Turkey employment and labor support regulations

Turkey has implemented various measures regarding employment and labor support. Initial regulations outline the requirements for unemployment benefits, specifying that workers must be unemployed through no fault of their own and meet specific insurance premium thresholds to qualify for monthly payments.

Subsequent updates to the Employment Protection Support Program, managed by the Ministry of Labour and Social Security alongside the Ministry of Industry and Technology and KOSGEB, introduce targeted measures for the manufacturing sector. The program provides monthly subsidies of up to 3,500 TL per employee for specific industries, such as textiles, clothing, leather, furniture, and the manufacturing of items like buttons and zippers. To qualify, companies must maintain monthly premium day counts equal to or higher than a designated reference period for at least six months.

New regulations published in the Official Gazette expand the program’s financial reach through advantageous credit packages for manufacturers that maintain employment levels. Eligible businesses can access loans with a financing cost of 25 percent, a 12-point reduction from the standard 37 percent. These credits offer up to 36 months in maturity with a 6-month principal grace period. Credit limits are established at 50 million lira for SMEs and 150 million lira for large-scale enterprises, with a total allocated financing support of 250 billion lira for the manufacturing sector.

Previously focused on labor-intensive sectors, the program has already provided 15.5 billion lira in support. Official data indicates these measures contributed to registered employment levels rising from 1.196 million at the end of 2025 to 1.209 million by June 2026.