Yesterday, the Business and Human Rights Resource Center published a collection of contributions called Towards EU Mandatory Due Diligence Legislation – Perspectives from Business, Public Sector, Academia and Civil Society (the Compendium).
The Compendium gathers short papers from key actors representing different sectors – including business associations, NGOs and the EU – regarding the forthcoming EU legislation on mandatory Human Rights and Environmental Due Diligence.
In the Compendium, amfori highlighted the advantages that such a piece of legislation would bring to businesses, including a level playing field, harmonisation, legal certainty and increased leverage. We called for the EU to adopt a pragmatic approach that takes into account the complexity of global supply chains. amfori’s contribution starts on page 63.
The Compendium is designed to inform Germany’s Presidency of the EU Council on stakeholders’ positions regarding HRDD and is supported by the German Federal Ministry for Economic Cooperation and Development (BMZ).
The publication of the Compendium feeds into public discussion over the upcoming EU legislation on mandatory due diligence, the draft of which is expected to be published by the European Commission in Q2 2021.
In February, amfori published a position paper on HRDD. The paper acknowledges that legislation, if designed properly, has the power to help raise the bar of due diligence conduct. However, legislation alone risks falling short on its objectives.
The EU should deploy additional complementary tools such as incentives for companies that go beyond compliance, a change of gear in public procurement, an increased level of corporate transparency and stronger stances in trade and investment policies.
Lastly, the programs and schemes for addressing supply chain challenges that have been designed by some businesses should continue to be promoted and encouraged.
amfori’s President Christian Ewert will join the German Presidency event Virtual Forum: Towards a Common Approach to Sustainable Supply Chain and Due Diligence on 24 November.
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