Has retirement in Türkiye become a distant dream?

Retirement in Türkiye has long been envisioned as a peaceful transition into old age, but for many, economic hardships have turned this dream into an illusion. Although President Recep Tayyip Erdogan declared 2024 as the “Year of Retirees,” soaring inflation and inadequate pension hikes suggest that this designation remains largely symbolic.

As 2025 begins, the financial burdens on retirees persist, casting doubt on whether they will ever experience the stability they long for.

Türkiye’s official annual inflation rate, as announced by the Turkish Statistical Institute (TURKSTAT), stands at 44.38%. Based on this, civil servants and retired government employees received an 11.54% pay raise, increasing the minimum civil servant salary to ₺41,090 ($1,152).

Meanwhile, BAG-KUR (Insuranced Self-Employed Institution) and worker retirees settled for a 15.75% hike, with the lowest pension reaching ₺14,469 ($406). However, many retirees argue that these increases fail to counteract the surging cost of living, further exacerbating their economic distress.

Minimal change in lowest pension amid widespread discontent

Retirees whose base pension was below ₺12,500 ($350) had already been excluded from benefiting fully from the six-month inflation adjustment in December. Following Vice President Cevdet Yilmaz’s announcement of a planned revision, hopes were pinned on the Jan. 6 cabinet meeting. Minister of Labor and Social Security Vedat Isikhan later confirmed that the lowest pension had been raised by 15.75% to ₺14,469 ($406). This adjustment, based on six-month inflation data, will remain in effect until July, meaning pensioners must manage with this amount until the next revision.

The increase of ₺1,969 ($55) in minimum pensions has sparked widespread disappointment. Many retirees claim that the adjustment does not reflect the realities of Türkiye’s economic climate, where essential costs such as food, housing, and healthcare continue to rise.

Retirees voice their anger over pension increases

Public frustration over pension hikes has fueled demonstrations across the country. In Osmaniye’s Kadirli district, pensioners voiced their grievances over inadequate raises, while in Van, a retiree waiting in line for subsidized meat at the Meat and Dairy Institution Market remarked, “All we’re missing as retirees is a coffin and a grave.”

Another pensioner expressed anger, saying, “This raise is too little. It’s an insult to retirees. How can we survive on this? This pension is no better than begging for money. The president should provide additional increases as he has done before.”

The head of the Confederation of Public Servants Trade Union (Memur-Sen), Ali Yalcin, echoed these sentiments during a protest attended by union members. “Fixed-income earners are struggling under skyrocketing costs of rent, electricity, natural gas, food, and other necessities. The price of bread alone has gone up by 25% since the new year. Natural gas prices have risen by 60%, electricity and fuel by 40%, and supermarket inflation is at least 100%. Meanwhile, rents are expected to increase by 60% this year. We demand an additional welfare share for workers and retirees alike.”

Retirement in Türkiye no longer an option for many

The financial struggles faced by retirees have forced many to reconsider or postpone retirement in Türkiye altogether.

With inflation eroding purchasing power and pensions failing to keep up with rising costs, the dream of a secure retirement is becoming increasingly unattainable for millions in Türkiye. As inflation continues to soar, retirees face an uncertain future.