Significant Amendments Made Regarding Work Permit Evaluation Criteria

10/16/2024

All News
In accordance with the annex to the Regulation on the Implementation of the International Workforce Law (“Regulation”) published in the Official Gazette dated 02.02.2022 and numbered 31738, the “Work Permit Evaluation Criteria” used by the Ministry of Labor and Social Security (“Ministry”) during the evaluation process of work permit applications have been updated pursuant to Article 22 of the Regulation.
With this amendment, the employment, financial adequacy, and wage criteria, which are among the work permit evaluation criteria, have been updated, and changes have been made based on sector, occupation and job.

A. What are the Amendments Introduced by the Regulation?

1. Revision of General Evaluation Criteria and Capital Requirements:
The amended criteria and exemptions consider factors such as whether the company is subject to the balance sheet principle, whether it is newly established or already operational, whether it includes an ordinary partnership, and whether the foreign individual has previously been legally present in Türkiye.

Under the previous regulation, the paid-in capital requirement for newly established workplaces subject to the balance sheet principle was at least 100,000 Turkish Lira (“TL”), whereas, with the new implementation, this amount has been set at a minimum of 500,000 TL.

For work permit applications submitted on behalf of workplaces operating under the balance sheet principle and their established ordinary partnerships, at least one of the following three conditions must be met:

Paid-in Capital: Under the previous regulation, the minimum amount was 100,000 TL, but under the new regulation, it must be at least 500,000 TL.
Net Sales: Under the previous regulation, the minimum amount was 800,000 TL, however, the new regulation raises this requirement to a minimum of 8,000,000 TL.
Exports: The export threshold, which was at least 250,000 USD in the previous regulation, has been reduced to at least 150,000 USD under the new implementation.


With these amendments, the paid-in capital and net sales amounts have been increased, while the export threshold has been lowered. The general effective date for the “Work Permit Evaluation Criteria” has been established as 01.10.2024. However, an exception has been made for the regulations concerning paid-in capital and net sales, with the effective date set for 01.01.2025. The export threshold will take effect on 01.10.2024.

According to this, for applications submitted prior to 01.01.2025, it is required that the paid-in capital be at least 100,000 TL, the net sales amount be at least 800,000 TL, or the export amount (without waiting for 01.01.2025) be at least 150,000 USD.


New Regulation New Regulation Effective Date
Paid-in Capital Minimum 100.000 TL Minimum 500.000 TL 01.01.2025
Net Sales Amount Minimum 800.000 TL Minimum 8.000.000 TL 01.01.2025
Export Minimum 250.000 USD Minimum 150.000 USD 01.10.2024



2. Addition of Specific Evaluation Criteria Based on Sector, Occupation, or Job:
As a result of the new regulation, the criteria to be applied will vary depending on the sectors in which the workplaces employing foreign individuals operate and the jobs in which the foreign individuals will work. In this context, regulations have been introduced for sectors such as information technology, education, domestic services, aviation, healthcare, tourism, and sectors requiring advanced technology, as well as public projects.

In applications submitted for foreign students under these regulations, requests for positions in entertainment, domestic services, or sectors deemed unsuitable for students will be assessed negatively. Additionally, the applicant's student status will be verified through records from the Council of Higher Education.


3. Introducing Evaluation Criteria for Foreign Company Shareholders:
Under the amendment, when applying for work permits on behalf of foreigners who have established a new workplace or joined an existing one operating under the balance sheet principle, the paid-in capital amount and the employment of Turkish citizens will be evaluated.

In this context, with the condition that the paid-in capital is at least 500,000 TL, the foreign individual's capital requirement has been increased from 40,000 TL in the previous regulation to a minimum of 500,000 TL. Additionally, the foreign partner must hold at least 20% of the company’s shares. This change in the capital requirement will take effect on 01.01.2025. For applications submitted until this date, the previous capital requirement of 40,000 TL will suffice.

No changes have been made to the employment criteria, and the requirement to employ at least 5 (five) Turkish citizens will be assessed starting from the 7th (seventh) month of the initial work permit duration.

Furthermore, an additional exception to these criteria has been established: work permit applications submitted on behalf of foreign shareholders with a capital contribution of 100,000 USD or greater will be exempt from the financial and employment criteria.


4. Expansion of the Scope of Foreigners Exempted from the Evaluation Criteria:
With the implementation of the amendment, the scope of foreigners exempt from evaluation criteria has also been expanded.
In this context, the following foreigners have been included in the scope of exemption: those whose mother, father, or child is a Turkish citizen; foreigners holding a humanitarian residence permit, a residence permit for victims of human trafficking, a long-term residence permit, or a stateless person identity document; and individuals who have been in a marital union with a Turkish citizen for at least 3 (three) years.
Additionally, foreigners who have resided in Türkiye for a minimum of 8 (eight) years with a work permit, short-term residence permit, family residence permit, long-term residence permit, humanitarian residence permit, or residence permit for victims of human trafficking will also be eligible for this exemption.
Furthermore, foreigners of Turkish descent, as identified by the Ministry of Interior or the Ministry of Foreign Affairs or deemed eligible under the international workforce policy of the General Directorate, are also included in the exemption, except for occupations and jobs reserved exclusively for Turkish citizens.


5. Transitional Provisions:
For work permit extension applications, it has been established that the financial adequacy criteria in effect at the time of the initial application will be the basis for evaluation. As a result, extension applications will not be assessed under the new principles.


B. Sonuç

Before applying for a work permit under the new revisions, it is crucial to thoroughly review the updated criteria, carefully evaluate the foreign individual’s eligibility for employment, and consider the effective dates of the new regulations. This process is a vital step toward the successful completion of the application. Neglecting to undertake these steps may result in rejection, making it essential to account for all these factors to ensure a smooth employment process.

The full text of the amendments is available here.


CCerensu Çetin Yenigün, Senior Associate
Eylül Uslu, Trainee Lawyer




Other News