Person in a blue shirt writing with a pen on paper supported by a clipboard

Key dates:

Approved: 24 April 2024. Phased approach based on company size and turnover.

Applies to:

EU companies with more than 1,000 employees and a global turnover of €450 million+. Non-EU companies with a turnover of €450 million+ generated in the EU market.

What it says:

The provisional agreement says companies must implement due diligence strategies to mitigate human rights violations and negative environmental impacts from their operations. Companies of a certain size will also have to adopt a plan to ensure that their business strategy is compatible with limiting global warming to 1.5°C, in line with the Paris Agreement.


Companies found in violation will be subject to sanctions, including fines and compliance orders. Victims impacted by malpractices will be owed compensation.

Key Requirements:

GHG Emissions Tracking Supply Chain Mapping Third Party Assurance Adverse Media Reporting Xinjiang/WRO Mapping External Reporting Supplier/Risk Monitoring Supplier Engagement Remediation Plan Product Mapping ESG Risk Analysis Supplier Assessments Supplier Training Supplier Corrective Action Plan