On 7 May 2026, the European Parliament and Council reached a political agreement to postpone the application of key obligations for high-risk AI systems under the EU AI Act. For standalone systems, including many HR and recruitment tools, the deadline is expected to move from 2 August 2026 to 2 December 2027. The European Parliament and Council must now formally adopt the political agreement. This is a welcome development for many organisations. It recognises that the compliance framework is still maturing, but it should not be misunderstood. The extension affects timing, not substance. The underlying legal and operational expectations remain unchanged. Several of the AI Act’s most important provisions are
Employers in Austria with more than 150 employees are facing a significant compliance moment. By 31 March 2026, the next biennial income report under Austria’s Equal Treatment Act (Gleichbehandlungsgesetz) becomes due, and importantly, this is very likely the final reporting round under the current national framework. The reason? Austria is obliged to transpose the EU Pay Transparency Directive (2023/970) by 7 June 2026, triggering far-reaching changes to pay reporting, equal pay assessments, and employee information rights. What must be reported in 2026? Under Section 11a of the Austrian Equal Treatment Act, employers with more than 150 permanent employees must prepare a comprehensive income report (Einkommensbericht)
Austria has adopted a reform aimed at improving the legal protection of freelance employees within the meaning of Section 4(4) of the General Social Insurance Act (“ASVG”) (freie Dienstnehmer). The new rules, which are mainly implemented in the Austrian Civil Code (“ABGB”) and the Labour Constitution Act (“ArbVG”), entered into force on 1 January 2026 and will have a significant impact on companies that rely on freelance employees. Statutory termination rules introduced A key change is the introduction of mandatory minimum notice periods for certain freelance employees. For permanent (i.e., not concluded for a fixed-term) service contracts with freelance employees within the meaning of Section
Kinstellar is pleased to announce that Benedikt Sprinzl has joined our Vienna office as a Partner in the local Employment & Labour Law service line. His appointment reinforces our commitment to building a high-calibre, full-service offering in Austria and further strengthens our capabilities in one of the region’s most dynamic and rapidly evolving practice areas. Benedikt advises national and international clients on the entire spectrum of individual and collective labour law issues, including management and employee incentive schemes. His work includes advising on all aspects of employment contracts, managing individual as well as large-scale termination processes, and navigating negotiations with works councils.