Calls to Fix Flaws in EU Sustainability Due Diligence Directive

A civil society coalition including ShareAction, Amnesty, ClientEarth and WWF has called on European Parliament and EU Member States to address “significant flaws” in the legislative proposal for a directive on Corporate Sustainability Due Diligence, published by the European Commission in February. In particular, co-legislators should introduce “an effective and robust” obligation to prevent and end adverse human rights and environmental impacts across the value chain, in a risk-based and proportionate manner, the 220 co-signatories said. Currently, the proposed directive limits the due diligence obligation to “established business relationships”, which falls behind international standards and “risks generating perverse incentives” for companies to restructure their value chains to avoid due diligence obligations. The coalition also recommended that the existing definitions of adverse human rights and environmental impacts must be broadened.

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