EU member states want to simplify the European Supply Chain Directive
The EU member states want to simplify the Corporate Sustainability Reporting Directive (CSRD) and the Corporate Sustainability Due Diligence Directive (CS3D). The proposal is part of the “Omnibus I” package adopted by the EU Commission on 26 February 2025 to simplify EU legislation in the area of sustainability.
The European Supply Chain Directive is to be watered down according to the wishes of the EU member states. A majority of countries were in favour of only companies with more than 5,000 employees falling under the law on the protection of human rights instead of the current 1,000, the EU states announced. In addition, the turnover limit of 450 million euros in annual net turnover is to be raised to 1.5 billion euros.
"We have kept our promise to simplify EU law. We are taking a decisive step towards our common goal of creating a more favourable business environment that will help our companies to grow, innovate and create high-quality jobs," said Adam Szłapka, Minister for the European Union of Poland.
Once the European Parliament has finalised its own negotiating position, the Council Presidency can start negotiations with the European Parliament and begin the final negotiations.