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Supreme Court ruling on statute of limitations for annual leave! Those who do this will not be able to receive their payment

The Supreme Court has made a significant change by reducing the statute of limitations for unused annual leave pay from 10 years to 5 years. This decision will apply to employment contracts covering the years 2012-2017 and will reshape employer obligations.

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Supreme Court ruling on statute of limitations for annual leave! Those who do this will not be able to receive their payment

The Supreme Court has taken an important decision regarding annual leave pay, reducing the statute of limitations to 5 years. This change will apply to employment contracts that ended between 2012 and 2017. A new precedent was established on this matter following the merger of the chambers handling labor cases in 2020.

According to information reported by Ahmet Kıvanç from Habertürk, the statute of limitations for annual leave pay was set at 5 years before July 1, 2012. However, with the entry into force of the Turkish Code of Obligations, this period was increased to 10 years. With the Labor Courts Law, which came into effect on October 25, 2017, the statute of limitations for employee receivables was re-determined as 5 years.

According to the Labor Law, an employee becomes entitled to payment for unused annual leave upon the termination of the employment contract. The leave pay is calculated based on the employee's gross salary on the date of departure, and the statute of limitations begins from that date. The manner in which the employee leaves the job is not a factor in this regard; whether they were dismissed by the employer or left voluntarily, the unused annual leave pay must be paid.

This decision by the Supreme Court shortens the period for employees to seek their rights while also requiring employers to re-evaluate their obligations. It is important for employees to carefully monitor the statute of limitations to avoid losing their rights.


News Source: 12punto

Annual leave