After the interim increase in the minimum wage, the ceiling wage of the Severance Pay increased with the circular issued by the Ministry of the Treasury. What was the severance pay ceiling in 2022?
According to the data of the Turkish Statistical Institute (TUIK); As a 6-month inflation difference, 42.35 percent for retirees from SGK and Bağ-Kur; civil servants and civil servant retirees were increased by 41.69 percent.
What was the Severance Pay Ceiling in July 2022?
According to the circular published with the signature of the Minister of Treasury and Finance Nureddin Nebati; In the period of July-December 2022, the maximum severance pay was 15 thousand 371 liras and 40 kuruş.
With the increase in the severance pay ceiling, the compensations to be received by the employees also increased. All employees whose SSI gross is over 15 thousand 371 liras will be able to benefit from the ceiling. According to this; If a person who has worked for 10 years is dismissed, the severance pay will be 153 thousand 714 liras.
How is Severance Pay Calculated?
In case of termination of any employment contract for a reason requiring severance pay, severance pay in the amount of 30 days' gross wage is paid for each full year worked. The periods increasing from one year are also included in the calculation by proportioning. During the calculation of severance pay, in addition to the wage paid to the worker, all money and benefits that can be measured in money (road allowance, meal allowance, bonus payments on condition that it is regular, etc.) are also taken into account. The amount of severance pay paid for each full working year is limited to the severance pay ceiling valid at the date of termination.
Conditions Requiring Severance Pay
Employment contracts of workers subject to the Labor Law;
- Except for the reasons indicated by the employer in subparagraph II of Article 25 of the Labor Law,
- In accordance with Article 24 of the Labor Law by the worker,
- Due to his active military service,
- In order to receive old age, retirement or invalidity pension or lump sum payments from the institutions or funds to which they are affiliated;
- Other conditions other than the ages stipulated in sub-clauses (a) and (b) of sub-paragraph (a) of paragraph one of article 506 of Law No. 60 or the insurance period stipulated for the provision of old-age pension in accordance with the temporary article 81 of the same law and the day of premium payment. Due to completing the number of employees and leaving the job voluntarily,
- Termination or termination of the woman's own will within one year from the date of marriage, or
- In the event that the worker terminates due to his death, the employer pays his heirs a 30-day severance pay in proportion to their shares in the succession certificate for each full year during the continuation of the employment contract from the date of employment of the worker.