Turkey: Personnel and Job Market
Although the proportion of well-educated people is very low, the few who do have the chance to obtain a university degree are excellent. The university entrance examinations are very difficult and demanding and only a selected few manage to pass these. There are some renowned universities with brilliant graduates. Young executives are trained by Turkish and international firms in Turkey, and then move to businesses demanding high flexibility and adaptability.
Companies who wish to invest in Turkey or build their own market structures will easily find well trained and highly motivated employees. Turkish executives are held in high esteem by local businesses.
However Turkey is not a low wage labour country. A steep income curve is evident; wages for qualified and unqualified labourers as well as the salaries of white-collar workers without managerial responsibility are relatively low. On the other hand managers and qualified skilled labourers obtain, above all in the west of the country, similar salaries to their European counterparts. Noteworthy is the proportion of women in management positions, which is almost double that of Austria.
Due to the rapid economic growth, there will probably be shortage of skilled labour in the next two to three years.
12 monthly salaries per year are paid in Turkey. Income tax is calculated on a progressive scale. For earned income the marginal tax rate is 15 percent (for a yearly income of 7,000 TRY or above), the top income tax rate is 35 percent (from a yearly income of 40,000 TRY or higher). The tax assessment basis is the sum of all income minus business losses.
The social security contributions of employers range from 20.5 to 26% (depending on the degree of risk involved in accident insurance). The employee must pay an additional 16%.
