Moments ago, the #CSDDD received approval in the EU Parliament’s final vote, marking another milestone for the EU Green Deal.
Lawmakers in the European Parliament voted 374 to 235 to adopt the Corporate Sustainability Due Diligence Directive (CSDDD), a key piece of legislation setting mandatory obligations for companies to address their negative impacts on human rights and the environment, clearing a major hurdle towards the implementation of the new law, which came into significant doubt when an earlier version failed to gain approval by member states in the EU Council.
The revised CSDDD, which significantly scales back the number of companies covered by the law, and extends the timeline to full implementation, must now be formally approved by the Council before it can enter into force.
While this version of the Directive may be diluted, its significance remains high. Most notably, it establishes firm legal requirements in an area where they are very much needed, ensuring fair competition among European companies (for more details,
The EU Parliament’s adoption of the revised CSDDD marks a significant milestone after a four-year process. The regulation, born from studies initiated by the European Commission in 2020, sets forth obligations for companies to address various impacts on people and the planet, from labor rights violations to environmental harm. It mandates transition plans aligning with the Paris Agreement and establishes supervisory authorities to enforce compliance.
The legislation faced challenges, including concerns from Germany and Italy, leading to compromises such as raising thresholds for covered companies. The phased implementation will begin in 2027 for larger firms. Despite concessions, lead MEP Lara Wolters hails the vote as a victory for responsible business conduct and an end to exploitative practices.
Following the vote, lead MEP Lara Wolters said:
“Today’s vote is a milestone for responsible business conduct and a considerable step towards ending the exploitation of people and the planet by cowboy companies. This law is a hard-fought compromise and the result of many years of tough negotiations.”
