The German Supply Chain Due Diligence Act came into force on 1 January 2023 and obliges all companies with more than 3,000 employees to comply with the requirements of the Act. From 01 January 2024, it also obliges all companies with more than 1,000 employees.
The law requires companies to assess, monitor and improve the sustainability of their supply chains by developing policies and procedures to identify, mitigate, prevent and address human rights violations and environmental issues. Companies must also develop and implement policies to ensure that their suppliers comply with the law, establish worker grievance procedures, engage in collective bargaining and report annually on the sustainability of their supply chains.
To be best prepared for the implementation of the Supply Chain Act in your company, simply download our Supply Chain Act checklist!
