{"id":3118,"date":"2024-11-06T17:16:24","date_gmt":"2024-11-06T17:16:24","guid":{"rendered":"https:\/\/esghub.ro\/?p=3118"},"modified":"2025-05-29T13:17:43","modified_gmt":"2025-05-29T10:17:43","slug":"what-is-the-material-scope-of-the-european-directive-on-corporate-due-diligence-in-the-field-of-sustainability","status":"publish","type":"post","link":"https:\/\/esghub.ro\/en\/care-este-domeniul-de-aplicare-material-al-directivei-europene-privind-diligenta-corporativa-in-domeniul-sustenabilitatii\/","title":{"rendered":"Material scope of the CSDD Directive"},"content":{"rendered":"<p>The Corporate Sustainability Corporate Sustainability Due Diligence Directive (CSDDD) proposes a legally binding framework for European companies to promote responsible behaviour globally.<\/p>\n<h2><strong>Human rights covered by the Directive<\/strong><\/h2>\n<p>The CSDDD specifies a number of human rights, inspired by international conventions and standards set by the United Nations Guiding Principles on Business and Human Rights (UNGPs). The list of these rights includes fundamental rights such as the right to life, but also protection against forced labour and child labour - all essential aspects of protecting human dignity and ethical respect in global supply chains:<\/p>\n<ul>\n<li><strong>right to life<\/strong> - provide protection against serious hazards, including exposure to life-threatening working conditions<\/li>\n<li><strong>ban child labour<\/strong> - prohibits child labour and provides protection against child exploitation<\/li>\n<li><strong>prohibition of forced and compulsory labour<\/strong> - prevents the coercion of workers into forced labour by ensuring the right to choose to work voluntarily<\/li>\n<li><strong>the right to fair and favourable working conditions<\/strong> - concerns the right to fair pay, reasonable working hours and safe and hygienic working conditions<\/li>\n<li><strong>freedom of association and the right to collective bargaining<\/strong> - allows employees to form trade unions and bargain collectively with employers to protect their rights<\/li>\n<li><strong>prohibition of discrimination<\/strong> - prohibits discrimination in employment and working conditions on grounds such as race, sex, religion or sexual orientation<\/li>\n<li><strong>the right to a healthy environment<\/strong> - protect workers from exposure to harmful environmental conditions that could damage their health or well-being<\/li>\n<li><strong>respect for physical and mental integrity<\/strong> - protects workers against harassment, intimidation or other physical and psychological abuse at work.<\/li>\n<\/ul>\n<p>These standards reflect a number of international labour and human rights conventions, consolidated in the Annex to the Directive, which are universally recognised and adopted by most countries worldwide. Companies are therefore obliged to respect these standards at all stages of their activities, regardless of their geographical location.<\/p>\n<h2><strong>Environmental impact<\/strong><\/h2>\n<p>The Directive is not limited to human rights but also extends to the environmental impacts of corporate activities. Its principles are based on obligations under multilateral environmental conventions, such as those requiring the prevention of pollution from ships or the protection of biodiversity. These conventions are precise and provide clear standards, allowing companies to apply direct measures without the need for further action by states. The directive also covers measurable environmental degradation, such as water pollution, air pollution, over-consumption of natural resources and damaging changes to soil. These can directly affect human health, food security and quality of life by compromising ecosystems and natural services such as water purification, climate control and plant pollination.<\/p>\n<p>Through these provisions, the CSDDD obliges companies to take measures to prevent and minimise these negative environmental impacts, emphasising the crucial link between the protection of ecosystems and human well-being.<\/p>\n<h2><strong>Economic activities targeted by the CSDDD<\/strong><\/h2>\n<p>In order to promote sustainable corporate behaviour, the Directive requires coverage of the entire chain of activities where the risks to human rights and the environment are greatest. The 'chain of activities' concept covers both the upstream and downstream activities of companies:<\/p>\n<ul>\n<li><strong>Upstream activities:<\/strong> These include processes such as extraction of raw materials, production, transport, transport, storage and supply of products or services. For example, for a dairy company, upstream activities could include cow farms supplying milk or suppliers of feed used to feed cows. The company has to ensure that farmers comply with animal welfare standards and that environmentally harmful practices are not used. In the cosmetics industry, suppliers of natural ingredients (essential oils, plant extracts) would be the upstream partners. A cosmetics manufacturer should ensure that those ingredients are not sourced from sources that harm biodiversity or use exploited labour.<\/li>\n<li><strong>Downstream activities:<\/strong> This includes the distribution and sale of products as well as activities related to the use of the product by consumers. In the case of a drug manufacturer, downstream activities could include the distribution of medicines to hospitals, pharmacies or clinics. The company needs to ensure that its supply chain ensures proper transport and storage to avoid the risk of deterioration of the medicines, and that it complies with accessibility and ethical standards. For a company producing solar panels, downstream partners would include construction companies that install the panels. The company would need to ensure that the installation and use of the panels meets safety standards and does not contribute to environmental degradation.<\/li>\n<\/ul>\n<p>The Directive is not limited to a particular product or service, nor does it depend on the location of the company. It requires the integration of environmental and social responsibilities into each company's risk management policies and systems, and is an essential tool for managing business risks and impacts.<\/p>\n<p><a href=\"https:\/\/eur-lex.europa.eu\/legal-content\/RO\/TXT\/PDF\/?uri=OJ:L_202401760\" target=\"_blank\" rel=\"noopener noreferrer nofollow\">CSDD Directive<\/a> is an essential step towards a more sustainable and ethical global economy. By implementing it, the European Union is sending a clear message to business that respect for human rights and environmental protection must be at the centre of all economic activity.<\/p>\n<p>&nbsp;<\/p>","protected":false},"excerpt":{"rendered":"<p>Directiva privind diligen\u021ba corporativ\u0103 \u00een materie de sustenabilitate (CSDDD) propune un cadru legal obligatoriu pentru companiile europene, destinat s\u0103 promoveze comportamentul responsabil pe plan global. Drepturile omului vizate de Directiv\u0103 Directiva CSDDD specific\u0103 o serie de drepturi ale omului, inspirate din conven\u021biile interna\u021bionale \u0219i standardele stabilite de principiile directoare ale Na\u021biunilor Unite privind Afacerile \u0219i [&hellip;]<\/p>\n","protected":false},"author":4,"featured_media":3667,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"iawp_total_views":9,"footnotes":""},"categories":[9],"tags":[],"class_list":["post-3118","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-noutati"],"_links":{"self":[{"href":"https:\/\/esghub.ro\/en\/wp-json\/wp\/v2\/posts\/3118","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/esghub.ro\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/esghub.ro\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/esghub.ro\/en\/wp-json\/wp\/v2\/users\/4"}],"replies":[{"embeddable":true,"href":"https:\/\/esghub.ro\/en\/wp-json\/wp\/v2\/comments?post=3118"}],"version-history":[{"count":3,"href":"https:\/\/esghub.ro\/en\/wp-json\/wp\/v2\/posts\/3118\/revisions"}],"predecessor-version":[{"id":3140,"href":"https:\/\/esghub.ro\/en\/wp-json\/wp\/v2\/posts\/3118\/revisions\/3140"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/esghub.ro\/en\/wp-json\/wp\/v2\/media\/3667"}],"wp:attachment":[{"href":"https:\/\/esghub.ro\/en\/wp-json\/wp\/v2\/media?parent=3118"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/esghub.ro\/en\/wp-json\/wp\/v2\/categories?post=3118"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/esghub.ro\/en\/wp-json\/wp\/v2\/tags?post=3118"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}