January 2027 Salary Increase Calculations Begin for Millions of Civil Servants and Retirees

Inflation data is being monitored for the January 2027 raise for approximately 6.5 million civil servants and civil servant retirees. With the inflation rates in July and August, potential raise scenarios are taking shape.

January 2027 Raise Process and Expectations

All eyes are turned to the inflation data to be announced for the January raise of approximately 6.5 million civil servants and civil servant retirees. While the January raise was determined as 5 percent pursuant to the decision of the Public Servants Arbitration Board, this rate will increase with the inflation difference.

July and August Inflation Rates

July inflation materialized at 1.78 percent, and August inflation at 1.84 percent. In line with this announced data, the total inflation for the July-August period was calculated as 3.66 percent.

Year-End Inflation Forecasts

While the Central Bank updated its year-end 2026 CPI forecast to 28 percent, the rate in the Market Participants Survey became 29.43 percent. It stood at 29.49 percent in the AA Finance expectation survey and 30.47 percent in the Financial Institutions Association research.

Expected Raise Rates and Tables

According to different inflation scenarios, the raise rates for civil servants and civil servant retirees are expected to range between 6.67 percent and 8.73 percent. Finalized salaries will become clear following the inflation data to be realized in the coming months.