Sanctions for unpaid wages

Every employee works primarily for a wage and expects an employer to pay in full, and on time. However, in the working life, this is not always the case.
A wage or salary is the basic element of employment relations. Every employee, anywhere in the world, works primarily for a wage, and all employees expect their employers to pay their salaries in full, and on time. However, in the working life, this is not always the case.
Some employers delay payments, while others may choose not to pay at all. Of course, employees are aggrieved about this situation. Jim is one of those aggrieved workers. He writes:
“Dear Orhan, I came from Canada to Turkey in 2007 to teach. I am working at a private college as a teacher. Though my salary has been paid regularly up until now, my last two salaries were missing. Furthermore, this month’s salary has not been paid yet. Managers have cited the financial condition of the company as the reason. What do you recommend I do in this situation? What can I do about my unpaid salaries?”
Dear Jim, employee-employer relations are regulated in the Turkish Labor Law, specifically Law No. 4857. This act regulates employment relations in general, but in practice, primarily addresses labor contract provisions. So to give an exact answer, I would need to know the content of your contract with the school. However, I will try to respond within the framework of general principles in terms of the labor law. The principles about wages are as follows:
• A wage is, in general terms, the amount of money to be paid in cash by an employer or a third party to a person in return for work performed by him or her.
• As a rule, a wage shall be paid in Turkish currency at the workplace or shall be deposited into a specially opened bank account. If it has been determined that the wage will be paid in a foreign currency, it may be paid in Turkish currency according to the exchange rate as of the date of payment.
• Wage payment must not be made in bonds, coupons or any other paper claimed to represent the national currency valid in the country, or by any other means whatsoever.
• A wage must be paid on a monthly basis or more frequently. The time of remuneration may be reduced to one week by the employment contract or by collective agreement.
• Upon the expiration of the employment contract, an employee’s wage claims, as well as all the benefits based on the employment contract and on Turkish law, must be paid in full.
• The statutory limitation on wage claims is five years.
• The highest interest rate charged on bank deposits shall be levied on wage debts not paid on the day they were due.
• An employee whose wage has not been paid within 20 days of the day it was due, except in the case of force majeure, may refrain from fulfilling his or her obligation to work. Even if an employee’s refraining from work, based on a personal decision, takes on the character of a concerted action in quantifiable terms, it shall not qualify as a strike.
• Employment contracts of such employees shall not be terminated solely because they have refrained from working for this reason; no replacements shall be hired, nor may such work be performed by others.
Any employer cannot act contrary to these provisions. If any employee’s wage is not calculated or paid by the employer in accordance with these provisions or contract conditions, the worker can terminate the labor contract immediately – and subsequently file a complaint about his or her employer to the Ministry of Labor and Social Security.
On the other hand, before taking any step, I suggest you get legal advice from a lawyer. After all, your personal circumstances and contract provisions will also influence the legal measures to be taken.
Hurriyet Daily News/23.04.2010
A wage or salary is the basic element of employment relations. Every employee, anywhere in the world, works primarily for a wage, and all employees expect their employers to pay their salaries in full, and on time. However, in the working life, this is not always the case.
Some employers delay payments, while others may choose not to pay at all. Of course, employees are aggrieved about this situation. Jim is one of those aggrieved workers. He writes:
“Dear Orhan, I came from Canada to Turkey in 2007 to teach. I am working at a private college as a teacher. Though my salary has been paid regularly up until now, my last two salaries were missing. Furthermore, this month’s salary has not been paid yet. Managers have cited the financial condition of the company as the reason. What do you recommend I do in this situation? What can I do about my unpaid salaries?”
Dear Jim, employee-employer relations are regulated in the Turkish Labor Law, specifically Law No. 4857. This act regulates employment relations in general, but in practice, primarily addresses labor contract provisions. So to give an exact answer, I would need to know the content of your contract with the school. However, I will try to respond within the framework of general principles in terms of the labor law. The principles about wages are as follows:
• A wage is, in general terms, the amount of money to be paid in cash by an employer or a third party to a person in return for work performed by him or her.
• As a rule, a wage shall be paid in Turkish currency at the workplace or shall be deposited into a specially opened bank account. If it has been determined that the wage will be paid in a foreign currency, it may be paid in Turkish currency according to the exchange rate as of the date of payment.
• Wage payment must not be made in bonds, coupons or any other paper claimed to represent the national currency valid in the country, or by any other means whatsoever.
• A wage must be paid on a monthly basis or more frequently. The time of remuneration may be reduced to one week by the employment contract or by collective agreement.
• Upon the expiration of the employment contract, an employee’s wage claims, as well as all the benefits based on the employment contract and on Turkish law, must be paid in full.
• The statutory limitation on wage claims is five years.
• The highest interest rate charged on bank deposits shall be levied on wage debts not paid on the day they were due.
• An employee whose wage has not been paid within 20 days of the day it was due, except in the case of force majeure, may refrain from fulfilling his or her obligation to work. Even if an employee’s refraining from work, based on a personal decision, takes on the character of a concerted action in quantifiable terms, it shall not qualify as a strike.
• Employment contracts of such employees shall not be terminated solely because they have refrained from working for this reason; no replacements shall be hired, nor may such work be performed by others.
Any employer cannot act contrary to these provisions. If any employee’s wage is not calculated or paid by the employer in accordance with these provisions or contract conditions, the worker can terminate the labor contract immediately – and subsequently file a complaint about his or her employer to the Ministry of Labor and Social Security.
On the other hand, before taking any step, I suggest you get legal advice from a lawyer. After all, your personal circumstances and contract provisions will also influence the legal measures to be taken.
Hurriyet Daily News/23.04.2010