The Directorate General of International Labor Force of the Ministry of Labor and Social Security (“Ministry”) announced on October 1, 2024, that the “Work Permit Evaluation Criteria” in effect under Provisional Article 1 of the Regulation on the Implementation of the International Labor Force Law have been revised, based on Article 22 of the same Regulation.

With this amendment, the employment, financial capability, and wage criteria in the work permit evaluation criteria have been revised and new rules have been introduced based on various sectors, professions, or jobs.

The updated Work Permit Evaluation Criteria are as follows:

1. General Evaluation Criteria

1.1. Employment Criteria

As a general rule, at least 5 Turkish citizens must be employed for every foreign employee applying for a work permit. However, an exemption applies to workplaces with net sales exceeding TRY 50,000,000.00 in the previous year, allowing them to employ up to 5 foreign employees without meeting this requirement. Employment criteria will apply for any foreign employees beyond the fifth.

1.2. Financial Capability Criteria

Under the previous regulation, workplaces aiming to employ foreign personnel were required to meet at least one of the following financial criteria: TRY 100,000,00 in paid-in capital, TRY 800,000.00 in net sales, or USD 250,000.00 in exports from the previous year. The new regulation stipulates:

1. For newly established companies subject to the balance sheet principle (companies established in the current year and without a year-end balance sheet or income statement), the paid-in capital must be at least TRY 500,000.00.
2. For companies subject to the balance sheet principle that have been operational for more than one year, the paid-in capital must be at least TRY 500,000.00, or net sales must be at least TRY 8,000,000.00, or exports must be at least USD 150,000.00.

• For ordinary partnerships formed by such companies, at least 1 partner must have a paid-in capital of TRY 500,000.00 or meet the aforementioned net sales or export thresholds.

These criteria will become effective on January 1, 2025. Until that date, the existing minimum thresholds will continue to apply: TRY 100,000.00 for paid-in capital, TRY 800,000.00 for net sales, and USD 150,000.00 for exports.

1.3. Wage Criteria

The minimum wage to be paid to foreign employees depends on their position and is calculated based on the gross minimum wage at the time of the work permit application. The changes to these wage requirements are summarized below:

1.4. Exemption from Employment and Financial Capability Criteria

For the work permit applications made from within Turkiye on behalf of foreigner who have legally resided in Turkiye for at least 3 years within the last 5 years, excluding student residence permits, the employment and financial capability criteria will not apply for up to 3 foreign employees. However, the number of foreign employees must not exceed the number of Turkish citizens working in the same workplace. Additionally, provided that the provisions of the relevant legislation regarding foreigners under international protection are preserved, if more than 3 foreign employees meeting the specified conditions are to be employed at the same workplace, the employment of 5 Turkish citizens is mandated for each subsequent foreign employee (beginning with the fourth foreign employee), along with the fulfillment of the financial capability criteria as stipulated.

2. Specific Evaluation Criteria Based on Sector, Profession, or Job

With the new regulation, specific evaluation criteria have been introduced tailored to account for the unique dynamics and requirements of various sectors, professions, or jobs. Accordingly, workplaces employing foreign personnel will be subject to specific criteria based on the sectors in which they operate and the roles that foreign personnel will perform. This approach includes sector- and role-specific regulations for fields such as information technology, education, household services (child, elderly, and disabled care), aviation, high-tech industries (notably in qualified investments, R&D, and design centers), public projects, healthcare, and tourism. Additionally, specific evaluation criteria have been introduced for work permit applications for foreign students.

3. Criteria for Foreign Company Partners

For work permit applications submitted on behalf of foreign nationals establishing a new business or becoming partners in an existing company must meet the requirement of a minimum paid-in capital of at least TRY 500,000.00. Under this condition, their individual contribution must also be at least TRY 500,000.00 (an increase from the previous requirement of TRY 40,000.00), with a minimum ownership share of 20%. However, the increased capital requirement of TRY 500,000.00 for foreign national will not come into effect until January 1,2025. Therefore, applications submitted prior to this date are subject to the previous regulation, requiring a minimum capital contribution of only TRY 40,000.00, allowing businesses and foreign investors a transition period to meet the updated financial capability criteria.

Furthermore, at least 5 Turkish citizens must be employed in these businesses as part of the eligibility criteria for applications of this nature to be evaluated. The initial work permit granted on behalf of the foreign partner or business owner will include a condition specifically mandating compliance with employment criteria. Starting from the 7. month of the initial work permit period, the business will be obligated to employ a minimum of 5 Turkish citizens each month to maintain eligibility.

If the foreign partner’s capital share is USD 100,000.00 or more, the above-mentioned financial capability and employment requirements will not apply, exempting the business from these specific criteria due to the higher level of investment by the foreign partner.

4. Foreign Nationals Exempt from Evaluation Criteria

Foreign nationals who have a Turkish citizen as a parent, spouse, or child; those granted a humanitarian residence permit; victims of human trafficking who hold a residence permit or are beneficiaries of the victim support program; stateless persons; foreigners with a long-term residence permit; individuals who have been married to a Turkish citizen for at least 3 years; and foreigners who have resided in Turkey for a minimum of 8 years with a work permit, short-term residence permit, family residence permit, long-term residence permit, humanitarian residence permit, or human trafficking victim residence permit are exempt from work permit assessment criteria if they can substantiate their status with documents issued by public institutions. Additionally, those of Turkish descent and citizens of the Turkish Republic of Northern Cyprus are also exempt under these conditions. However, this exemption does not grant an absolute right to obtain a work permit.

5. Additional Provisions

Work permit applications submitted for activities that not of an employment nature and are intended solely for voluntary activities will be rejected.

For extension applications related to work permits granted before the enforcement date of the new evaluation criteria, the Directorate General of International Labor Force may apply a different evaluation approach, in line with international labor force policies. In these extension applications, financial capability criteria valid as of the original application date will be used as the basis for assessment.

Should you have any queries regarding the matter, please feel free to contact us.

Kind regards,
DT Law