Umbrella Company / PEO Services in Turkey
Did you know that umbrella company / PEO (Professional Employer Organization) services can provide you with a local contract that allows you to keep the advantages of your country of origin? Moreover, it gives your employer an easy solution for hiring an employee in Turkey. Let’s find out how it is possible with this least known expatriation agreement.
Many many people living in Europe are willing to relocate in Turkey but have absolutely no idea how to go about it. The most common question is: what are the different possibilities of expatriation to Turkey? Having worked in this field for five years, I can inform you that there are several options more or less known by the general public.
What are the possibilities for a professional expatriation in Turkey?
- Turkish employee status (basic local contract)
- Self-employed or entrepreneur status
- The expatriate contract (negotiated upstream in your country)
- The umbrella company / PEO service in Turkey, a « detached » status
These professional expatriation options each have their advantages and disadvantages. Today, I want to introduce you to the least known of all, this last expatriation option in Turkey that nobody is talking about. However, as you will see, it is considered beneficial for both the employer and the employee. I discovered this type of contract in Turkey thanks to my former employer ERAI Turkey which is offering the service. Here are the details of the umbrella company / PEO services in Turkey :
What is the umbrella company / PEO service in Turkey?
The umbrella company /PEO service is a new type of contract which is an ideal alternative to the traditional employment contract, especially when it comes to expatriation. To put it simply, you can offer this employment contract to an international employer who is not based in Turkey, in order to work for them, but in Turkey.
But how do you work in Turkey for a foreign employer who has no business structure in Turkey?
Precisely, thanks to the intervention of a third party, a Turkish company specializing in umbrella company / PEO service, which will be the intermediary between the two of you. You can, therefore, work legally in Turkey with a Turkish contract. This third player will be your local employer, who will have been contracted by the foreign company to hire you locally. However, the work you provide will be for a foreign employer. Besides, it is not a status that is reserved only for expatriates. You can already live in Turkey and still benefit from it. To see more clearly, I insert a visual that my former employer lent me and which explains this relationship in the trio:
If you already have a job, umbrella company / PEO service is interesting in two scenarios:
– Your employer is not or partially active in the Turkish market and wants to develop its activities in Turkey without creating a structure to test the activity. Therefore, he/she sends you to work on the spot, with an umbrella company contract in Turkey. He/she takes a little risk, and if the market turns out to be attractive, he/she can either maintain the contract over time or create a legal structure on the spot.
– Your company already has significant activity in Turkey controlled from abroad. It would be much more fruitful if someone were there, so you can go to an umbrella company / PEO service to Turkey to develop the activity on-site, but at a lower cost.
How to go to Turkey with the umbrella company / PEO service if you do not have an employer?
It’s very effortless, you are going to show your commercial talents by going to canvass international companies that you think have development potential in Turkey. The trick is to offer them to go there to develop their business, at a lower cost, with this opportunity of umbrella company / PEO service provided by companies like ERAI Turkey.
What types of trades are generally most likely to be hired for umbrella company / PEO services in Turkey?
In Istanbul, having worked for more than five years in the most renowned French-speaking company in umbrella company / PEO services in Turkey, I met dozens of people who had this status and the two trades that stood out the most were the engineers and salespeople or area managers. Clearly, jobs leading operations with the need for a presence on-site will be favoured.
Does the umbrella service / PEO company offer the same advantages as a foreign contract in Turkey?
What you need to know is that your umbrella company / PEO service contract in Turkey will be a Turkish contract and it will be between you and the umbrella company / PEO service providing company, not your employer. However, your contract is entirely negotiable! If you want five weeks of vacation or double paid overtime, this is to be negotiated with your foreign employer, who will give the contract instructions to the Turkish intermediary company. So, if you negotiate well, you can have exactly the same conditions as in your country, if not better!
Other professional services related to expatriation in Turkey:
Having fairly significant expertise in this area, I advise you to find out about the other services related to the umbrella company / PEO service, which are generally provided by the same companies.
Indeed, the umbrella company / PEO service providers usually offer a recruitment service to find the ideal person for positions in umbrella company contracts. You can send them your CV and enter their database.
- Obtaining a work and residence permit in Turkey
If you do not have Turkish nationality and you are going to work in Turkey, you will inevitably need a permit to be able to live and work in Turkey, and this type of company also offers this service.
If you are in an expatriation situation or if you only want information on umbrella company / PEO services, do not hesitate to ask your questions in the comments. We would be happy to answer them.
For more details: https://eraiturkey.com/peo-services/
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