ISTANBUL — Employment in Türkiye’s textile and apparel sectors rose sharply in June, surpassing 858,000 workers, although the industries have yet to recover more than 100,000 jobs lost over the past year and a half.

According to Social Security Institution (SGK) data, the number of employees in the textile sector increased by 7,480 in June to 351,105, up 2.2% from May. The number of companies operating in the sector also rose by 42 to 18,492.

In the apparel sector, employment increased by 13,671 to 507,669, representing a monthly rise of 2.8%. The number of companies increased by 187 to 35,061.

Employment Rises by More Than 21,000

Combined employment in the two sectors climbed from 837,623 in May to 858,774 in June, marking a net monthly increase of 21,151 jobs.

The number of companies also increased by 229 to 53,553. The June increase fully offset the employment losses recorded during the first half of 2026. Employment was also 12,870 above the 845,904 recorded at the end of 2025.

However, the number of companies remains below year-end 2025 levels. There were 54,114 companies at the end of 2025, meaning the sector lost a net 561 companies during the first six months of this year.

Employment Support Measures Drive Recovery

Industry representatives attributed much of the June employment increase to government support measures rather than a significant recovery in orders or business volumes.

Under the Employment Protection Support Program, companies in the textile, apparel, leather and furniture sectors that maintain employment receive TL 3,500 per employee for every 30 premium days. The program’s 250-employee eligibility limit was also removed, while a new TL 250 billion credit package was introduced on the condition that companies maintain employment.

Şeref Fayat, chairman of the Turkish Apparel and Clothing Industry Council at the Union of Chambers and Commodity Exchanges of Türkiye (TOBB), said the employment support and the requirement to preserve jobs under the new credit package had played an important role in companies’ hiring decisions.

Fayat also cautioned that the rise in employment did not necessarily indicate an equivalent increase in orders or production. He said there was currently no clear evidence of a corresponding increase in business volume and that the June figures were better explained by companies seeking to qualify for support programs.

Export and Production Outlook More Balanced

Toygar Narbay, chairman of the Turkish Clothing Manufacturers Association (TGSD), also attributed the employment increase partly to the TL 3,500 support per employee.

Narbay said the export and production outlook had become more balanced compared with the previous period. He noted that the decline in apparel exports had remained around 1.5%-2%, while textile exports had increased in volume terms.

Narbay said the first-half figures supported the industry’s expectation that production would stabilize in 2026. However, he remained more cautious about the second half, pointing to the expected decline in the PMI below the 50 threshold as a sign of weakening expectations.

He maintained his forecast that Türkiye’s apparel exports would reach $16 billion-$16.5 billion by the end of the year, while ruling out a sharp decline in apparel exports.

More Than 100,000 Jobs Still Lost

Despite June’s strong rebound, the sector remains well below its employment level at the end of 2024.

In December 2024, a total of 959,395 people were employed across the textile and apparel sectors. By June 2026, the figure had fallen to 858,774, leaving a net employment loss of 100,621 jobs over roughly 18 months.

The number of companies also fell from 59,101 in December 2024 to 53,553 in June 2026, meaning 5,548 companies exited the two sectors during the period.

The apparel sector accounted for the larger share of the decline, losing 4,579 companies and 67,015 jobs, while the textile sector lost 969 companies and 33,606 jobs.

The figures show that, despite the strong employment increase in June, Türkiye’s textile and apparel industries remain significantly smaller than they were at the end of 2024.

Source: Patronlar Dünyası/ Prepared by: İlayda Gök