Mandatory Mediation in Employment Claims
Mediation entered the Turkish legal system on 16 November 2013 through Law No. 6325 on Mediation in Civil Disputes. Since 1 January 2018, applying for mediation has been a mandatory precondition for bringing many employment-related claims.
What Is Mediation?
Mediation is a voluntary dispute-resolution process conducted with the participation of a trained, impartial, and independent third party. The mediator uses structured techniques to bring the parties together, establish communication, help them understand one another, and enable them to develop their own solution. Where the parties cannot develop a solution, the mediator may also make a settlement proposal.
How Is an Application Made?
An application for mandatory mediation is made through the Mediation Bureau located at the courthouse. The competent bureau and required application documents depend on the nature and place of the dispute.
How Is the Mediator’s Fee Paid?
Unless the parties agree otherwise, they share the mediator’s fee equally. The statutory tariff and special rules governing mandatory mediation may also apply.
Which Employment Claims Require Mandatory Mediation?
As a general rule, employment claims other than those arising from occupational accidents and occupational diseases require an application for mandatory mediation before court proceedings are commenced. These include reinstatement claims, severance pay, notice pay, wages, and similar employee receivables. An action filed without completing mandatory mediation may be dismissed for failure to satisfy a procedural prerequisite.
Do Limitation and Forfeiture Periods Continue to Run?
The time between the commencement and conclusion of mediation is not taken into account when calculating limitation and forfeiture periods. Special attention is required in reinstatement cases: where mediation does not result in an agreement, the action must generally be filed within two weeks after the final mediation record is signed. Other employment receivables remain subject to their applicable limitation periods.
How Long Can Mediation Last, and Must the Parties Settle?
The statutory period for resolving the dispute is three weeks and may be extended by the mediator for no more than one additional week where necessary. The parties are not required to settle. If either party does not wish to reach an agreement, the mediator cannot compel a settlement and records that no agreement was reached.
What Is the Effect of a Settlement?
The terms and amounts recorded in a mediation settlement bind the parties. Subject to the requirements of the applicable law, the settlement record may prevent the same dispute from being litigated again. Once an enforceability annotation is obtained from the competent labour court where required, the settlement may be enforced as a court judgment.
Why Is Legal Representation Important?
The parties may be represented by lawyers during mediation. This can be particularly important when calculating employment receivables because the mediator does not calculate the parties’ claims; each party states the amount it seeks. Legal advice can help identify the correct claims and amounts, assess settlement terms, and reduce the risk of a loss of rights. Please contact us using the details on our contact page for information about our legal services in employment mediation.