Haldun Pak Employers Are Waiting For The Decree No. 7103 For The Incentive (2)

Haldun Pak / Employers are waiting for the decree no. 7103 for the incentive

The additional employment incentive numbered 7103, which was first initiated in 2018 to alleviate the burden on employers and increase employment, ended as of December 2022. While employers benefit from an incentive of 30 billion TL, President Recep Tayyip Erdoğan announced that the incentive period would be extended in his speech at the 1 Million Employment Project Public Information Program. Many employers, who also provide employment to earthquake victims, focused on the decision to be made on this issue before submitting their concise declarations. Experts say that if given, premium incentives are expected to reach 40 billion TL in 2023.

The incentive period, which entered into force with the Law No. 7103 on insurance premium incentives given to employers to increase the number of employees and to strengthen employment, ended as of 31.12.2022. Employers benefited from the 30 billion TL incentive. While the duration of the premium incentives, which is calculated as 40 billion TL for 2023, is expected to be extended, the incentive decree has not yet been published after the disasters experienced throughout Turkey. Rasyotek Chairman of the Board of Directors Haldun Pak, who made an assessment on the subject, said, “Incentive number 7103 is a very important support for employers. Since the decree has not been published yet, employers have to wait for insurance declarations. If the decree is not published, a decrease in the number of employment will be inevitable.”

“Employers made their new year budgets taking into account 7103 premium support”

Underlining that the President has the authority to extend the duration of the additional employment incentive, which came into force with the bag law no. 7103, which both makes a great contribution to employment in Turkey and is a real incentive for employers, Haldun Pak said, “Employers should consider the personnel cost budgets that will occur after the increase in the minimum wage in the new year. He did it by taking into account the premium support numbered 7103. Currently, we are waiting for the official publication of the good news of President Recep Tayyip Erdoğan, “The insurance premium support up to 10 thousand lira per month will be extended until the end of 2023” given to workplaces that make additional employment in the manufacturing and IT sectors. Unfortunately, it is not possible to take retroactive action regarding the job entry declarations given. For this reason, employers are concerned about whether incentive definitions will be made for January 2023 and February 2023 concise declarations, which are on the last days.

Haldun Pak Employers are waiting for the decree no. 7103 for the incentive (1)

“Employers use all their possibilities for the continuity of current employment”

The incentive numbered 7103, which came into force in January 2018 to prevent unregistered workers and to increase the employment of women, youth and disabled individuals, was valid until 2020. “Thanks to these premium incentives provided since 2018, many people have been employed. Due to the high costs from time to time, the burden of employers who had to work with less personnel was also reduced. After the pandemic, war and many other economic factors, we are going through difficult disaster conditions as a country, we have wounds to heal. Many employers are opening their doors to provide employment especially to earthquake victims. We are aware that priorities are different, but employers have to submit their withholding statements. Waiting for the decree to be published, employers are using all their financial means to protect existing employment. However, since they do not have the necessary budget for new employments, they may not be able to contribute to employment. We hope that the decree will be published as soon as possible and employers will breathe a sigh of relief.”

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