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Türkiye's unemployment drops to 25-year low of 7.7% in December

by Daily Sabah with Agencies

ISTANBUL Jan 29, 2026 - 10:33 am GMT+3
People shop in the Eminönü district, Istanbul, Türkiye, Dec. 30, 2025. (AA Photo)
People shop in the Eminönü district, Istanbul, Türkiye, Dec. 30, 2025. (AA Photo)
by Daily Sabah with Agencies Jan 29, 2026 10:33 am

Türkiye's unemployment rate declined to a low of 7.7% in December, remaining in a single-digit range for 32 consecutive months, according to the official data from the country's statistical authority on Thursday.

The rate was down 0.8 percentage points from November's 8.5%, according to data by the Turkish Statistical Institute (TurkStat).

It was realized at "the lowest level in the last 25 years," said Labor and Social Security Minister Vedat Işıkhan.

"The unemployment rate decreased by 0.8 percentage points compared to the previous month and stood at 7.7% in December 2025. This marks both the lowest level in 25 years and the continuation of single-digit unemployment for the 32nd consecutive month," the minister said in a statement on X.

The number of unemployed people aged 15 and over was down by 286,000 to 2.73 million in December, according to data.

The rate was estimated at 6.3% among men and 10.5% among women in the same period.

Commenting on the data, Vice President Cevdet Yılmaz said that the disinflation process continues "to ensure a strong outlook in the labor market."

"The disinflation process we are conducting with determination, alongside the structural steps we have taken to support production, employment, investment and exports, continues to ensure a strong outlook in our labor market," he said in a post on X.

"The decline in the risk premium, the improvement in the credit rating outlook, the completion of exit from the KKM and the historical levels of our reserves are enhancing the resilience of our economy and increasing its resistance to shocks," he also said.

Meanwhile, the number of employed people decreased by 42,000 in December, compared to the month before that, bringing the total number to 32.68 million. The overall employment rate was at 49.1%, including 66.8% for men and 31.7% for women.

The labor force also decreased by 328,000 to 35.42 million, with the participation rate at 53.2%.

Youth unemployment, covering those aged 15 to 24, fell 1.1 percentage points from November to 14.1% in December. It was 12% for men and 18.2% for women.

Economic confidence unchanged

Separate data released by the statistics office showed on Thursday that economic confidence in the country was at 99.4 points in January, unchanged from the previous month.

In January, three subindices posted increases, while two saw declines, TurkStat reported.

The construction confidence index gained 1.5% on a monthly basis, and the services confidence index rose 1.1% in January.

The consumer confidence index also gained 0.3% month-on-month in January.

On the other hand, the retail trade confidence index dropped 2.4% and the real sector confidence index lost 0.7%.

The economic confidence index, a key indicator of the overall economic situation, hovers between zero and 200. A reading above 100 indicates optimism about the overall economic outlook, while a value below 100 reflects a more pessimistic assessment.

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  • Last Update: Jan 29, 2026 1:49 pm
    KEYWORDS
    turkish economy unemployment labor force economic confidence
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