A deep dive into the Corporate Sustainability Due Diligence Directive (CSDDD)

In an era where businesses are increasingly adapting to their environmental and social footprint, the European Union has ushered in an era of transformation with the introduction of the Corporate Sustainability Due Diligence Directive (CSDDD). Expected to come into force in 2024, this ground-breaking legislation is poised to reshape the environment for companies operating within the EU and beyond.

In essence, the CSDDD forces large companies to:

• Identify, prevent and mitigate potential adverse impacts on human rights and the environment throughout their value chain, including subsidiaries, suppliers and downstream partners.
• Establish a due diligence process that includes risk assessment, grievance mechanisms and stakeholder engagement.
• Communicate publicly and transparently about our due diligence efforts.

(Milica Novaković, more at lexology.com)