EYT conditions; formerly known as SSK, with the new regulation introduced by Law No. 5510, the conditions sought for employees called those who belong to the 4/a insurance branch are determined as 5000 days of premium and 20 years of work for women; 5000 days of premium and 25 years of work for men. In Law No. 5510, the periods and premium days vary in terms of employees with Bağkur, which is called 4/b in Law No. 5510. For female Bağkur employees, 7200 days of premium and 20 years of work are required, while for male employees, 9000 days of premium and 25 years of work are required. Employees who are entitled to retirement with the law must resign from their workplace due to retirement in order to benefit from this regulation. In this context, the employee must submit a letter of resignation to the employer together with the letter based on the severance pay to be received from the Social Security Institution and preferably a letter stating that he/she has applied for a pension. There is no obligation for the employee to pay a notice indemnity or to comply with the notice period.
EYT Notice Compensation: The notice indemnity is a compensation that must be paid by the party who terminates the employment contract if the other party does not notify the other party in accordance with the legal notice periods. Within the scope of the EYT Law, the parties are not obliged to observe the notice period for the retired employee, and in such a case, neither party is obliged to pay notice compensation to the other party. In the event that the employees who terminated their employment contract by taking advantage of the EYT Law are re-employed, the calculation should be made for the second working period only by taking into account the working period for the second working period. In other words, the employee who requests his/her dismissal within the scope of EYT is not obliged to comply with the notice period, and there will be no notice compensation.
EYT Severance Pay: Pursuant to Article 14 of the abrogated Labour Law No. 1475; if the employee with EYT will not continue to work in the same workplace, severance pay must be paid. However, if the employee continues to work in the same workplace, he/she may agree with the employer to receive severance pay later. In this case, if the employee leaves the workplace for a reason that will qualify for severance pay after re-employment, he/she will receive the total severance pay he/she is entitled to as of the 2nd exit date, including the one he/she is entitled to at the EYT exit. On the contrary, if the employee does not leave the job for a reason that will deserve severance pay at a later date, he/she is only entitled to the severance pay he/she earned on the date of exit with EYT. 2nd term is not paid. In the event that the employee who retired within the scope of EYT continues to work in the same workplace but receives severance pay, the seniority is reset to zero and therefore the working period before retirement, for which severance pay is paid, is not taken into account in the second exit.
EYT Annual Paid Leave: Workers whose employment contract is terminated within the scope of the EYT Law are also entitled to claim the wages of their annual leave. However, in the event that such employees are re-employed by the same employer, in the calculation of the period required to qualify for annual leave, the periods during which the employees worked in one or different workplaces of the same employer may be combined and taken into consideration. This deduction rule does not apply if the employee was paid the wage corresponding to the periods of leave for which annual leave was not granted at the end of the first period of employment and no summary of the periods of leave was made.
Re-employment: Those who are entitled to retirement within the scope of EYT can request their exit in order to benefit from the pension, and after the pension is connected, they can request re-employment in the same workplace. What is important here is that the employer and the employee who is within the scope of EYT and who requests his/her exit agree on re-employment. At this point, the employer has no legal obligation to re-employ the employee who has been dismissed because he/she has EYT. On the other hand, an incentive has been created for employers to re-employ employees by stipulating that a 5% support premium will be given to the employer for all insured persons who are re-employed within 30 days in the same workplace after retiring within the scope of the EYT law.
Social Security Support Premium Incentive: In order to encourage the re-employment of retired employees who benefit from the EYT Law by the same employer, a social security support premium incentive has also been introduced. Accordingly, the SSI Circular dated 14/4/2023 and numbered 2023/19 on the implementation of the insurance premium incentive regarding the coverage of the amount corresponding to 5 points of the SGDP employer’s share by the Treasury in the event that those who are retired for the first time as a pensioner or old age pension, that is, those who retire within the scope of EYT (5510-provisional Article 95), start working subject to social security support premium (SGDP) in the private sector workplace where they last worked, was published.