Paid workforce reaches a peak not seen since November in May, according to official figures
According to the latest data released by the Turkish Statistical Institute (TÜİK) in their July 15 monthly bulletin, Turkey's key economic sectors are exhibiting a mix of growth and decline in employment and production.
In the industrial sector, a decline in industry jobs has been noted, despite the overall wage-earning workforce topping 15.8 million in May 2025. This suggests that while employment numbers are growing in general, industrial employment is under downward pressure.
On the other hand, the construction sector shows signs of ongoing activity, with the Construction Production Index rising by 4.8 percent on a monthly basis in May 2025. However, the employment trends within this sector are less clear.
The trade and service sub-sectors, on the other hand, are experiencing overall growth in the wage-earning workforce, implying expansion or stabilization in these sectors. This aligns with a broader trend of increasing employment outside of industry.
More contextual economic data from TÜİK shows an unemployment rate of 8.4% as of May 2025, indicating some labor market challenges but not extreme distress. The GDP growth rate for the first quarter of 2025 was 2%, implying moderate economic activity that impacts employment trends across sectors.
In terms of specific growth rates, Information and communication services rose by 8.1 percent, Professional, scientific and technical services increased by 3.8 percent, and Administrative and support services rose by 7.9 percent. Real estate activities, Accommodation and food services, and Building construction also saw growth, with respective increases of 8 percent, 6.3 percent, and 5.6 percent.
The service sector, as a whole, recorded a 3.9 percent increase in production annually, with all sub-sectors showing annual growth. The service index increased by 1.2 percent monthly, and the service production index surged 20.3 percent compared to the previous year.
The trade and services sector saw a 2.9 percent rise year-on-year, while Transportation and storage services rose by a modest 0.2 percent. The construction production index, however, surged 20.3 percent compared to the previous year, indicating a significant increase in construction activity.
In conclusion, the employment trend indicates growth in the wage-earning workforce overall, particularly in trade and service sectors, while industrial employment has declined recently. Construction sector data on employment is less clear but production indices are tracked. This combination suggests a shifting labor market in Turkey, with a gradual move away from industrial jobs toward service-oriented employment, reflecting wider structural changes seen in many modern economies.
- In light of the ongoing economic data analysis, it appears that within the realm of finance and business, the service sector demonstrates a significant increase in production and employment, indicating a shifting trend in Turkey's labor market toward service-oriented employment.
- Contrasting with the service sector, the industrial sector exhibits a decline in employment numbers, suggesting pressure on industrial jobs, while the construction sector shows a surge in production indices, albeit with less clarity on employment trends within this sector.
