The Court of Cassation Decision: Regulation on Compensation Concerning Millions of Employees

The 9th Chamber of the Court of Cassation ruled that the premiums paid based on sales targets should be taken into account when calculating the compensated salary for severance pay.The decision stated that the fact that the employee does not receive the same amount of premium every month is not sufficient to exclude this payment from the compensated salary.In the case in question, the employee terminated his contract, citing that his weekly working hours exceeded the legal limits and that he had done additional work due to counting, training, and meetings.The employee applied to the Labor Court for the payment of severance pay and overtime wages.The Court of Cassation decision stated that premiums calculated based on sales figures or other data should be considered as part of the broadened salary in the calculation of severance pay, even if their amount varies.The 9th Chamber of the Court of Cassation ruled that the existing payroll records should be taken into account when calculating the compensated salary and that the average of the premiums received by the employee over the last year should be added to their salary.The Court of Cassation decision foresaw the inclusion of sales premiums in the calculation of severance pay.