Turkey reshuffles social security leadership after backlash over pension remarks

Türkiye’s government has removed Social Security Institution (SGK) President Raci Kaya from his post following widespread public backlash over remarks seen as dismissive of pensioners’ hardships, as President Recep Tayyip Erdoğan’s administration moves to reassess pension policy amid declining political support among retirees.

President Recep Tayyip Erdoğan signed a series of dismissal and appointment decrees published in the Official Gazette, triggering a broad reshuffle across the Social Security Institution (SGK), the Banking Regulation and Supervision Agency (BDDK), and several ministries.

Under the decrees, Raci Kaya was removed as SGK president and appointed as a board member of the Banking Regulation and Supervision Agency (BDDK). The move came weeks after Kaya drew sharp criticism for comments linking low pensions to rising life expectancy and an increase in retiree numbers following Türkiye’s early retirement reform (EYT).

Controversial remarks spark protests

Kaya’s remarks — “In the past we used to die at 50, today average life expectancy has reached 78. After EYT, the number of retirees increased by 3 million” — were widely interpreted by pensioner groups as justifying low pensions and downplaying economic hardship.

Members of the All Pensioners’ Union staged protests outside the headquarters of the Turkish Statistical Institute (TÜİK) on 31 October 2025, calling for Kaya’s dismissal and accusing the government of ignoring retirees’ living conditions amid high inflation.

Union representatives said the comments reflected “a lack of empathy and responsibility” from an official tasked with safeguarding social security, arguing that retirees were being blamed for structural problems in Türkiye’s pension system.

Retirees protesting low pensions

Political pressure mounts as retiree support erodes

The controversy unfolded against a backdrop of declining political support among retirees. Recent opinion polls conducted in early 2026 indicate a steady erosion of backing for the ruling Justice and Development Party (AKP) and President Erdoğan among pensioners — a demographic estimated at around 17 million people nationwide.

According to official figures, roughly 5 million retirees receive pensions that are about 27% lower than the net minimum wage, despite a series of government top-up measures introduced since 2019. Critics argue these policies have compressed pension payments into a narrow “lowest pension” band, weakening the link between lifetime contributions and retirement income.

Economists note that successive increases in the minimum pension have unintentionally expanded the number of retirees clustered at the bottom of the income scale, fuelling perceptions of unfairness among those who paid higher premiums for longer periods.

New SGK president appointed

Following Kaya’s removal, Deputy Finance and Treasury Minister Yunus Elitaş was appointed as the new SGK president under the provisions of Presidential Decree No. 3. The appointment signals a closer alignment between pension policy and fiscal management, as Ankara grapples with balancing social spending pressures and budget discipline.

Government officials said the reshuffle was part of a broader administrative review, though no direct link was officially drawn between Kaya’s comments and his reassignment to the BDDK.

Wider reshuffle across labour and social security institutions

The decrees also removed several senior officials from the Ministry of Labour and Social Security and the SGK, including:

• Bekir Aktürk, Head of the Ministry’s Guidance and Inspection Board

• İbrahim Esenkar, Director General for Occupational Health and Safety

• İsmail Ertüzün, Deputy President of the SGK

Multiple new deputy director-general appointments were made across international labour, EU affairs, legal services, and inspection units within the ministry and the SGK.

Separately, President Erdoğan approved appointments to vacant SGK board positions and carried out a series of dismissals and appointments within the Ministry of National Education, affecting provincial education directors in several cities.

Pension system under renewed review

Government sources say the administration has placed additional measures to improve retirees’ living standards back on the policy agenda following Kaya’s dismissal, though details have not yet been announced.

The Ministry of Labour and Social Security has established a dedicated commission to review structural problems in the pension system, including disparities between low- and high-contribution retirees. The commission is expected to examine benefit calculation formulas, contribution periods, and the long-term sustainability of pension financing.

Analysts point to broader labour market weaknesses — including low wages, high informal employment, and elevated unemployment — as key drivers undermining social security revenues. Trade unions argue that retirees should not bear the cost of these structural challenges.

Growing criticism from pensioner groups

At the TÜİK protest, union officials accused the government of allocating insufficient resources to pensions, noting that the share of the national budget devoted to retirees remains well below global averages.

They also criticised the government’s medium-term economic programme, arguing that it failed to offer meaningful relief to pensioners despite persistent inflation eroding purchasing power.

“Retirees do not have side incomes. They are struggling to survive,” union representatives said, rejecting any narrative that rising life expectancy or demographic change justified low pension payments.

Outlook

With pensioners representing a large and politically sensitive voter base, the leadership change at the SGK underscores the growing pressure on the Erdoğan administration to recalibrate social policy ahead of future electoral cycles.

While the government has not formally acknowledged a link between public backlash and the reshuffle, the move appears to reflect mounting concern over the political and economic fallout of Türkiye’s pension crisis.

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