Due diligence: EU’s next steps on corporate accountability

 Following the European Commission’s proposal on due diligence rules presented in February, the debate on companies’ obligations to respect human rights and avoid environmental harm is set to pick up speed in September.

The EU’s proposal on corporate accountability requires large companies that are either based in member states or have a considerable turnover in the EU to identify, prevent and mitigate human rights and environmental violations throughout their value chains.

Currently, due diligence rules are in place only in a few EU countries, like France, while in Germany, companies with more than 3,000 employees will need to carry out mandatory due diligence starting January 2023. (...)