The extent of informal employment in Turkey and examining the prevention policies of informal employment

Informal employment is an important problem arising from the informal economic sector. This arises when employees are undeclared and are not regulated under the rules which governs the working life. Informal employment is not only the developing countries main economic problem. It is also one of the main economic problems of developed countries. Although it reduces the unemployment, poverty and provides income for certain segments of the society for a short period of time, it creates a reduction in public revenue, unfair competition and disruption of recourse distribution which may be a threat to a country's socioeconomic stability. Due to the financial losses it causes and its negative economic and social effects, most contries try to reduce the rate of informal employment in the economy. In this context it is advised to remove politics that cause people to turn to informal employment rather than the informal employment itself. Therefore, instead of giving importance to one policy, a mixed policy approach should be implemented in a planned, systematic and decisive manner. While taxes and social security premiums are reduced and the bureaucratic process related to employment is shortened, on the other hand, the rules governing the informal employment should be increased by the governing bodies. Keywords: Employment, Informal Economy, Informal Employment