MINIMUM WAGE INCREASE AS OF 1 JULY 2023
We would like to inform you that following the 3rd Minimum Wage Determination Commission Meeting held on 20 June 2023, the minimum monthly wage increase rate that will be effective as of 1 July 2023 has been determined.
As you may recall from our Newsletter dated 22 December 2022, the minimum monthly wage was net TRY 8,506,80 (approx. Euro 425 / USD 455) and the total cost for the employer was TRY 11,759.40 (approx. Euro 590/ USD 630).
After the 3rd meeting, the Minimum Wage Determination Commission announced with its Decision dated 20 June 2023 that the minimum monthly wage in Türkiye has been increased by 34% and will be implemented as of 1 July 2023.
Therefore, the new minimum monthly wage will reach gross TRY 13,414 (approx. Euro 521 / USD 570) and net TRY 11,402 (approx. Euro 443 / USD 483) as of 1 July 2023.
The increase of minimum monthly wage of employees should also have an impact on other employees’ wages, which are above the minimum wage. Hence, it would be recommended for employers to consider an increase of wages for those employees in order to protect them against rising inflation, purchasing power, high living costs and so on.
Please kindly note that this Newsletter is prepared on the basis of yesterday’s announcement by the Ministry of Labor and Social Security (in Turkish, “Çalışma ve Sosyal Güvenlik Bakanlığı”); hence the relevant Decision is expected to be published in the Official Gazette within the coming days.
Our Law Firm remains at your disposal for any further clarifications you may need.
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