Amendments Introduced to the Labor Law Legislation through the Omnibus Bill No. 7244

Through the Law on Reducing the Effects of Novel Coronavirus (Covid-19) Pandemic on Economic and Social Life and Law on Amendments to Certain Laws No. 7244 (“Law”) published in the Official Gazette dated 17.04.2020 and numbered 31102 important amendments are introduced to the labor law legislation. In this regard;

Processes regarding making authority determinations, realizing collective bargaining agreements, resolution of collective bargaining disputes and strike and lockout under the Law on Trade Unions and Collective Bargaining Agreements No. 6356 prolonged for 3 months as from the effective date (17.04.2020) of the Article.

Through the Provisional Article 24 added to Law No. 4447 on Unemployment Insurance (“Law No. 4447”), 39,24 Turkish Liras daily wage support which is to be covered from the Unemployment Insurance Fund will be provided to the employees

  • who forced to take unpaid leave by employers according to the Provisional Article 10 added to the Labor Law No. 4857 (“Law No. 4857”) and who cannot benefit from short-term working allowance, and
  • whose contract is terminated within the scope of Article 51 after 15.03.2020 and who cannot benefit from unemployment allowance,

during the 3-month prohibition of termination and up to the period they are on leave or unemployed during this period, provided that they do not receive a pension from any social security institution. Within the scope of amendment, it is also regulated that persons benefit from the wage support are deemed as general health insured.

Besides, within the scope of the Provisional Article 25 added to the Law No. 4447, it is decided that the payments will be made for short-term working applications justified as force majeure in accordance with the employer's declaration without waiting for suitability determination. Thus, it is aimed to finalize numerous applications due to Covid-19 faster.

Through the Provisional Article 10 added to the Law No.4857, termination of employment contracts of all employees who are whether in the scope of the Law 4857 or not, is prohibited for 3 months as from the effective date (17.04.2020) of the Article, with the exemption of termination due to the reasons contrary to ethics and good faith regulated under Article 25/1,(II).

Pursuant to this amendment, right to give the employee unpaid leave totally or partially is also given to the employer for a period not exceeding 3 months as from the effective date (17.04.2020) of the Article. In addition, it is regulated that being on unpaid leave would not give a right to the employee to terminate the contract due to just cause.

Please find the full text of the Law in Turkish here for detailed information.