PEO Services in Turkiye

A co-employment model for companies that want to share the employer relationship in Turkiye rather than hand it over entirely. We tell you if PEO fits your needs, and place you with the right vetted partner if it does.

  • Independent advice
  • Vetted partners
  • Honest positioning

What a PEO does in Turkiye

A Professional Employer Organisation works on a co-employment model. You and the PEO partner share the legal employer responsibilities for your Turkish staff: you keep direction and day-to-day control, while the partner administers payroll, SGK contributions, and income tax under a shared arrangement.

01

Shared employer role

You and the PEO partner share the legal employer responsibilities. You keep direction and control; they handle payroll, SGK contributions, and income tax.

02

More direct control

PEO suits companies that want to retain more direct control of the employment relationship than a full EOR arrangement allows, while a partner still carries the SGK and tax administration.

03

Honest recommendation

For most companies hiring in Turkiye, EOR is simpler while you have no entity. We will tell you honestly whether PEO genuinely fits your structure, or whether EOR serves you better.

How PEO works in Turkiye, step by step

From assessing the fit to a compliant co-employment arrangement.

01 — Assess the fit

We map your structure, headcount, and how much control you want to keep, and tell you honestly whether PEO or EOR serves you better. No product push.

02 — Set up co-employment

If PEO fits, we place you with a vetted Turkish partner and structure the shared employer arrangement correctly.

03 — Onboard your people

Compliant Turkish employment terms under Labour Law No. 4857, with the administrative employer functions handled by the partner.

04 — Payroll & compliance

SGK contributions, income tax, and statutory filings handled monthly, while you keep day-to-day direction.

What PEO in Turkiye costs

As with EOR, two parts: the statutory cost of employment (a base SGK rate reduced by a sector-dependent Treasury discount) and the partner service fee.

Employer social security (SGK)

A base rate of 23.75% of gross salary, reduced by a Treasury incentive to around 21.75% (most employers) or 18.75% (manufacturing) through the end of 2026, unemployment insurance already included, all administered under the shared employer arrangement.

Minimum wage (2026)

TRY 33,030 gross per month (TRY 28,075.50 net) for 2026, one national rate with no regional variation, reset every January to track inflation.

Income tax (employee)

5 bands from 15% up to 40%, withheld at source as part of the shared payroll administration.

PEO partner fee

A service fee for the co-employment administration. Under a shared employer arrangement, Turkiye’s SGK sector discount and annually revalued tax bands still have to be administered correctly by someone. We benchmark across our vetted network, typically 15 to 25% below going direct.

Why arrange it through Bradford Jacobs

Why companies arrange Turkish PEO through us rather than going direct to a single provider.

We tell you if PEO fits your needs

We are independent: we assess what you actually need, place you with the right vetted partner, secure pricing you will not get going direct, and stay on your side to escalate or renegotiate. You get advice, not a product pitch.

  • Independent advice
  • Vetted partners only
  • On your side at renewal

Pricing you can’t get direct

Turkiye’s SGK sector discount depends on your registered activity code, and the severance liability keeps accruing in the background regardless of which model administers it. We benchmark across our vetted network for rates typically 15 to 25% below going direct, and renegotiate for you at renewal.

  • 15-25% below direct
  • Network benchmarking
  • Renegotiated for you

Straight to the top when it matters

When something needs resolving, and in global employment it sometimes does, you come to us. We escalate directly, past the helpdesk, to people who can actually move it.

  • Direct escalation
  • No support queues
  • Named account contact

Two decades of placements

Two decades placing and managing employment arrangements across global markets, with the local knowledge that prevents costly Turkish compliance mistakes.

  • Co-employment expertise
  • Honest fit advice
  • Right structure

We flex as your structure changes

PEO, EOR, and your own entity sit on a spectrum, and the right point shifts as you grow. We advise on the path and manage the moves, EOR to PEO, or either to your own A.Ş. or Ltd. Şti., as your Turkish presence develops.

  • EOR, PEO or entity
  • Transitions managed
  • Right fit as you grow

The employer duties a Turkish PEO shoulders

Whichever model you use, the underlying Turkish rules are the same. Under a PEO arrangement, the administrative employer functions are handled for you.

Working time, leave & contracts

Compliant Turkish employment contracts and working-time rules (45-hour standard week, minimum 14 days’ annual leave rising to 26 with tenure). SGK contributions and income tax withheld and filed correctly. Statutory benefits, tenure-scaled notice, and severance applied properly.

Statutory protections & exits

Tenure-scaled notice (two to eight weeks), probation, and the protections Turkish employees carry under Labour Law No. 4857, since dismissal without a valid, written reason exposes the employer to a reinstatement claim, all handled under the shared arrangement. The value is the same as with EOR: the compliance is handled by people who do it daily. The difference is simply how much of the employer role you keep.

What a PEO arrangement covers

The co-employment administration covers all of this, under one transparent fee.

Compliant contract

A compliant Turkish employment contract under Labour Law No. 4857, issued and maintained for you.

Payroll & filings

Monthly payroll run, with income tax and SGK contributions calculated, withheld, and filed each month.

Statutory benefits

All statutory benefits administered: annual leave, sick pay, parental leave, notice and severance.

Compliance & support

Ongoing HR compliance and a single point of contact, for the life of the engagement.

Your questions answered

Straight answers on how PEO co-employment works in Turkiye.

With an EOR, the partner is the sole legal employer of your Turkish staff. With a PEO, you and the partner share the employer relationship, you keep more direct control, they handle the administration. EOR is the usual route when you have no entity; PEO fits specific structures alongside your own Turkish company.
For most companies with no Turkish entity, EOR is simpler and faster. PEO fits when you want to share rather than outsource the employer role, or have a structure that calls for it. We assess your situation and recommend honestly.
It depends on the structure. Some co-employment arrangements assume or work alongside your own Turkish entity. If you have no entity and want none, EOR is usually the cleaner route. We will confirm which applies to you.
The administrative employer functions, payroll, SGK contributions, income tax, and statutory filings, are handled by the partner. We make sure the arrangement is structured so responsibilities are clear and Turkish law is met.
The statutory employer cost (a base 23.75% SGK rate, reduced by a sector-dependent Treasury discount) plus a partner service fee for the co-employment administration. We benchmark across our network for pricing typically 15 to 25% below going direct.
Yes. These models sit on a spectrum and the right one changes as you grow. We advise on the path and manage transitions, EOR to PEO, or either to your own A.Ş. or Ltd. Şti., as your Turkish presence develops.

Not sure whether PEO or EOR is right for Turkiye?

Tell us your structure and headcount and we will give you an honest recommendation, usually within a day, plus pricing you will not get direct. No product push, just the right fit.

Tax and labour data verified July 2026 (SGK, GİB, Ministry of Labour and Social Security). Figures change, and Turkiye revises several of them more than once a year; we confirm the current position when we scope your hire.