services revealed the decision of Minimum Wage Fixing Board at a press conference that Turkey’s monthly gross minimum wage is increased from 2,029.50 to 2,558.40 with a monthly 26% wage hike (from net 1,603.12 to 2,020.91). President Erdogan pledged that the minimum wage support will continue in 2019.
You can find the 2019 “calculation of minimum wage” and “cost of employer” in the tables below.
| CALCULATION OF MINIMUM WAGE/GROSS TO NET | TRY | |
| MONTHLY MINIMUM GROSS WAGE | 2,558.40 | |
| SSI EMPLOYEE CONTRIBUTION (14%) | 358.18 | |
| UNEMPLOYMENT PREMIUM – EMPLOYEE (1% ) | 25.58 | |
| INCOME TAX BASE | 2,174.64 | |
| AMOUNT OF INCOME TAX | 326.20 | |
| STAMP TAX | 19.42 | |
| MLA (Minimum Living Allowance) | 191.88 | |
| NET MINIMUM WAGE (Without Minimum Living Allowance) | 1,829.03 | |
| NET MINIMUM WAGE (Minimum Living Allowance Included) | 2,020.91 |
COST OF EMPLOYER
Employer’s labor cost; Gross wage + employer share of SSI premiums (15.5% or 20.5%) + unemployment premium share of employer (2%).
- Cost of employer with incentive (in case 5% Treasury incentive granted by Law No. 5510 is applied)
| COST OF EMPLOYER | TRY |
| GROSS MINIMUM WAGE | 2,558.40 |
| SSI EMPLOYER CONTRIBUTION (15,5%)* | 396.55 |
| UNEMPLOYMENT PREMIUM-EMPLOYER (2%) | 51.17 |
| COST OF EMPLOYER | 3,006.12 |
| Cost of Minimum Wage to Employer / In case 100,00 TRY Government support is applied* | 2,906.12 |
* Government support will be applied for 2019 minimum wage, however the support amount is not clear yet.
- Cost of employer without incentive (in case 5% Treasury incentive granted by Law No.5510 is not applied)
| COST OF EMPLOYER | TRY |
| GROSS MINIMUM WAGE | 2,558.40 |
| SSI EMPLOYER CONTRIBUTION (%20,5) | 524.47 |
| UNEMPLOYMENT PREMIUM-EMPLOYER ( % 2 ) | 51.17 |
| COST OF EMPLOYER | 3,134.04 |
| Cost of Minimum Wage to Employer / In case 100,00 TRY Government support is applied* | 3,034.04 |
