This is the English version of a Turkish article. The original, with further detail and linked petition templates, is at İhbar Tazminatı Nedir? Nasıl Hesaplanır?.
Notice pay is what the party terminating an employment contract without giving notice owes the other (İş K. art. 17). It differs from severance pay in two ways: an employer can claim it from an employee, and it does not arise where the employee terminates for just cause. The notice periods run from two to eight weeks according to length of service.
Article 17 of the Labour Act No. 4857 gives both sides defined notice periods on the termination of an indefinite-term contract. During the notice period the employee continues to work and be paid, and is entitled to time off to look for work. İş K. means the Labour Act No. 4857.
The Notice Periods
Under İş K. art. 17 the notice period increases in steps with length of service, and runs from the date notice of termination reaches the other party.
- Under 6 months: 2 weeks (14 days)
- 6 months to 1.5 years: 4 weeks (28 days)
- 1.5 to 3 years: 6 weeks (42 days)
- Over 3 years: 8 weeks (56 days)
These are minimum periods: they may be increased by the contract or a collective agreement, but not reduced. Contracts within the probation period are not subject to them and may be terminated without notice.
| Service | Notice period |
|---|---|
| Under 6 months | 2 weeks |
| 6 months – 1.5 years | 4 weeks |
| 1.5 – 3 years | 6 weeks |
| Over 3 years | 8 weeks |
The periods are minimums; they can be increased but not reduced. During the notice period the employee must be given time off to look for work — at least two hours a day.
Who Pays
- The employer dismisses without giving notice: the employer owes notice pay to the employee.
- The employee resigns without giving notice: the employee owes notice pay to the employer.
An important point: notice pay does not arise on a termination for just cause. Where the employee's serious misconduct, or the employer's serious breaches listed in the statute, justify immediate termination, no notice period is observed and no notice pay is due.
Bringing a reinstatement action does not remove the right to claim notice pay; the two are claimed separately.
How It Is Calculated
The calculation is wider than the bare salary: regular supplementary payments are included, and this makes a substantial difference in practice.
The formula is: gross daily wage × the number of days in the notice period.
The gross daily wage takes account of:
- Basic salary
- Regularly paid premiums and bonuses
- Meal and transport allowances, where paid in cash
- Housing allowance, where paid in cash
- Other regularly made payments
For example, an employee with more than three years' service on a gross monthly wage of 30,000 TL has a gross daily wage of 1,000 TL. The notice period is 8 weeks, or 56 days, so notice pay is 1,000 × 56 = 56,000 TL gross.
Deductions: unlike severance pay, notice pay is treated as wages and is subject to income tax as well as stamp duty. The income tax exemption applies to severance pay, not to notice pay.
"On termination with notice, the party that does not observe the notice period must pay compensation equal to the wages for that period."
İş K. art. 17
How It Differs from Severance Pay
Severance pay is earned by an employee with at least one year's service in defined circumstances — dismissal, retirement, military service — and is calculated at thirty days' gross wage for each full year. Notice pay is a separate payment made because the notice period was not observed, and is claimed independently.
Both are payable where:
- The employer terminates without giving notice;
- The employer terminates immediately on payment in lieu;
- The employee is dismissed without just cause.
Where the employee terminates for just cause — resigning because of the employer's breaches — severance pay is claimable but notice pay is not, because it is the employee who terminated.
A claim for notice pay is subject to a five-year limitation period from the date of termination. Within it, an application to a mediator and then an action in the labour court must be made. Keep the employment records — the entry document, payslips and the termination notice.
Frequently Asked Questions
How long is the notice period?
Two weeks under six months' service, four weeks to 1.5 years, six weeks to three years, and eight weeks beyond that.
Can my employer claim notice pay from me?
Yes, if you resign without observing the notice period. The obligation runs both ways.
Is notice pay taxed?
Yes. It is treated as wages and subject to income tax and stamp duty; the income tax exemption applies to severance pay only.
Do I get both severance and notice pay?
Both where the employer terminates without just cause or without notice. Where you terminate for just cause, severance is payable but notice pay is not.
How long do I have to claim?
Five years from the date of termination.