CSRD: No rush to implement

The European Commission is urging 17 EU Member States to adopt the Corporate Sustainability Reporting Directive promptly. Infringement procedures are underway, signalling the EU’s commitment to enforcing sustainability reporting. Non-compliance could lead to legal action in the European Court.

Why it matters: The CSRD mandates transparency on social and environmental impacts for large and listed companies, affecting up to 50,000 enterprises. This transparency is crucial for accountability and sustainability in business operations.

Details: The directive demands extensive reporting across companies’ operations and value chains, including engagement with employee representatives—posing significant challenges for compliance.

MEANWHILE: The EU Commission has postponed the Deforestation Directive for a year after it received criticism for its complexity and lack of clarity. 

ADDITIONAL INFORMATION:

We will circulate a paper on the issue of employee engagement obligation under the CSRD during the coming week.