The proposed EU Corporate Sustainability Due Diligence Directive sets out how companies must consider human rights and environmental issues in their supply chains. The comprehensive due diligence requirements reflect the changed understanding of the role and responsibility of companies in society. The Directive will impact not only how companies directly subject to it must manage their human rights and environmental due diligence, but also smaller companies that are part of their supply chains.

There are many challenges to successful implementation of the requirements. Global supply chains are often very complex and involve a large number of different actors in different locations, where the policy and legal environment regarding human and environmental rights can vary widely.  The capabilities of companies to implement the requirements of the Directive can differ greatly depending on the size and resources of the companies. At the same time, the question arises whether the measures provided for in the legislation are at all suitable for creating sustainable improvements in global supply chains.

The presentation will discuss these challenges and provide some practical suggestions on how companies can meet the requirements placed on them while working towards making supply chains truly more sustainable and fair.

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