Employers are required to notify the Social Security Institution (SGK) of the relevant code that corresponds to an employee’s termination. The termination codes reported to SGK determine eligibility for compensation and unemployment benefits.
What is the 03 termination code and what does SGK list as the reason? The 03 code indicates that the employee left the job voluntarily. Employers must report the appropriate code to SGK within 10 days after the employment contract ends.
What Is the 03 Termination Code?
The 03 termination code signifies that the employee terminated the employment contract at their own request. In SGK’s code list, 03 is defined as “Termination of an indefinite-term employment contract by the employee (resignation).” When an employee resigns voluntarily, the employer reports the departure to SGK under that description.
If an employee did not leave voluntarily but SGK shows code 03, the incorrect code must be corrected. Corrections are made by applying to the relevant SGK office.
To learn the correct termination code when the employee did not resign voluntarily, the only official point of contact is the relevant SGK unit. Many government transactions are available through the e-Government (e-Devlet) system, but termination codes are not displayed there.
What Does SGK Code 03 Mean?
Among SGK’s list of termination codes, 03 indicates the employee ended the employment contract by their own choice. SGK records this as “Termination of an indefinite-term employment contract by the employee (resignation).”
How Can SGK Code 03 Be Changed?
Changes to SGK termination codes must be reported within 10 days of the employment contract ending. During this 10-day window the employer can change the exit code freely. After the 10 days have passed, the employer cannot change the code without additional steps.
In exceptional cases, a change after the 10-day period can be approved by following these steps:
- The employer must submit a petition to SGK with supporting documents.
- To change a previously reported 03 code to 04 after the 10-day deadline, the employer should attach proof such as payroll showing severance payment and bank receipts; SGK will review the request.
- If no supporting documents are provided, the change will not be accepted after the 10-day period.
The most straightforward way to change a 03 code is within the initial 10 days. If that period has passed, the employer must file a petition with SGK and present the relevant documents.
Can Severance Pay Be Collected with SGK Code 03?
Termination codes are used to determine eligibility for unemployment benefits and severance pay. Whether a person can claim these rights depends on the code the employer reports to SGK. An employee whose contract ended with code 03 is not eligible for severance pay.
Under the law governing severance pay, employees who leave voluntarily are not entitled to severance. Severance is paid to those whose employment ends for reasons beyond their voluntary resignation.
It is crucial that employers report the correct termination codes. If an employer incorrectly reports code 03, the employee may lose severance rights. In such cases the terminated employee should first issue a formal warning to the employer via a notary.
If the employer does not correct the record during the notice period, the employee may need to take the matter to court. Once the process is complete and the correct code is recorded, severance matters can be resolved under the correct SGK termination reason.
What Are the SGK Termination Codes?
When an employment contract ends, termination procedures use SGK codes. Knowing these codes is important for completing related procedures. SGK termination codes include the following:
- 01 – Employer terminates during probation: Termination during or at the end of the probation period by the employer.
- 02 – Employee terminates during probation: Termination during or at the end of the probation period by the employee.
- 03 – Termination of indefinite-term contract by the employee: Employee resigns without providing a specific reason.
- 04 – Employer terminates indefinite-term contract without alleging just cause: Employer ends the contract without stating a justified reason.
- 05 – Fixed-term contract expires: Contract ends when the agreed term concludes.
- 08 – Retirement (age) or lump-sum payment: Employee reaches retirement entitlement.
- 09 – Disability retirement: Employee becomes eligible for disability retirement.
- 10 – Death (non-occupational): Employee dies for reasons other than a work accident.
- 11 – Death due to work accident: Employee dies as a result of a work accident.
- 12 – Military service: Employee ends the contract due to military service.
- 13 – Female employee’s marriage: Female employee terminates employment due to marriage within a one-year period.
- 14 – Other conditions met for retirement apart from age: Employee leaves to wait for the age requirement after meeting other retirement conditions.
