On 23 February 2022, the European Commission released its proposal for a directive on Corporate Sustainability Due Diligence. This directive could represent a landmark step forward in minimising the negative impacts of businesses on workers, communities and the environment worldwide. In response, over 220 NGOs and trade unions from around the world welcome the proposal as an essential and long-awaited step toward corporate accountability, responsible business conduct and access to justice.
However, the proposal contains significant flaws that risk preventing the directive from achieving the positive impact that people, planet, and climate urgently need. The undersigned human rights, labour and environmental organisations and networks call on the European Parliament and EU Member States to strengthen the text in line with what EU citizens, workers and communities affected by corporate abuses worldwide have vocally and publicly demanded.
The joint statement outlines our collective views on how to improve the proposal to guarantee that the law will effectively prevent corporate harm to human rights, the environment and climate; as well as provide victims of corporate abuse with access to effective remedies.
Frank Bold’s research shows significant improvement in corporate disclosures largely due to the standardisation brought by the EU Corporate Sustainability Reporting Directive. Companies are reporting ambitious climate targets and disclosing clearer, more comparable and meaningful sustainability information.
As the EU navigates a critical period for its economic and environmental future, recent developments expose a troubling disconnect between political promises and policy action. What should we expect from our elected leaders when the foundations of sustainable competitiveness are being dismantled?
This legal briefing provides a detailed overview of the purpose, requirements, timeline, and most importantly, key interactions between different sustainability laws that will apply to companies operating in the European Union.
