Procedures and Principles Regarding the Application of Wage Support

Provisional Article 24 has been added to the Law No. 4447 on Unemployment Insurance through the introduction of the Law on Reducing the Effects of Novel Coronavirus Pandemic on Economic and Social Life and Law on Amendments to Certain Laws No. 7244. Pursuant to this Article; employees possessing one of the following conditions may benefit from wage support provided that they do not receive old age pension:

  • Employees who are forced to take unpaid leave by employers and who cannot benefit from short-term working allowance or
  • Employees whose employment agreements are terminated after 15.03.2020 and who cannot benefit unemployment allowance.

On 22.04.2020, the Social Security Institution (“SGK”) published Procedures and Principles Regarding Wage Support (“P&P”) on its website. This P&P clarifies the application principles, the entitlement conditions and the payment provisions of wage support. Accordingly;

  • Monthly notifications regarding the employees who are on unpaid leave are made by the employers through the internet address https://uyg.sgk.gov.tr/IsverenSistemi. The notification includes the number of days of the related employee is on unpaid leave; the identification number, IBAN number and mobile phone number of the related employee. Some regulations are also issued for those who are not entitled to short-time working allowance.
  • Wage support payments are ex officio made by the Turkish Employment Agency (“ISKUR”) to the employees who have already applied for unemployment allowance but could not benefit from it. These employees do not have to make a further application.
  • For the employees who have not applied for unemployment allowance yet, wage support payments are made by ISKUR after they apply through the website https://esube.iskur.gov.tr or e-government (e-Devlet).
  • The payment to be made for each person who is entitled to the wage support corresponds to the amount obtained by multiplying the number of days entitled to payment by 39.24 TL per day. The payments will not be subject to any deduction, excluding stamp tax.
  • The employees are entitled to wage support as long as they are unemployed or are leave for unpaid leave. It is also regulated within P&P that the employees who benefit from wage support are deemed to be under general health insurance and premiums are transferred to the SGK by ISKUR.

The transactions regarding wage support are carried out in cooperation with SGK and ISKUR. The employers make monthly notifications to SGK, SGK conveys these notifications to ISKUR and ISKUR make the related payments.

Please find the related P&P here for detailed information.