- 15 – Collective redundancies: Used when an employer proceeds under Article 29 of Labor Law No. 4857.
- 16 – Transfer to another workplace of the same employer before contract end: Transfer of the employee to another workplace of the same employer.
- 17 – Closure of the workplace: Employer ceases operations at the workplace.
- 18 – End of the job: Employment ends on a predetermined date.
- 19 – End of season: Seasonal employment ends with the season.
- 20 – End of campaign production: Employer suspends operations after a campaign period ends.
- 21 – Change of status: Employee becomes a partner of the workplace and their status changes.
- 22 – Other reasons: Reasons not listed among the defined codes.
- 23 – Employee terminates for compulsory reasons: Contract terminated by the employee if work stops for more than one week.
- 24 – Employee terminates due to health reasons: Employee ends the contract because of health issues.
- 25 – Employee terminates due to employer’s conduct against morality and good faith: Employee ends the contract because the employer acted against standards of morality and good faith.
- 26 – Disciplinary board decision: Termination based on a disciplinary board decision where such a board exists.
- 27 – Employer terminates due to mandatory reasons or detention: Termination when the employee is prevented from working for more than one week due to mandatory reasons or detention.
- 28 – Employer terminates for health reasons: Employer ends the contract due to the employee’s health problems.
- 29 – Employer terminates for employee’s misconduct against morality and good faith: Termination because the employee acted against morality and good faith rules.
- 30 – Visa expiration: Termination when continued employment depends on a visa that expires.
- 31 – Termination without the employee’s fault under specific laws: Termination without the employee’s fault under relevant laws such as the Code of Obligations or trade union/strike matters.
- 32 – Privatization under Law No. 4046: Termination due to privatization.
- 33 – Termination by a journalist: Termination by a journalist under the applicable law.
- 34 – Transfer of workplace or change in job or workplace nature: Termination due to transfer or change in the nature of the job or workplace.
- 36 – State of emergency / statutory decree: Terminations related to workplaces closed under states of emergency or decrees.
How Is an SGK Termination Notification Submitted?
Notification of a salaried employee’s termination is as follows:
- In cases of death or retirement, the notification is made as of the first day of the month.
- In situations such as suspension of pay, resignation, or dismissal, the termination notification must be submitted to SGK within ten days following the employee’s termination date by the institution that issued the initial employment registration.
How to Fill Out the SGK Termination Form
To complete the termination form for a salaried employee:
- Log into the SGK website with your SGK password and go to the employment registration/termination page.
- Click the salaried employee termination declaration screen.
- Enter the ID number and termination date, then click the Find button.
- Fill in fields such as occupation code, document type, number of days, pensionable earnings, number of missing days, reasons for missing days, termination code, and destination workplace if transferred.
- After completing these steps, click Next and save the submission.
How Can I Find My SGK Termination Code?
Knowing the termination code is important for claiming rights and completing procedures after employment ends. The code is provided by the employer and recorded in the system. You can view termination codes via the e-Government (e-Devlet) service statement pages for 4A, 4B, and 4C coverage.
When Is the SGK Termination Notification Submitted?
The termination notification must be submitted to SGK within ten days from the employment end date. If the exit code was entered incorrectly, the notification can be canceled and reissued within that 10-day period.
How Is an Incorrect SGK Termination Code Corrected?
If an employer reports an incorrect termination code to SGK, the employee should request correction. Termination declarations can be corrected within 10 days from the termination date.
If the 10-day period has not passed,
- The employer can cancel the declaration and submit a new one via the e-declaration system.
If the 10-day period has passed,
- The employer cannot make the correction directly.
- The employer must apply to the SGK center or provincial directorates to which the workplace is affiliated.
- SGK Circular 2013/11 states that employers may request changes to termination reasons if they submit the required documents; such requests will be considered.
This article explained what the 03 termination code is and how related SGK procedures are completed.