Workers’ rights secured throughout the supply chain

Today marks a historic day for workers' rights and corporate accountability as the European Parliament adopts the Corporate Sustainability Due Diligence Directive. 

This directive is a historic breakthrough, heralding a new era of accountability and liability for businesses operating within the EU. The milestones include:

  • a harmonised due diligence framework where companies must identify, assess, prevent, mitigate, and remedy adverse impacts in their operations and value chains.
  • applies to about 5,500 EU and non-EU companies with at least 1,000 employees and €450 million annual turnover.
  • trade unions and workers' representatives will be involved in the development and implementation of an effective due diligence policy, plan and strategy in companies, their subsidiaries and throughout the supply chain. 

This momentous decision comes 11 years after the tragic disaster of Rana Plaza, serving as a poignant reminder of how European companies have been making profits by exploiting workers & destroying the environment for decades.

The adoption of this directive is the culmination of years of determined and relentless pressure and mobilisation from the ETUC. The trade union movement has worked tirelessly to push for stronger protections for workers in the EU and beyond. In 2021, the ETUC together with its affiliates and NGOs mobilized hundreds of thousands of people to respond to the EU's consultation on a draft corporate sustainability law. Now, this immense work and pressure have delivered, paving the way for a duty of businesses to uphold human rights.

Isabelle Schömann, Deputy General Secretary of the European Trade Union Confederation (ETUC), commented on the momentous occasion, saying:

"Today's democratic vote is not only a win for workers - it's a victory for justice, fairness, and human dignity.

"The ETUC welcomes the positive vote on the CSDD Directive. This is the world’s first set of legally binding rules to hold EU and third country companies and their subsidiaries accountable for the violations of human rights. Europe is a frontrunner in protecting trade union and workers' rights as well as the environment."

"In reaching this milestone, however there is a bittersweet taste of how national governments managed to water down some parts of the directive. All in all though, the ETUC congratulates the European legislators for their resilience against strong business lobbying, and thankfully acknowledges the compromises made during the Belgian Presidency.”