The Minimum Wage Support which is being provided to employers per employees who are getting wage up to a certain amount, is being determined and increased for the calendar year of 2014.
The Act No. 7495 on Amendments to Unemployment Insurance and Certain Laws is being published in the Turkish Official Gazette dated February 13, 2024 and thus has entered into force. An important regulation in the law is that the monthly support amount given to employers by the Social Security Institution has been increased.
Accordingly, it is seen that the minimum wage support provided from the year 2016 to the end of 2024 in order to support employers to protect and increase employment by reducing labour costs, has been increased especially to ensure that small employers can cope with the burden of labour more easily. In this regard, the minimum wage support is being increased from 500 Turkish Liras per month per employee to 700 Turkish Liras per month per employee for the year 2024.
“The minimum wage support” to be given to employers for their workers in the year 2024 will be applied with the following rules:
- Within the condition of workplace being registered before the year 2024, the support will be provided for workers whose daily earnings are TRL 671 or less, for workplaces belonging to private sector employers with collective bargaining agreements for workers whose daily earnings are TRL 1,341 or less, and for workplaces where lignite and hard coal are extracted for workers whose daily earnings are TRL 1,789 or less.
- If the workplace is to be registered in the calendar year of 2024, support will be available for the entire number of working days of all insurance holders subject to long-term insurance branches.
- Accordingly, the amount of support to be calculated will be equal to the amount to be found by multiplying the working days of the above-mentioned employees by TRL 23.33.
- Minimum wage support will be provided between 1st of January and 31st of December 2024.
- In case it is determined that an incomplete Concise and Premium Service Statement is made in the relevant month, which does not exceed one tenth of the monthly gross minimum wage of 2024 (TRL 2,002) , the application of minimum wage support will be continued for workplaces that make up for the aforementioned deficiency within a fifteen-day period upon a notice to be made by the Social Security Institution.
- Minimum wage support will not be paid in cash. The amount is envisaged as a discount and will be deducted from the insurance premium debts arising from the following month(s).
- The support will be provided for private sector workplace employers employing the insured employees who are in the 4-1/a social insurance status of the Law No. 5510 and who are subjected to long-term insurance branches.
- There is no application requirement to benefit from the minimum wage support.
- In order for workplaces registered for the first time in the year 2024 to benefit from the minimum wage support, the following conditions must be met:
- It is required to submit monthly premium and service documents or concise and premium service declarations for all months of 2024 within the legal time limit.
- The current month’s premiums must be paid within the legal period.
- There must be no premiums, administrative fines and related delay fines and late payment debts to the Social Security Institution (SSI), or the debts in question must be restructured in accordance with the Article 48 of the Law No. 6183.
- Persons employed for the year 2024 must be declared as insured, and the declared insured must be actually working in the workplace.
- The number of insured persons subject to long-term insurance branches in the month for which minimum wage support will be provided in the year 2024 must not fall below the lowest number of insured persons reported in 2023/ January to 2023/ December. For workplaces registered before 2024, no support will be given for the months in 2024 for which the insured is declared fall below the minimum number of insured persons.
- For employers who employ insurance holders for whom long-term insurance branches are applied within the scope of 4-1/a social insurance position, in the positions and jobs public administrations listed in table (I), (II), (III) and (IV) attached to Law No. 5018 will not be able to benefit from the support.
