Circular on Annual Leave

Dear Business Partner, We have prepared a reminder circular for you regarding Payroll and Legal Processes.

Summary: This circular aims to ensure the protection of employee-employer relations, introduce facilitating and protective measures, and reiterate matters currently on the agenda.

Content: The topic of Annual Leave Periods is addressed and presented to you along with relevant Laws, Regulations, and selected Court decisions.

A. Right to Paid Annual Leave

The Constitution states, “Resting is the right of employees,” and specifies that the rights and conditions of annual leave shall be regulated by law. Articles 53 and onward of the Labor Law No. 4857 regulate the right to paid annual leave and its conditions.

Accordingly, employees working in workplaces subject to Law No. 4857 are entitled to paid annual leave if they have worked for at least one year, including the probationary period, starting from their first day of employment.

B. Annual Leave Periods

The duration of paid annual leave to be granted to employees, based on the length of service, is as follows:

• 14 days for those with 1 to 5 years of service (inclusive),
• 20 days for those with more than 5 years and less than 15 years of service,
• 26 days for those with 15 years or more of service.
• Leave periods for those working in underground work shall be extended by four days.

However, employees who are 18 years old or younger or 50 years old or older must be granted at least 20 days of leave.

C. Important Information Regarding the Implementation of Paid Annual Leave

• Annual paid leave cannot be divided by the employer. This leave must be granted continuously. However, with mutual agreement, the periods stipulated in Article 53 may be divided into segments, provided that one segment is not less than ten days.
  It is important to remember the principle that annual paid leave must not be divided, except under the stated condition. Violations may result in administrative fines.
• Other paid or unpaid leaves or rest and sick leaves granted during the year cannot be deducted from annual leave.
• National holidays, weekends, and public holidays falling within the annual leave period are not counted as part of the leave.
  A frequently debated issue is whether Saturdays should be counted in annual leave. According to a principle decision by the Court of Cassation, Saturdays are not considered weekends and may be included in annual leave and deducted accordingly.
• Employees spending their annual leave outside the location of the workplace are entitled to up to 4 days of unpaid travel leave upon request and with supporting documentation.
  This request must be documented. Otherwise, the employer is not obligated to grant the leave.
• Employers must maintain an annual leave register documenting the leaves of their employees.
• Between the beginning of April and the end of October, the employer may apply collective leave to all or part of the employees. This may include those who have not yet earned the right to annual leave.
• The employer must pay the employee their annual leave wages in advance or as an advance payment before the leave starts.
  Proof of payment lies with the employer. Failure to comply may result in administrative penalties.
• If it is found that an employee worked a paid job during their annual leave, the employer may reclaim the wages paid for that period.
  This clause prohibits employees from engaging in other paid work while on annual leave.
• For annual leave entitlements to be converted into monetary compensation, the employment contract must be terminated. The manner or reason for termination does not affect this. (Case No: 2016/32076, Decision No: 2020/16632)
• The burden of proof for granting annual leave lies with the employer. The employer must prove leave was granted via a signed leave record or equivalent document. (Case No: 2016/32076, Decision No: 2020/16632)

D. Administrative Fines Related to Paid Annual Leave

• Unlawfully splitting annual leave: 2,666 TL (per affected employee)
• Unlawfully or underpaying annual leave wages: 2,666 TL (per affected employee)
• Failing to pay leave compensation to an employee whose contract is terminated: 2,666 TL (per affected employee)
• Failing to properly grant leave in accordance with the Annual Leave Regulation: 2,666 TL (per affected employee)

Best regards,

Download PDF File >