Contract Types in Turkey

In a typical Employer of Record (EOR) arrangement in Turkey, indefinite-term/open-ended employment contracts are more common, while fixed-term contracts are generally considered an “exception” and are mainly used for temporary employment arrangements.

Why Are Indefinite-Term Contracts More Common in Turkey?

1. Fixed-term contracts require an “objective reason” (such as a defined project duration, employee replacement, seasonal work, or temporary business needs). If there is no objective justification and the contract is repeatedly renewed or consecutively signed, it may be deemed an indefinite-term contract in practice, potentially resulting in dispute risks, compensation liabilities, or notice period obligations.
2. Fixed-term contracts carry higher early termination risks. If a fixed-term contract is terminated before its expiration date, the legal risks and potential compensation disputes are generally more sensitive than those associated with indefinite-term contracts, which at least provide a relatively clear framework regarding notice periods and notice compensation.

Employment Contract Details

Employment contracts must be prepared in Turkish and may also be bilingual versions. The contract must be executed in writing and signed by both parties.

Probation Period

The maximum probation period is 2 months and may be extended up to 4 months where applicable.

During the probation period, either party may terminate the employment relationship more flexibly, generally without complying with statutory notice period requirements; however, the employee remains entitled to wages and benefits earned during the period worked.

Essential Components of Turkish Employment Contracts

Employment agreements in Turkey must be drafted in Turkish, though bilingual versions are permissible. These contracts require written format with signatures from both employer and employee to be legally valid.

Comprehensive employment contracts should clearly specify:

Understanding Probation Periods in Turkish Employment

While Turkish labor law doesn't mandate probation periods, incorporating them into employment contracts represents sound HR practice. Organizations like SailGlobal typically implement probationary terms to assess mutual compatibility.

The maximum probation period permitted under Turkish regulations is 60 days (approximately 2 months), while employers have flexibility to establish shorter durations based on role requirements and organizational policies.

International Best Practices

Multinational companies operating in Turkey, including SailGlobal, often combine local compliance with global HR standards. For instance, a technology firm might implement a 45-day probation period with weekly performance reviews, while manufacturing companies might opt for shorter 30-day assessments for production roles.