Due diligence affects all companies, as it enables to properly assess relevant risks and impacts. While investors and customers show growing awareness of companies' impacts along the value chain, many companies still provide limited detail. In the sixth article of our briefing series “Full Disclosure” we examine how corporate due diligence legislation relates to sustainable finance and what questions a legislative proposal needs to answer to avoid greenwashing and support comparable due diligence.
For months, there has been an intensive and controversial debate in Germany on a Human Rights Due Diligence Regulation (so called supply chain law). Recently, a new proposal has been under discussion - a law for a supply chain register. Now that the debate on the supply chain register is public and this proposal has also been submitted to EU Justice Commissioner Reynders, Germanwatch, Greenpeace and INKOTA hereby publicly present their central points of criticism of the supply chain register.
In order to strengthen corporate responsibility along supply and value chains, so-called multi-stakeholder initiatives (MSIs) are often used nationally and internationally. Most recently, the Federal Ministry of Labour and Social Affairs (BMAS) announced its intention to step up its efforts to promote EU-wide sectoral dialogues within the framework of Germany’s EU Council Presidency.
Claudia Saller (ECCJ), Julia Otten & Johanna Kusch on why the German government should give the mandatory human rights and environmental due diligence agenda a real push, both at home and in Brussels.
Over 20 leading NGOs working on corporate transparency have published a statement calling on EU policy-makers to define companies’ disclosure obligations on sustainability issues on the occasion of today’s high-level conference on the future of corporate reporting hosted by the European Commission in Brussels.
This executive summary of the report by Germanwatch and MISEREOR is all about energy – a sector that is inextricably linked to globalisation and is associated time and time again with human rights violations. The study explores the question of whether and to what extent German business and the German Government have implemented the demands of the UN Guiding Principles to date.
As development and human rights organisations we participated intensively in the German government’s consultation process for developing the National Action Plan (NAP) for implementing the UN Guiding Principles on Business and Human Rights: in the government’s steering committee, in the altogether twelve thematic hearings and in the three plenary conferences. In this context, we expected the government to move away from the failed model of purely voluntary self-commitment and legally require German companies to discharge their human rights responsibilities in their activities and business relationships abroad.
Over the last few years NGOs have criticized numerous human rights violations in which German corporations were directly or indirectly involved. Blatant violations of human rights are occurring for instance in agriculture, in manufacturing and in the extractive industries. Germanwatch and MISEREOR have documented these cases in a report.