ARTICLE
5 August 2020

COVID-19: Short-Term Working, Termination Prohibition And Unpaid Leave Extended Again

EA
Esin Attorney Partnership

Contributor

Esin Attorney Partnership, a member firm of Baker & McKenzie International, has long been a leading provider of legal services in the Turkish market. We have a total of nearly 140 staff, including over 90 lawyers, serving some of the largest Turkish and multinational corporations. Our clients benefit from on-the-ground assistance that reflects a deep understanding of the country's legal, regulatory and commercial practices, while also having access to the full-service, international and foreign law advice of the world's leading global law firm. We help our clients capture and optimize opportunities in Turkey's dynamic market, including the key growth areas of mergers and acquisitions, infrastructure development, private equity and real estate. In addition, we are one of the few firms that can offer services in areas such as compliance, tax, employment, and competition law — vital for companies doing business in Turkey.
Following the entry into force of the Law, the Presidential Decisions No. 2810 and 2811 were published in the Official Gazette No. 31202 on 31 July 2020.
Turkey Coronavirus (COVID-19)
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Recent Development

Within the scope of the measures taken due to the COVID-19 pandemic, Law No. 7252 on the Establishment of Digital Platforms Commission and Amendment of Certain Laws, which was published in the Official Gazette No. 31199 on 28 July 2020 ("Law"), regulated that the termination ban and unpaid leave periods can be extended until 30 June 2021 and re-regulated the President's existing authority to extend the short-term working system until 31 December 2020.

Following the entry into force of the Law, the Presidential Decisions No. 2810 and 2811 were published in the Official Gazette No. 31202 on 31 July 2020.

What Do the Presidential Decisions Say?

Prohibition of Termination and Unpaid Leave

The prohibition of termination and employers' option to send their employees on unpaid leave during such period was lastly extended until 17 August 2020. The Presidential Decision No. 2811 extends these periods until 17 September 2020.

Short-term Working Allowance

The period for short-time working allowance was extended for one month for workplaces that applied until June 30, 2020 (inclusive)for such allowance due to compelling reasons arising from COVID-19, without the need for a new application and a compliance review, for the same employees who had been benefiting from the short-term working allowance and based on the same terms. The respective one-month extension period was determined as below:

  1. For workplaces where short-term working system had ended before June 30, 2020, the one-month period started on July 1, 2020.
  2. For workplaces where short-term working system continued as of June 30, 2020, the one-month period started on the date, when the short-term working system ended for the respective workplace.

The Presidential Decision No. 2810 extends the period for short-time working allowance for another month, within the framework of the above-stated principles. The one-month extension period will start as of the end of the first one-month extension period mentioned above.

Conclusion

The COVID-19 pandemic substantially affected Turkey and the Turkish employment practice. In this respect, certain steps are continued to be taken in order to assist employers and to protect employees. We recommend employers monitor all developments as the COVID-19 pandemic progresses.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

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