President Recep Tayyip Erdogan announced that the minimum wage has increased by 50% to TRY 4,250. Erdogan also announced that the minimum wage will be exempt from income tax and stamp duty.
The new minimum wage, which directly concerns nearly 7 million employees and indirectly all citizens, has been announced. The announced minimum wage will be effective as of 2022.
The Minimum Wage Determination Commission expressed its opinion that the minimum wage should be above TRY 4,000, Erdogan stated adding that this represents 50% increase, the highest rate in the last 50 years.
“I believe that we have demonstrated our determination not to crush our employees in the face of price increases. There are some problems at the moment, and we will overcome these problems as soon as possible. We are determined to put an end to the recent fluctuations in the exchange rate and the associated exorbitant price uncertainty as soon as possible,” said Erdogan.
The president also said that the exemption of income tax and stamp duty from the minimum wage will save the employer from an additional burden of TRY 450.
For his part, Vedat Bilgin, Minister of Labor and Social Security, thanked the employers’ and labor unions for their contributions in the commission.
Turkish Confederation of Employer Associations (TISK) President Ozgur Burak Akkol said that the state is working to do the best. “Our point of view is also very clear. There can be no employer without employees,” he added.