Nine organizations call for meaningful and aligned EU due diligence framework
Today, nine organizations – including the Fair Labor Association, amfori, Cascale, Ethical Trade Initiative (ETI), Ethical Trade Norway, Ethical Trade Sweden, Fair Wear Foundation, Green Button and the Social & Labor Convergence Program (SLCP) – bringing together over 8,000 member companies and affiliates, have released a joint statement ahead of the upcoming EU negotiations on the EU Omnibus proposal.
Drawing on their extensive experience in responsible supply chain practices, these organizations call on EU policymakers to ensure that efforts to simplify the EU sustainability due diligence and reporting framework preserve the alignment with international standards. These include the OECD Guidelines for Multinational Enterprises, the UN Guiding Principles on Business and Human Rights, and ILO Conventions.
“Risk-based due diligence makes business sense as it allows prioritizing action where it matters most,” the statement reads. “It enables companies to prioritize risks and therefore manage them effectively, build resilient supply chains, and contribute meaningfully to the EU’s climate and social goals.”
Key recommendations to EU policymakers:
- Embed a risk-based approach
A risk-based approach should be the foundation of due diligence and reporting obligations. This enables companies to prioritize the most severe and likely risks to people and the environment, rather than applying a one-size-fits-all model. - Strengthen collaboration across supply chains
Empower companies to work closely with their suppliers across the supply chain. Moving away from a rigid cap will foster transparency, responsible business practices and meaningful stakeholder engagement. - Ensure legal certainty and policy stability
Clear, stable regulations are essential for businesses to plan, invest and engage confidently with global partners.
The signatories reaffirm their commitment to advancing responsible business conduct in global supply chains. They believe that simplifying due diligence and reporting requirements can be achieved without compromising from the spirit of international standards. The group stands ready to support EU institutions in delivering a framework that is ambitious, risk-based and fit for purpose.