On 24 May 2024, the European Council adopted the Corporate Sustainability Due Diligence Directive (CSDDD), the new directive on corporate due diligence to reduce the negative impact on human rights and the environment. Particular attention is paid to child labour, labour exploitation, biodiversity loss, pollution and natural heritage.
The new rules directly affect EU parent companies and companies with more than 1,000 employees and a worldwide turnover of more than €450 million, as well as franchises in the EU with a turnover of more than €80 million, of which at least €22.5 million are generated by royalties. Third-country parent companies, companies and franchises that reach the same turnover thresholds in the EU will also be affected. But this will also have effects on the small and medium-sized companies that make up the links in the supply chain.
So what does all this mean for SMEs operating within the Fashion, Supplies and Food supply chains? What are the possible consequences on them of the choices of large companies?
How will SMEs have to restructure to adapt to the demands of large corporate customers?
In summary, how can SMEs take advantage of this challenge?
During the meeting, we will give voice to companies that have asked themselves these questions and have started a journey to understand, adapt and align with the new regulations, improving their sustainability and responding to the challenges posed by the impact of CSDDD on large companies.