EU countries reached agreement on the supply chain law on Friday. The vote among the 27 member states had previously been postponed several times. The Austrian government also announced that it did not agree.
An agreement has now probably been reached, bringing together the necessary majority. It was initially unclear which governments agreed on Friday. Nine of them are said to have abstained, including Germany.
The EU supply chain law aims to hold major companies liable if they benefit from child or forced labor outside the EU. Once they reach a certain size, companies must also ensure that their business model and strategy are compatible with the Paris climate goals. The goal is to limit global warming.
SPