Job Loss Compensation
The Law no. 4046 dated 24.11.1994 on the Regulation of Privatization Practices and Amendment of Some Laws and Statutory Decrees, insured unemployed who lost their jobs due to privatization are entitled to receive job loss compensation.
Provision of temporary income and social security those employment contracts of whom terminated due to privatization or preparation of their organization for privatization, downsizing or suspension of the operations of their organization partially or completely, their organization being closed down or liquidated temporarily or permanently, and entitled to compensation as required by the labor laws or collective labor agreements.
3. Relevant Institutions
- Turkish Employment Agency Directorate General is responsible for paying job loss compensations and carrying out the procedures related to other services provided,
- Directorate of Privatization Administration is responsible for carrying out all kind of procedures related to privatization of organizations, as well as directing them in preparation of privatization and following up and coordinating their activities.
4. Benefit Conditions and Periods
People who lost their job because of privatization, they have to apply to the nearest unit of Turkish Employment Agency within maximum 30 days by the termination of their employment contracts to be entitled to job loss compensation.
A job loss compensation of
- 90 days for 550 days of uninterrupted employment contract,
- 120 days for 1100 days of uninterrupted employment contract,
- 180 days for 1650 days of uninterrupted employment contract,
- 240 days for 2200 days of uninterrupted employment contract, is paid to those whose employment contract is terminated while being employed in privatized organizations.
5. Services Provided
- Payment of job loss compensation,
- Finding a new job,
- Provision of vocational trainings,
- On behalf of right owners, payment of social security deductions to relevant institutions.
6. Calculation of Payment Job loss compensation is two times of the net daily minimum wage on the date labor contract is terminated.
The handicapped personnel (1st, 2nd, and 3rd degree designated by relevant laws) is paid four times of the net daily minimum wage as job loss compensation.