09June2021

Premium Support for Employees that Benefit from the Social Aids

With the Social Security Circular No. 2021/18, the authorities have made some changes on Circular No. 2018/8, which is about the premium supports for employees that benefit from the social aids under the 5^th Article of Law No. 3294.

The related changes that have been come into the force with Circular No. 2021/18 is as below:

1- The examples given for the period of benefit have been revised. Per that change;

Example 1: If the employee meets all the criteria stated on the 5^th Article of Law No. 3294, and they are employed on 23.07.2016, the employer portion of social security contributions for the period of 2016/July – 2017/June have been paid by the Ministry.

Example 2: If the employee (A) is employed by (Z) limited company & (Y) joint-stock company and is a resident at a home that gets social aids; we assume the hire and termination dates are as below:

(A) Employee	Hire Date	Termination
(Z)	20.09.2016	3.10.2016
(Y)	14.12.2016

(Z) Company can get the premium support for the months 2016/Sep-Oct, while (Y) Company can get the premium support for the months; 2016/Dec, 2017/Jan, Feb, Mar, Apr, May, Jun, Jul, Aug, Sep.

2- Regarding the topic of subcontractors, the revisions are as below:

This premium support would also be applicable for the subcontractors employing the employees, who are in the scope of the 5^th Article of Law No. 3294.

In the meantime, there are some conditions to benefit from this support for subcontractors as below:

There should be no outstanding social security premium or administrative fines, late payment interests for the primary employer and subcontractors.
The employees should be under the scope of the 5^th Article 5 of Law No. 3294 and should be an additionally hired employee to the average employee count currently working in the workplaces.

Example 1:

The employee is employed by the (Z) Company on 25.04.20218. The subcontractor (1) has employed the employee (Metin) on 13.04.2018. The social security declaration details of the primary employer and the subcontractor is as below:

Employer	Employee count declared to SSI	Months declared to the SSI
Primary	96	12
(1) subcontractor	36	9

For the primary employer, the average employee count for Elif's case would be 96/12=8. Accordingly, the premium support for Elif can be applicable for the months that have 9 employees or more.
For the subcontractor, the average employee count for Metin's case would be 36/9=4. Accordingly, the premium support Metin can be applicable for the months that have 5 employees or more.

You can reach the related Circular via the link. (In Turkish)

Should you have any queries or need further details, please contact your customer representative.

Author Erdoğdu Onur Erol, Category Social Security Law and Legislation

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