Amendments Introduced to the Labor and Social Security Legislation through the Omnibus Bill No. 7226

Through the promulgation of the Law numbered 7226 on Amendments to Certain Laws (“Law”) published in the Official Gazette dated 26.03.2020 and numbered 31080 (bis) following amendments are introduced to the labor and social security legislation under the novel coronavirus (“Covid19”) measures. In this regard;

It is foreseen that in 2020, employers, regardless of the sector, will be provided with minimum wage support from the Unemployment Insurance Fund.

Due to Covid-19, the conditions for benefiting from the short-term allowance for short-term applications have been facilitated. Through the amendment, people who have worked under an employment agreement for the last 60 days prior to the start of short-term working and paid unemployment insurance premiums for at least 450 days in the three years prior to the start of short-term working may benefit from the short-term working allowance. In addition, during the short working period, the employer should not terminate employment agreements, except for just causes regulated in Article 25/1-II of the Labor Law No. 4857. Short-term working applications can be made until 30.06.2020 and this period can be extended by the President until 31.12.2020.

The compensatory working time extended from 2 months to 4 months. This period may be doubled by the President.

Regulations regarding the general health insurance of part-time and on-call employees working pursuant to the Labor Law No. 4857 have been amended.

The maximum ratio of solidarity and aid fund of employers’ unions which can be established to be used for the payment of employer share of workers' insurance premiums increased from 25% to 35% of cash.

In line with the Economic Stability Shield Package announced by the President on 18.03.2020, the monthly minimum payment amounts of beneficiaries who receive old age, invalidity, death pension were increased and the dates of the holiday bonus payment were amended.

You may access the full text of the Law here.