Legal aspects of human resource management in small and medium-sized enterprises

The aim of this study was to identify legal challenges and assess the compliance of human resource management practices in small and medium- sized enterprises with international standards, in order to justify ways of improving legal enforcement. The research methodology was based on a comparative analysis of current labour legislation in the selected countries, the study of relevant international labour standards, secondary data from international reports, and the examination of available case law in the field of labour disputes. International surveys and court rulings showed a large disparity between the official labour legislation of the nations reviewed, which generally corresponds with international principles, and its practical application in small and medium-sized firms. Despite the establishment of digital legal registries to increase transparency, its potential to improve legal awareness among small and medium-sized firms remains unexplored. All three countries have thorough labour relations laws, but their execution is difficult. Labour disputes and international reviews show that informal practises, particularly in Albania, make it difficult to document employment contracts, provide official remuneration, and follow termination procedures. International reports show low employer legal knowledge and institutional inadequacies in oversight and law enforcement contribute to non-compliance. The study substantiates the need to develop and implement comprehensive measures aimed at improving the legal culture among small and medium-sized enterprises employers, strengthening the institutional capacity of regulatory bodies, and improving access to qualified legal support in Kosovo, Albania, and North Macedonia, in order to bridge the gap between legislation and practice