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The European Commission has published draft legislation on corporate sustainability due diligence

23rd Mar 2022

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+44 (0) 1869 255758

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The proposal affects the following companies:

  • EU companies with over 500 employees and turnover of over 150 million Euros worldwide
  • EU companies in high impact sectors with more than 250 employees and turnover of over 40 million worldwide
  • Non-EU companies with EU turnover thresholds aligned with affected EU companies

Companies in scope of the legislation will be required to implement supply chain due diligence as follows:

  • establish due diligence policies;
  • identify actual or potential adverse human rights and environmental impacts;
  • prevent or mitigate potential impacts;
  • bring to an end or minimise actual impacts;
  • establish and maintain a complaints procedure;
  • monitor the effectiveness of the due diligence policy and measures;
  • and publicly communicate on due diligence

The proposal will now be presented to the European Parliament and the Council for approval. Once adopted, Member States will have two years to transpose the Directive into national law.

Get in touch to find out how we can help with your compliance requirements

EMEA: +44 (0) 1869 255758 /
US: +1 (800) 450 2403 /
Email: sales@thecompliancemap.com

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