Today the European Commission introduced their ‘Omnibus simplification package’ to amend key laws of the EU Green Deal, including CSDDD, CSRD and Taxonomy. The package proposes significant changes, including the removal of civil liability provisions in the CSDDD and removing 80% of companies from scope in the CSRD.
The earlier announcement from the European Commission as well as the leaked draft to reform recently-agreed EU laws such as the CSDDD has already come under attack from businesses, experts, investors and activists alike.
The UN Global Compact and companies including Unilever, Vattenfall and Nestlé have also expressed their concern. Nestlé Europe’s Bart Vandewaetere said that it had “been reporting on [environmental impact and human rights issues in the supply chain] ourselves for years. European regulations mean that more companies have to start doing that. That creates a level playing field and we welcome that.”
Former president of Ireland Mary Robinson added: “Von der Leyen’s new Commission’s attempt to eviscerate these sustainability laws must not be agreed by the European Parliament and by the member states.”
The European Banking Federation warned that weakening the CSRD could create challenges for banks, echoing concerns from more than 160 investors who cautioned that the Omnibus package could harm investment and increase legal uncertainty.
CSOs such as the European Coalition for Corporate Justice (ECCJ), WWF and the Clean Clothes Campaign have also sharply criticised the proposal. The ECCJ writes the proposal is “not simplification, but full-scale deregulation designed to dismantle corporate accountability”.
Workers’ organisations and trade unions from garment-producing countries across Asia, Europe and Latin America also opposed the ‘Omnibus’ this week, highlighting the risk the proposal will “exclude most supply chain workers” including 49 million home workers.
Source: Business & Human Rights Resource Centre
