Revised Supply Chain Legislation Update
The European Union (EU) is planning to replace the German Supply Chain Act (LkSG) with the Corporate Sustainability Due Diligence Directive (CSDDD). This change comes as the EU Commission, Council, and Parliament prepare to begin negotiations in autumn 2025.
The revised proposal from the EU Commission will only apply to large companies, those with over 5,000 employees and more than 1.5 billion euros in annual turnover. Many small and medium-sized enterprises (SMEs) will thus be exempt from the EU’s proposed directive.
Germany, France, and the Netherlands have supported the amendment, considering exemptions or reduced obligations for SMEs to lessen their burden. The implementation of the CSDDD is set to be postponed, giving companies more time. Countries will have until mid-2028, and affected companies will only have to comply with the requirements from 2029 onwards.
In Germany, the Ministry of Economic Affairs, Labour, and Tourism is the primary point of contact for any queries related to the CSDDD. The Press Office and the Citizen's Representative can both be reached via email, and their contact details are available on the Ministry's website. Unfortunately, the Ministry does not provide a direct phone number for contact, nor a mailing address for written correspondence.
The Press Office and Citizen's Representative are separate contact points within the Ministry. The Press Office is responsible for media enquiries, while the Citizen's Representative handles individual concerns and complaints. The response time for emails sent to either contact point is not specified.
It's worth noting that the negotiations on the CSDDD are still ongoing, and a final decision is expected by the end of 2025. One point of contention is liability: The originally adopted EU directive provided that companies could be sued in civil court if they violate their due diligence obligations. However, the Council of the EU now proposes that member states apply their own law regarding liability in the future.
For more information, please visit the Ministry of Economic Affairs, Labour, and Tourism's website, where you can find the Press Office and Citizen's Representative's contact details, as well as an external link to the Ministry's Press Office.
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