Turkey Employer Of Record

employer of records

Turkey Employer of Record – The Complete Guide to Hiring in Turkey Without a Legal Entity

A Turkey Employer of Record (EOR) is a strategic solution that enables foreign companies to legally hire employees in Turkey without the need to establish a local subsidiary, branch, or other legal entity. Under this model, the EOR becomes the official employer on paper for all legal and compliance purposes, managing payroll, social security contributions, tax declarations, employment contracts, and HR compliance — while you, as the client company, retain full operational control over the employee’s work responsibilities, performance goals, and daily communication.

For many international businesses, entering the Turkish market is attractive due to its growing economy, strategic location, and skilled workforce. However, the process of setting up a legal entity, understanding local labor regulations, and managing ongoing compliance can be time-consuming, costly, and complex. A Turkey Employer of Record bridges this gap, allowing companies to access Turkish talent quickly and compliantly without committing to the expenses and bureaucracy of entity formation.

This approach is particularly valuable for:

  • Businesses testing the Turkish market before committing long-term

  • Companies needing to hire a specific skill set urgently

  • Organizations expanding operations without overextending their resources

  • Firms avoiding permanent establishment risks that trigger additional taxes

Why Use a Turkey Employer of Record?

Choosing to work with a Turkey Employer of Record comes with multiple strategic advantages that can accelerate your entry into the market while minimizing legal and operational risks.

1. Hire Quickly Without Setting Up a Local Entity

Establishing a legal entity in Turkey can take several months, requiring a local address, bank account, notary procedures, corporate registration, tax number setup, and legal representation. This delay can hinder your ability to seize business opportunities or onboard urgent hires. A Turkey EOR bypasses this process entirely — enabling you to employ workers in as little as a few days, with all legal employment infrastructure handled for you.

2. Ensure Full Compliance With Turkish Laws

Turkey’s labor and tax framework is complex, with specific rules on employment contracts, payroll calculations, working hours, benefits, and termination procedures. An EOR ensures compliance with:

  • Turkish Labor Law No. 4857

  • Social Security and General Health Insurance Law No. 5510

  • Turkish Tax Procedure Law

  • Regulations on employee rights, severance, and workplace safety

By outsourcing compliance to an EOR, you avoid costly penalties, employee disputes, and reputational risks.

3. Avoid Permanent Establishment (PE) Risks

Hiring directly in Turkey without a local entity can sometimes create a “permanent establishment” for tax purposes, obligating you to pay corporate taxes in Turkey. An EOR acts as the legal employer, preventing unintended PE status while allowing you to operate freely.

4. Save Time and Reduce Overheads

Without an EOR, you would need to manage HR, payroll, tax filing, and compliance internally or through multiple local vendors. With an EOR, all these functions are centralized in one service, freeing up your time and reducing operational expenses.

How Turkey Employer of Record Services Work

Partnering with a Turkey Employer of Record means you focus on managing the work, while your EOR partner handles all employment-related administration in compliance with Turkish law.

1. Employee Onboarding in Turkey

A smooth onboarding process ensures both compliance and a positive employee experience. Your EOR will:

  • Draft a customized employment contract in line with Turkish labor laws, detailing salary, working hours, leave entitlements, and termination clauses

  • Register the employee with SGK (Sosyal Güvenlik Kurumu – Social Security Institution)

  • Prepare mandatory HR and tax documentation

  • Provide new hire orientation on rights, benefits, and workplace policies

Because the EOR is already registered as a legal employer in Turkey, onboarding can often be completed within 3–5 business days, compared to weeks or months if you were setting up your own entity.

2. Payroll & Benefits Administration

Payroll in Turkey requires accurate calculations that account for income tax brackets, SGK contributions, unemployment insurance, and any additional deductions. A Turkey Employer of Record will:

  • Calculate gross-to-net pay with precise tax withholdings

  • Pay salaries in Turkish Lira directly into employee bank accounts

  • Manage statutory benefits such as health insurance, pension contributions, and holiday pay

  • Administer optional benefits like allowances, bonuses, or meal vouchers

  • Provide itemized payslips and payroll summaries for your records

This eliminates the risk of miscalculations and ensures that employees are paid accurately and on time, enhancing trust and retention.

3. Tax & Social Security Compliance

Your EOR will take responsibility for all statutory filings, including:

  • Submitting monthly tax declarations to the Turkish Revenue Administration

  • Filing and paying SGK social security contributions

  • Completing annual tax reconciliations and end-of-year reporting

Metropol CPA also proactively monitors changes in tax legislation, ensuring your business remains compliant without disruption.

4. HR Support & Employment Law Guidance

An experienced Turkey Employer of Record like Metropol CPA offers ongoing HR and legal support, including:

  • Guidance on working hours, overtime pay, and leave policies

  • Advice on maternity/paternity leave, sick leave, and other statutory entitlements

  • Support with employee relations and dispute resolution

  • Updates on any changes to labor legislation that could affect your workforce

This means you always have a local HR and legal expert on hand to navigate the complexities of employment in Turkey.

5. Employee Termination & Offboarding

When an employment relationship ends, the EOR will manage the process in full compliance with Turkish law, including:

  • Drafting and issuing termination letters

  • Calculating severance pay, unused leave payments, and other entitlements

  • Filing SGK exit declarations

  • Managing final payroll and tax reporting

Handled professionally, this process protects your company’s reputation and minimizes the risk of legal disputes.

Why Choose Metropol CPA as Your Turkey Employer of Record

Metropol CPA combines deep local expertise with a commitment to international service standards, making it one of the most trusted Turkey Employer of Record providers.

  • 💰 Cost-Effective Expansion – Avoid entity setup costs, ongoing administrative burdens, and in-house HR expenses.

  • ✅ Guaranteed Compliance – Our legal and payroll teams ensure every employment detail adheres to Turkish labor, tax, and social security laws.

  • ⚡ Fast Market Entry – Onboard employees within days, enabling immediate project launches.

  • 🔄 Tailored Solutions – Whether you’re a startup testing the market or a multinational scaling operations, we adapt to your needs.