Mandatory Mediation in Labour Disputes: What Does It Mean?

Türeli & Ceylan Law Firm – Labour Law and Mediation Services

In recent years, mediation has become an integral part of Turkey’s judicial system, particularly in resolving employment-related disputes.
In cases such as reinstatement claims, severance or notice pay, and overtime compensation, mandatory mediation is a prerequisite before filing a lawsuit.

But how exactly does the mediation process work before labour courts?
Which disputes fall under the mandatory mediation requirement?
What happens if no agreement is reached?

This article answers these questions in light of relevant legal provisions, while underlining the importance of seeking professional mediation support.

What is Mandatory Mediation?

Article 3/1 of the Labour Courts Law No. 7036:

“In claims based on individual or collective employment contracts relating to employee or employer receivables, compensation, or reinstatement, applying to a mediator is a condition of admissibility for filing a lawsuit.”

In other words, for disputes concerning termination compensation or reinstatement, direct access to court is not permitted unless mediation has first been attempted.

Which Disputes Require Mandatory Mediation?

Mandatory in the following cases:

• Severance and notice pay
• Overtime compensation
• National/public holiday and weekend pay
• Unused annual leave compensation
• Reinstatement claims
• Union-related compensation claims

Excluded:
Disputes arising from work accidents or occupational diseases are not subject to mandatory mediation.

How Does the Mediation Process Work?

1. Application:
   The employee or employer applies to the mediation office located in the courthouse.
2. Appointment of Mediator:
   A mediator is assigned within 3 days of the application.
3. Meeting and Negotiations:
   The mediator invites the parties to a meeting. The process must be concluded within 3 weeks, with a possible 1-week extension in exceptional cases.
4. Settlement or Non-Settlement Report:
   • If an agreement is reached, a settlement protocol is signed.
   • If not, the mediator issues a non-settlement report, allowing the parties to proceed with litigation.

Article 18 of the Mediation Law No. 6325:

“Where no agreement is reached, the mediation report substitutes the condition of admissibility for filing a lawsuit.”

Advantages of Mediation

• Avoids time-consuming and costly litigation
• Maintains confidentiality and protects reputation
• Parties retain control over the outcome
• Encourages amicable and creative solutions
• If a settlement is reached, the agreement has enforceable effect equivalent to a court judgment

Why Legal Counsel During Mediation Is Crucial

Many employees and employers prefer to consult an attorney during mediation to avoid waiving or compromising important rights.

Legal counsel ensures:

• Accurate calculation of receivables and entitlements
• Legally sound settlement wording
• Prevention of future disputes or forfeiture of rights
• Strategic risk assessment and defense for employers

Start Strong with Mediation

Mandatory mediation presents a valuable opportunity to resolve labour disputes amicably and efficiently. However, making the most of this process requires proper legal guidance.

At Türeli & Ceylan, we offer comprehensive legal support to ensure your rights are protected, and your dispute is resolved with clarity and confidence.