Video surveillance in the workplace
The use of video cameras in employment relationships raises significant practical issues - not only in Romania. Employers seeking to monitor and secure their businesses often walk a fine line with respect to employees' right to privacy. The use of images from video surveillance cameras in disciplinary proceedings against employees is particularly sensitive. Employees regularly contest the admissibility of such recordings as evidence.
Buyer protection in real estate transactions – the “Nordis Law“
In April 2025 we reported on the initiative for new buyer protection in real estate transactions. In December 2025, the Romanian Parliament passed Law 207/2025, known as the “Nordis Law,” which introduces binding regulations for transactions involving future residential units. The stated goal remains to strengthen legal protection for buyers by reducing the risk of multiple sales and abusive practices in early-stage sales. The law differs in several key aspects from the 2025 draft and introduces important measures.
Recent legislative changes for employees and employers in Romania
The year 2026 brings a number of legislative changes that will directly affect employees and employers in Romania. These changes relate to remuneration, reporting obligations, sick leave, tax breaks, and working conditions.
Intra-group services – limited deductibility from 2026
From 2026, Romanian tax law will restrict the deductibility of certain expenses related to non-resident affiliated companies. This affects corporate income tax payers whose previous year's turnover was less than EUR 50 million (but not those subject to the IMCA minimum tax).
New EU funding programs for energy efficiency and e-mobility
Rising energy prices are putting pressure on industry, while at the same time the transition in Romania from petrol and diesel-powered vehicles to electric mobility is progressing slowly compared to Western Europe. For this reason, several EU-funded programs are currently being prepared within the Romanian Ministry of Transport, addressing these issues and allowing funding applications to be submitted in the coming months.
Foreign direct investment (FDI) – changes in connection with the audit in Romania in prospect
Certain foreign direct investments are subject to reporting and approval requirements in Romania. In 2026, the government put up for debate a draft emergency ordinance (EO) aimed at expanding, while also making more efficient, the screening of foreign direct investments in Romania.
Romanian insolvency law: Stricter liability regulations and other changes
The Romanian government has introduced extensive amendments and measures aimed at increasing the efficiency of the Romanian state budget as well as improving tax collection and expenditure control. In this context, Romanian Law No. 239/2025 was published on December 15, 2025, as reported in our last Newsflash. Article XXIX of the Law introduces more than 50 amendments to the existing Insolvency Act that are of considerable practical relevance. Which changes are particularly relevant?
NEWSFLASH - Important tax and corporate changes following new legal package in Romania
The newly promulgated Law no. 239/2025 brings new fiscal-budgetary measures which strengthen budget revenues and combat tax evasion, but also key changes in corporate and insolvency law. Key changes and effective dates below:
Taxation of capital gains in Romania
More and more individuals and legal entities are investing in stocks, bonds, ETFs, investment funds, or cryptocurrencies. Others generate income from interest, dividends, and the transfer of securities. The Romanian Tax Code summarizes these (and others) as income from investments. Below, we outline the principles governing their taxation.
Minimum wage directive partially unlawful – an ECJ ruling and its consequences
We have repeatedly reported on the Minimum Wage Directive (Directive (EU) 2022/2041 “on adequate minimum wages in the European Union”). Among other things, it sets out requirements for the adjustment of statutory minimum wages in the Member States. The Directive interfered with the long-established principle whereby wage setting was reserved to national legislators and social partners (trade unions and employers' associations) in the Member States. As previously reported, legal action was brought before the European Court of Justice (ECJ) challenging the Directive. On November 11, 2025, almost one year after the implementation deadline, the European Court of Justice has now ruled that the directive is partly unlawful.