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Brace for AI impact: From hype to risk – is your company ready?
In 2022, we were writing about the promising but at the time still hypothetical impact of generative AI on HR—from recruitment and performance reviews to promotion decisions—as well as the potential implication of the then-proposed EU AI Regulation (AI Act). Today, generative AI is no longer a future ambition. Multinational companies are rapidly deploying AI tools into daily business operations: from content creation and data analytics to automated decision-making. What was once a speculative legal concern has become a tangible compliance challenge, with the AI Act published in 2024 and its full application expected by August 2026. As we move towards 2026, the real question is not whether to use AI, but whether
Guidance notes on the new General Register of Employee Records in Romania
Starting 1 October 2025, the use of the REGES-Online platform will become mandatory for all employers in Romania. This obligation is provided for in Government Decision No. 295/2025, which establishes a transition period until 30 September 2025, during which employers can choose to use either REGES-Online or the old Revisal system. The new digital portal will ensure the electronic management of individual employment contracts by employers and authorised service providers through a digital platform managed by the Labour Inspectorate. As the transition process involves creating accounts, accessing registers, and filling in the necessary data, we recommend that employers implement the new system as soon as possible.
Bulgaria introduces residence permit for digital nomads
On 1 July 2025, significant amendments to the Foreigners in the Republic of Bulgaria Act entered into force. Among the key amendments is the introduction of a new legal basis for granting prolonged residence permits to so-called digital nomads. They will now reside in and work out of Bulgaria without the need of a work permit, provided that the digital nomads do not work for Bulgarian businesses. A digital nomad is defined as a foreign national who works remotely and meets at least one of the following criteria: Is employed under an employment contract with an employer established outside the EU, EEA or the Swiss Confederation; Is a legal representative, member of the management body, owner, partner
Kinstellar advises Norway’s leading defence supplier Kongsberg Defence & Aerospace on the launch of its presence in Ukraine
Kinstellar is honoured to have supported Kongsberg Defence & Aerospace (Kongsberg), Norway’s premier supplier of defence and aerospace-related systems, with opening a permanent office in Kyiv. Kongsberg is going to develop and deliver low-cost, high-volume air defence missiles and unmanned surface vessels in Ukraine. The Kinstellar team in Ukraine was led by Partners Anastasiya Bolkhovitinova, Head of the local Defence & Security sector, and Daniel Bilak. We advised on regulatory matters, cooperation with Ukrainian state authorities and local partners, and a wide variety of corporate and employment matters. The Norwegian law firm Advokatfirmaet Thommessen advised on Norwegian law and coordinated the international
Kinstellar advises Special Flanges on the acquisition of Romanian industrial manufacturer Vilmar
Kinstellar is pleased to announce that it has advised Special Flanges, a leading Italian manufacturer of high-performance forged components, on the acquisition of 100% of the shares in Vilmar, a Romanian industrial company with over 50 years of experience in the production of engineered equipment for critical applications. The transaction marks Special Flanges’ first direct investment in Romania and represents a key milestone in the group’s strategic expansion across Central and Eastern Europe. The acquisition was carried out by the Wise Equity V fund managed by Wise Equity SGR – through its subsidiary Special Flanges – and involved the transfer of Vilmar from the French group Genoyer. The integration will create
Abuse of sick leave in Serbia: Legal perspectives on employees performing paid work during sick leave
According to the established case law of the Serbian Supreme Court, sick leave abuse occurs when sick leave is used at a time when an employee is not actually ill and is capable of working, as well as when an employee, during the period of incapacity, behaves in a manner contrary to the prescribed treatment or purpose for which sick leave was approved. Therefore, in the court’s view, for an abuse of sick leave to occur, the employee’s conduct depending on the nature of their illness must prevent their recovery or worsen their health condition. Consequently, in relation to court proceedings and the position taken by the court, the fact that an employee is engaged in other income-generating activities during their sick
Cyberbullying: How can employers in Romania address inappropriate behaviour in hybrid or remote work environments?
In a world where the boundaries between the physical and virtual office are increasingly blurred, employers are facing a new and complex challenge: cyberbullying. From passive-aggressive messages in a team chat to an inappropriate joke on an internal platform, subtle forms of harassment can have serious consequences for employees’ emotional well-being and the overall organisational climate. So how can employers manage and prevent such situations in order to protect both their employees and the company’s reputation? A new type of challenge: What Is cyberbullying? Cyberbullying refers to any form of aggressive, intimidating, or abusive behaviour carried out through digital technologies such as emails, instant
Labour relations under Martial Law: Recent amendments in Ukraine
Ukraine has adopted important changes to the legal framework regulating labour relations during martial law. The latest amendments impose new obligations on both employers and employees, including updated rules on communication, stricter dismissal restrictions, and limitations on the suspension of employment agreements. Please read the complete overview below in English or in Ukrainian. Download in English: Download in Ukrainian:
Business Alert: Key amendments to the Bulgarian Whistleblowing Act
On 9 May 2025, the Bulgarian State Gazette published important amendments to the Bulgarian Whistleblowing Act, further aligning the national legal framework with Directive (EU) 2019/1937 of the European Parliament and of the Council of 23 October 2019 on the protection of persons who report breaches of EU law. These amendments aim to strengthen the protection of individuals reporting breaches of both Bulgarian and EU law, while promoting greater transparency and accountability. The key amendments affecting companies include: 1. Restrictions on shared internal reporting channels within the private sector The amendments eliminate the existing possibility for private sector companies within the same economic group
New obligations for employers in Romania: Fair wages and enhanced prevention and management of workplace discrimination and harassment
In recent years, we have seen several new obligations imposed on employers in Romania, and 2025 will be no different. Starting from January 2025, certain amendments to Romanian labour legislation entered into force, impacting employers significantly. In a nutshell, the new amendments aim to: ensure adequate minimum wages; introduce stricter rules for employers on handling workplace harassment cases; introduce new requirements to ensure gender balance in the management of companies traded on a regulated market; and adopt new measures to protect people with disabilities. Details of the new legal obligations of employers are outlined below. I. Ensuring adequate minimum
The rise and fall of DEI: What employers need to know
DEI has become a societal megatrend that demands attention. While many companies made DEI initiatives a part of their business strategies, others are scaling back their efforts citing shifting priorities, economic pressures or even political and social pushback. The enthusiasm that once fueled widespread DEI adoption is now met with increased scrutiny. Some question the return on investment and the effectiveness of these programs, whole high-profile layoffs in DEI teams and budget reductions signal that the once unstoppable momentum of DEI may be encountering resistance. Yet, stepping back from DEI is not without risks. In Romania, companies deprioritizing DEI may face not only reputational damage, but also legal and employee
Navigating workplace challenges and litigation trends: dismissals and workplace harassment
As we move into 2025, we want to highlight some of the key developments in the Romanian employment dispute landscape over the past year. You can read our summaries of these key trends below, along with our thoughts on where we expect to see more employment litigation activity in the year ahead. I. Romanian market insights Two key drivers in Romania this year concerning the increased risk of employment litigation are economic uncertainty, which could lead company restructurings and related dismissals, as well as the many changes in Romanian legislation relating to whistleblowing and the prevention of discrimination and harassment at the workplace. Specifically, there are two types of employee lawsuits we expect