Scope
Companies with >5,000 employees AND >€1.5bn net worldwide turnover (post-Omnibus thresholds)
EU · directive
Corporate Sustainability Due Diligence Directive (CSDDD)
Directive (EU) 2024/1760, amended by Directive (EU) 2026/470 (Omnibus I)
Phasing inApplies 2029-07-26
Penalties
Member-state administrative penalties capped at 3% of net worldwide turnover; no harmonised civil liability (post-Omnibus)
Last verified
2026-08-22
In plain language
What this law does
Mandates risk-based human-rights and environmental due diligence across a company's own operations, subsidiaries and chain of activities, integrating due diligence into policies and management systems. Omnibus I cut scope sharply, removed the harmonised civil-liability regime and the climate-transition-plan obligation, and moved to a single 2029 application date.
Core obligations
Integrate due diligence into policies (Art. 7); identify and assess adverse impacts (Art. 8); prioritise by severity/likelihood; prevent/mitigate potential impacts (Art. 10); remediate actual impacts (Art. 12); stakeholder engagement (Art. 13); complaints mechanism (Art. 14); monitoring (Art. 15); public communication (Art. 16)
Dictionary
Terms defined in this law
- Adverse impactCSDDD
- Adverse environmental impact* / *adverse human rights impactCSDDD
- SubsidiaryCSDDD
- Business partnerCSDDD
- Chain of activitiesCSDDD
- Severe adverse impactCSDDD
- Independent third-party verificationCSDDD
- StakeholderCSDDD
- Established business relationshipCSDDD
- >5,000 employees AND >€1.5bn worldwide net turnover (post-Omnibus single test); third-country companies via EU-turnover routeCSDDD
- Transposition 26 Jul 2028; **single application date 26 Jul 2029** (phased waves abolished); Commission guidelines by 26 Jul 2027CSDDD
- Integrate due diligence into policies and management systemsCSDDD
- Identify and assess actual/potential adverse impacts; prioritise by severity and likelihood (risk-based approach; no general requirement to map every indirect partner)CSDDD
- Prevent potential impactsCSDDD
- Bring to an end actual impactsCSDDD
- Stakeholder engagementCSDDD
- Monitoring effectiveness (at least every 24 months and after significant changes)CSDDD
- Public annual statement on the company's websiteCSDDD
- *Climate transition plan obligation removed by Omnibus I* (formerly Art. 22)CSDDD
- Supervisory authoritiesCSDDD
- Pecuniary penaltiesCSDDD
Claims