The Law on Labor Courts numbered 7036 (“Law”), has been published in Official Gazette on 25.10.2017 and has entered into force as of the publication date. The Law involves new regulations such as application periods for legal actions, lapse of time and obligatory mediation procedure.  

The most significant alteration foreseen by the Law is the statutory mediation procedure to be followed at labor cases originated from employee receivables, compensation or reemployment demand which basis on individual or collective employment contracts. Since the finalization of the labor cases takes rather long time and besides, there is noticeably increase in number of workplaces and labor cases, the statutory mediation procedure at labor cases became more essential.  

Pursuant to Article 3 of Law, the statutory mediation procedure must be followed before initiation of law suits with demands of reemployment and compensation. In case of initiation of a law suit without fulfillment of mediation procedure, the related law suit shall be rejected at the beginning without any further judicial transaction to be conducted under the mentioned file.   

In case of termination of employment contracts, it is obligatory to apply mediator within one-month period starting from the delivery date of notification of termination. The mediator should render a decision within three weeks’ period starting from his/her appointment as mediator. This period can be extended maximum for a one-week period. In the end of the mediation period, if the employee and the employer cannot agree on reemployment, law suit can be filed before Labor Courts within two weeks’ period starting from the date of issuance of the last official minutes of meditation procedure. The mentioned minutes of the mediation procedure must be enclosed to the petition of the law suit.  

Application of mediation shall be submitted to a mediation office located at the address of the respondent. In case there isn’t any mediation office established at the address of the respondent, such application shall be submitted to the Civil Court of First Instance.  

The disputes originated from damages, declaratory cases and cases of revocation or claims arising from work accident and occupational disease are not subject to mediation procedure. It is at claimant’s discretion to apply to mediator in case of such disputes.  

Any dispute settled by a mediation process can be subject to a new law suit before labor court in case there is fault, fraud or threat that effected the intent of the parties during the mediation process. Otherwise, it is not possible to take a further action for a dispute settled under mediation process.  

The provisions of Law numbered 7036 regarding mediation is not applicable for the pending cases before Supreme Court, Court of First Instance and Regional Court of Justice as of 01.01.2018.