Protecting Those Who Speak-Up: Whistleblowing and Retaliation under Turkish Law

In the current global environment of heightened regulatory oversight, corporate compliance and internal risk-management frameworks are under increasing scrutiny. Global data consistently confirm that internal reporting mechanisms – the so-called “speak-up” or whistleblowing channels – are among the most effective tools for detecting corporate misconduct.

Against this backdrop, numerous jurisdictions are introducing dedicated whistle-blower-protection laws. Türkiye, however, has not yet adopted a standalone whistleblower-protection regime, and as a result, there is no explicit statutory protection for whistleblowers or against retaliation against them, under Turkish legislation.

Nevertheless, in the absence of a dedicated legislation, whistleblowing protection is available across various laws, including the right to petition under Article 74 of the Turkish Constitution, and general safeguards against unfair or discriminatory dismissal under the Turkish Labour Code (“TLC”). Additional indirect safeguards arise under data-protection and competition laws, as well as sector-specific legislation.

From an employment-law perspective, the most practical protection arises from the unfair dismissal regime under the TLC, which requires a valid or just cause for termination. Where a termination follows soon after an employee has raised a compliance concern or reported an alleged misconduct, courts may view the dismissal of the whistleblower as retaliatory or lacking valid or just grounds, especially if the employer has failed to conduct a formal internal investigation or provide a documented justification for dismissal. If the dismissal is held to be unjustified or retaliatory, courts may order the employee’s reinstatement and require the employer to pay up to four months’ salary plus compensation equal to four to eight months’ salary, to be paid in case the employer chooses not to re-employ.

The TLC also prohibits discrimination based on an employee’s exercise of statutory rights. A breach of this provision may result in compensation of up to four months’ salary in addition to reinstatement, if cliamed by the employee.

Executives outside the protection of the TLC may also claim compensation for termination in bad faith or without just cause. In the former, the court may order payment of bad-faith compensation amounting to up to three times the statutory notice period, whereas, in cases of termination without just cause, one may be awarded compensation of up to six months’ salary.

In addition to termination, other adverse employment measures taken against a whistleblower, such as demotion, reassignment, or even being placed on garden leave without consent, may also be construed as retaliatory. If proven, such actions could entitle the employee to claim constructive dismissal or damages for breach of contract, as well as moral compensation.

Best practice under Turkish law, therefore involves:

• conducting a documented internal investigation before taking disciplinary actions.
• ensuring clear and written justification for any termination, to mitigate claims of retaliation.
• considering mutual settlements where dismissal risk is high; and
• embedding anti-retaliation and whistleblowing procedures into workplace policies, aligned with international standards.

Even in the absence of a dedicated whistleblower law, employers in Türkiye must treat internal reports with care. The unfair dismissal and, non-discrimination provisions of the TLC can all be invoked by employees who claim retaliation. Dismissal or unilateral action without proper investigation and documentation may result in reinstatement orders or compensation awards. Embedding robust “speak-up” procedures and anti-retaliation clauses is therefore not only good governance but a legal risk-mitigation tool.

First published in the Edition 9, No. 2 of LIR Türkiye.