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24 Apr 2024

Human Rights Watch

EU Parliament approves supply chain law

The European Parliament vote on April 24, 2024, to approve the proposed European law to require large companies to prevent and remedy human rights and environmental abuses in their global supply chains is a step forward for corporate accountability, Human Rights Watch said today. The proposed EU Corporate Sustainability Due Diligence Directive (CSDDD) seeks to introduce legal obligations for large corporations to conduct human rights and environmental due diligence in their global supply chains.

The Parliament’s vote in Strasbourg was on the 11th anniversary of the tragic collapse on April 24, 2013, of the Rana Plaza building in Bangladesh, which killed 1,138 garment workers and injured over 2,000 others. The proposed law requires large companies to conduct human rights and environmental due diligence in their own operations and in their global value chains. It considers large companies to be those with more than 1,000 employees on average and more than €450 million in net worldwide in the previous financial year. It empowers regulators to take action against companies failing to conduct such due diligence and, in some situations, allows victims of corporate abuses to approach European courts to seek justice...

Following the European Parliament’s vote, the law now needs final approval by ministers of EU member states. The EU ministerial vote is expected to take place in late May...