In the old days, the military staged coups in Turkey. That seems to have changed.

In recent months, we have witnessed a surprising series of civilian takeovers of institutions that were the traditional domains of the Turkish Armed Forces (TSK). These new developments include the increasing input of the civilian bureaucracy in weapons procurement, supplies and services for the TSK, and moves to break up the monopoly of defense companies managed by retired generals. The management changes in OYAK (Armed Forces Assistance Corporation) have been the latest "extraordinary civilian takeover."

OYAK is a gargantuan credit union and aid fund that all officers and noncommissioned officers (NCOs) of the TSK are required to join. About 10% of monthly salaries of all officers and NCOs are automatically deducted as their OYAK contribution. Although junior officers are generally unhappy with this compulsory reduction in their disposable incomes, they realize how beneficial it can be as their retirement age approaches. These officers and NCOs are entitled to a substantial retirement bonus from OYAK in addition to their regular retirement benefits from the state retirement fund. For example, a four-star general with 40 years of service gets about $250,000 retirement bonus from OYAK, while a colonel with 30 years gets $110,000 and an NCO about $90,000.

The true shareholders of OYAK, then, are the officers and NCOs. This naturally makes the military high command influential in shaping OYAK's management. For example, the chief of general staff appoints three members of OYAK’s seven-person executive board. Other members are assigned from the state bureaucracy with the knowledge and approval of the chief of general staff.