Business Express is an online portal that covers the latest developments in the world of business and finance. From startups and entrepreneurship to mergers and acquisitions, Business Express provides reporting on the stories that matter most to business leaders and decision-makers.The website publishes news, press releases, opinion and advertorials on various financial organizations, products and services which are commissioned from various Companies, Organizations, PR agencies, Bloggers etc. These commissioned articles are commercial in nature. This is not to be considered as financial advice and should be considered only for information purposes. It does not reflect the views or opinion of our website and is not to be considered an endorsement or a recommendation. We cannot guarantee the accuracy or applicability of any information provided with respect to your individual or personal circumstances. Please seek Professional advice from a qualified professional before making any financial decisions. We link to various third-party websites, affiliate sales networks, and to our advertising partners websites. When you view or click on certain links available on our articles, our partners may compensate us for displaying the content to you or make a purchase or fill a form. This will not incur any additional charges to you. To make things simpler for you to identity or distinguish advertised or sponsored articles or links, you may consider all articles or links hosted on our site as a commercial article placement. We will not be responsible for any loss you may suffer as a result of any omission or inaccuracy on the website.
2023 05 31T160652Z 2 LYNXMPEJ4U0P7 RTROPTP 4 EUROPE PARLIAMENT - Business Express
A woman walks near the entrance of the European Parliament in Brussels, Belgium May 31, 2023. REUTERS/Yves Herman

EU plans for company human rights, environment checks face new hurdle


EU plans for company human rights, environment checks face new hurdle

By Huw Jones

LONDON (Reuters) – Lawmakers in the European Parliament sought on Wednesday to water down groundbreaking European Union rules that would require large companies to check whether their suppliers abuse human rights or damage the environment.

Parliament is due on Thursday to vote on a cross-party compromise agreed in April on the draft EU corporate sustainability due diligence directive (CSDDD).

Large companies selling products in the EU – even those headquartered outside the bloc – would have to check on their suppliers and take mitigating action if abuses or environmental damage are found.

Retailers, for example, would have to check whether the fruit and vegetables they sell in the EU were not picked by people working under squalid conditions or using child labour.

“It’s impossible to say we didn’t know,” said Lara Wolters, the centre left lawmaker sponsoring the legislation.

Companies would also have to publish plans showing how they would transition to a net zero economy.

But lawmakers from centre right and right wing parties said in a debate on Wednesday that the rules would impose red tape on companies, and harm their competitiveness as they face increased competition from China.

Don't miss out on any breaking news or insightful opinions!
Subscribe to our free newsletter and stay updated on the go!


By submitting this form, you are consenting to receive marketing emails from: Global Banking & Finance Review. You can revoke your consent to receive emails at any time by using the SafeUnsubscribe® link, found at the bottom of every email.

“They cannot be held responsible for everything their suppliers do,” Ivan Stefanec, a member of the European People’s Party (EPP), the assembly’s biggest political grouping, told the debate.

Didier Reynders, EU Justice Commissioner, said the CSDDD creates a level playing field among companies, replacing differing voluntary checks across countries.

The European Commission was already facing increased political resistance to new EU laws to protect the environment. Separately on Wednesday, EPP walked out of negotiations on a landmark EU law to protect nature.

Supporters of the CSDDD compromise say opponents are unlikely to muster enough votes to block or amend the draft law on Thursday.

A green light would open negotiations with EU states next month on a final deal.

EU states approved a position among themselves in December, which includes a national option to exclude financial services – parliament’s compromise wants them included.

 

(Reporting by Huw Jones, editing by Ed Osmond)

Recent Post: