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10Mart2025

Annulment Decision from the Constitutional Court for Article 27(1) of the Law on Private International and Procedural Law

Annulment Decision from the Constitutional Court for Article 27(1) of the Law on Private International and Procedural Law

The decision of the Constitutional Court dated November 5, 2024 with file no 2023/158 and decision no 2024/187 ("Decision") was published in the Official Gazette numbered 32837 on March 10, 2025.

Article 27(1) of the Law on Private International Law and Procedural Law ("PIL") states "Employment contracts shall be subject to the law chosen by the parties, provided that the employee retains the minimum protection afforded by the mandatory provisions of the law of the habitual workplace.".

The Constitutional Court ruled that this provision, which allows the choice of law in employment contracts, could lead to the elimination of rights that employees would otherwise be entitled to. The Court found that this provision fails to establish a fair balance in employer-employee relations and is contrary to the state's duty to protect employees. Consequently, it annulled Article 27(1) of PIL.

The remaining provisions of Article 27 of PIL state "If the parties have not chosen a governing law, the employment contract shall be governed by the law of the country where the employee habitually carries out their work. Temporary work in another country does not change this habitual workplace. If the employee does not habitually work in a specific country but instead works continuously in multiple countries, the contract shall be subject to the law of the country where the employer's main workplace is located. However, if a law more closely related to the employment contract is identified based on all circumstances, that law shall apply instead of the second and third paragraphs." and these provisions remain in effect.

In order to eliminate the legal gap, this cancellation provision will enter into force 6 months after the publication of the decision.

You can access the relevant law here. (In Turkish)

Yazar Taylan Ege Günel, Kategori Labor Law

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