"The UN Global Compact reaffirms its support for efforts toward mandatory human rights and environmental due diligence"

Building on previous statements, the UN Global Compact reiterates its support for advancing business respect for human rights through mandatory due diligence requirements. Currently, the European Union is making efforts to streamline and simplify its corporate sustainability rules through the proposed EU omnibus regulation. By consolidating the Corporate Sustainability Reporting Directive (CSRD), the Corporate Sustainability Due Diligence Directive (CSDDD), and the EU Taxonomy, the EU aims to reduce compliance burdens while addressing concerns over Europe’s economic competitiveness and regulatory complexity. 

As the world’s largest corporate sustainability initiative, the UN Global Compact encourages upholding the ambition of the EU's current corporate sustainability laws. This includes promoting and supporting corporate environmental and social due diligence and accountability, anchored and aligned with international standards. [...]

Legal certainty is a fundamental pillar to ensure that organizations understand their obligations and can act with predictability and confidence over time. [...]

Transparency and participation in regulatory processes are essential to ensuring robust and effective regulations. Multi-stakeholder dialogue and engagement —including businesses, civil society, trade unions, and other key actors—help identify impacts and strengthen the effective enforcement of regulations. [...]

Aligned with the ambition of the UN Global Compact to accelerate and scale the collective impact of businesses by upholding the Ten Principles and advancing the Sustainable Development Goals, we support a mandatory due diligence framework that aligns with international standards. We believe that, when adapted to reality, it serves as an essential tool to ensure that companies operating in Europe lead the transition towards a sustainable and resilient economic model. [...]