SSK and Bağ-Kur Reform: The Process Affecting 5.1 Million Retirees Begins

Turkey's lowest retirees' monthly pension of 23,552 TL is set to increase, as the bill proposed by SSK and Bağ-Kur is being debated in the TBMM Plan and Budget Commission. The reform, which will affect 5.1 million people, aims to go into effect in July. This adjustment is expected to raise retirees' income levels by 15-20%. However, discussions continue regarding the cost analysis and labor market impacts of this increase. Due to the tightening of the public budget, additional tax hikes or public spending cuts are being considered to finance this reform. While retirees' expectations are high, the long-term impact of this reform on the labor market remains uncertain. The significance of this reform for Turkey's social security system will shape future public finance strategies. The question of whether SSK and Bağ-Kur's proposed minimum wage increase will align with Turkey's demographic structure is also a key point of debate. How Will Markets React? This reform could boost consumer spending by increasing retirees' purchasing power, but the additional financial burden on the public budget must also be considered.