Final Vote at the European Parliament on the Corporate Sustainability Due Diligence Directive

On 24 April 2024, the European Parliament adopted a legislative resolution on the proposal for a directive on corporate sustainability due diligence, in light of the positive outcome of the negotiations with the Council (see this post on the deal struck in March 2024 at Council level).

The adoption of the resolution marks the end of the Parliament’s first reading of the proposal.

The text, once formally endorsed by the Council of the European Union, will be signed and published in the Official Journal of the European Union. It will enter into force twenty days later. Member States will then have two years to transpose the directive into their national laws.

The harmonised rules will apply gradually: from 2027 to companies with over 5000 employees and net worldwide turnover higher than 1500 million euro; from 2028 to firms with over 3000 employees and a 900 million euro of net worldwide turnover; from 2029 to all the remaining companies within the scope of the directive (including those over 1000 employees and net worldwide turnover higher than 450 million euro.