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Labour Disputes and Labour Law
3/11/2026

Mutual Rights of the Employee and Employer Under the Labor Law 2026

Mutual Rights of the Employee and Employer Under the Labor Law 2026

Limits and Protection of Your Rights at the Workplace — A Brief Summary

Whether you are an employee or an employer, by 2026, it has been clearly defined what rights you possess in employment relationships and what obligations you need to fulfill. In this guide, we practically summarize the mutual rights of employees and employers based on relevant regulations, primarily the Labor Law No. 4857, as well as the application processes, timeframes, and current cost dimensions.

Fundamental Rights of Employees (Highlights from Law No. 4857)

  • Definition of Employee and Contract: According to Article 2, an employee as a natural person, while a written contract is not mandatory, verbal contracts also create rights.
  • Principle of Equal Treatment: Article 5 obligates the employer to treat all employees equally, without discrimination based on gender, race, religion, etc.
  • Substantial Changes in Working Conditions: According to Article 22, the employer must provide written notice of changes; if the employee does not accept the notice within 6 business days, the change will be non-binding and the employee will have the right to terminate.
  • Unjustified and Justified Termination: Articles 24-25 allow for severance notice and the opportunity for justified termination in case of the employer's wrongful termination; the employee may also perform justified termination in case of the employer’s violations.
  • Wage, Overtime, and Leave Rights: Wage rights are based on monthly payment (unless otherwise stated in the contract). Overtime, break times, and occupational health/safety rights (related to Law No. 6331) are protected.
  • Other Rights: Rights such as severance pay, annual leave, and protection against occupational accidents and diseases are regulated by law.

Rights and Obligations of Employers

  • Execution of Work and Discipline: Right to employ per the employment contract, maintain workplace order, and enforce discipline.
  • Obligation to Pay Wages: Timely and full payment; payroll and record-keeping system (preventing unregistered employment).
  • Responsibility of Sub-Employers: The primary employer is jointly responsible for the workers of the sub-employer; monthly checks of wages are necessary.
  • Obligation for Equal Treatment and Employment of Disabled Individuals: Article 5 ensures equal treatment, while Article 30 mandates a 3% (4% in public) employment obligation for disabled individuals in the private sector.
  • Occupational Health and Safety: Responsibility to ensure a safe working environment under Law No. 6331.

Steps to Follow in Case of Rights Violations (Step by Step)

  • 1) Written Request and Notice: First, make a request to the employer in writing or by notary (e.g., regarding wages, compensation, document requests, etc.). Keep documents as evidence.
  • 2) Mediation (Mandatory Stage): Mediation application is mandatory in labor disputes. A record is kept during the mediator's meeting; if an agreement is reached, the dispute ends, otherwise, the right to file a lawsuit arises.
  • 3) Application to the Labor Court: If no agreement is reached at mediation, a lawsuit is filed with the competent Labor Court (generally, the court where the employee's workplace is located is competent).
  • 4) Reinstatement Procedure: If the court orders reinstatement, the employer must reinstate the employee within 1 month after the decision. If not, the employee can demand compensation for up to 4 months and the wages for the time spent idle.
  • 5) Enforcement and Collection: If payment is not made following the court decision, collection through enforcement is possible.

Timeframes and Statutes of Limitations (Important Timeframes)

  • Deadline for Notification of Substantial Changes: 6 business days (Article 22).
  • Notice Periods (Termination Notifications): 0–6 months: 2 weeks; 6 months–1.5 years: 4 weeks; 1.5–3 years: 6 weeks; over 3 years: 8 weeks (Article 17).
  • Statute of Limitations for Wages and Severance Claims: 5 years (Article 32 and implementation).
  • Route for Reinstatement: 1 month to apply to the mediator after termination (mediation application is mandatory), awaiting completion of the mediation process before proceeding to court.
  • Use of Compensatory Time Off for Overtime: Compensatory time-off implementations for overtime must be granted within 6 months.

Current Costs, Fees, and Penalty Examples (2026)

According to the 2026 update, administrative fines and lawsuit fees have been re-evaluated. The figures below are for general information purposes; variations may occur on a case-by-case basis.

  • Administrative Fines: In cases of not paying overtime wages, administrative fines applicable to workplaces vary by industry but are approximately in the range of 15,000–30,000 TL. Fines for non-equal treatment/discrimination can range from 10,000–50,000 TL.
  • Lawsuit Fees: The general court fee is approximately 0.68% of the lawsuit value. Example: For a compensation lawsuit valued at 100,000 TL, the fee may be around 6,800 TL; additional upfront processing costs may apply.
  • Mediator and Attorney Fees: Mediator fees and mediation costs are case-specific; attorney fees vary according to the value of the case and agreements (typical range per case: 5,000–20,000 TL estimated).
  • Severance Pay Ceiling: As of 2026, the annual ceiling used for calculating severance pay is approximately 50,000 TL (linked to minimum wage and re-evaluation).

Brief Notes from Supreme Court Precedents

Supreme Court decisions have been decisive in practice. For instance, the requirement for written notification in substantial change announcements, the primary employer's liability in sub-employer relations, and compensation applications in cases of unequal treatment have been frequently emphasized by the courts. You can use the Supreme Court decision search page to examine the decisions directly: Supreme Court Decision Search.

Izmir Practice and Local Issues

  • Competent Court: In İzmir, generally, the relevant labor courts (e.g., İzmir 1st Labor Court) are competent in employee lawsuits. There may be differences in local judges' applications regarding authority and procedures, making case-based evaluation important.
  • İzmir Labor Attorney: An İzmir labor attorney who understands local practices will expedite the mediation and litigation processes and prevent loss of rights. Korkmaz Law Office has experience in mediation and litigation in labor law issues in İzmir.

Korkmaz Law Office's Approach

Korkmaz Law Office provides preventive legal consulting first in disputes between employees and employers, followed by strategic representation in notices, mediation, and litigation processes. At every stage of the process:

  • Documentation of rights claims and preparation of notices,
  • Professional preparation for the mediation process,
  • Experienced representation in applications and follow-up procedures for Labor Court,
  • Defense and evidence strategy aligned with local practices in İzmir

This approach aims to effectively address the grievances of employees and ensure that the legal obligations of employers are fulfilled properly.

Practical Recommendations (For Both Employees and Employers)

  • Employees: Do not neglect documentation such as payroll, entry-exit records, written notifications, and phone/email correspondence. Do not skip the mediation application.
  • Employers: Create written contracts, clarify wages and working conditions, and fulfill occupational health and safety obligations. Notify substantial changes in writing.
  • Common Recommendation: Act quickly in disputes; do not miss deadlines to avoid loss of rights and seek professional legal support.

Relevant Official Source

To review the text of the Labor Law and official regulations regarding its current provisions, you can use Labor Law No. 4857 (Official Text).

Disclaimer: This text is prepared for general information purposes and does not substitute individual legal consulting for your specific situation. Timeframes, calculations, and administrative fines may vary on a case-by-case basis; it is important to refer to official sources for current regulations and tariffs and seek professional legal support. Korkmaz Law Office provides accurate legal guidance with detailed assessment of cases.

Av. Hilal Korkmaz

Author

Av. Hilal Korkmaz

Avukat | İzmir Barosu

Av. Hilal Korkmaz is a graduate of the Faculty of Law at İzmir University of Economics. She has been practicing law as a registered attorney with the İzmir Bar Association since 2021. She specializes ...

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