CSDD

CSDD (Corporate Sustainability Due Diligence) – a new directive reporting requirement introducing due diligence obligations for certain groups of companies to counteract the negative effects of their activities on respect for human rights and environmental issues.

The obligation to report due diligence in the supply chain will apply (starting in 2024):

• European Union companies with more than 500 employees and an annual total turnover of more than €150 million,
• non-EU companies operating in the EU market have more than €150 million annual turnover.

The directive is aimed at supporting responsible corporate behavior and incorporating human rights and environmental aspects into the corporate governance structure of companies. The directive is another law supporting the European Green Deal's implementation and achieving Sustainable Development Goals in Europe.

Sources:

1. https://commission.europa.eu/publications/proposal-directive-corporate-sustainability-due-diligence-and-annex_en
2. https://greenly.earth/en-us/blog/company-guide/the-corporate-sustainability-due-diligence-directive-csdd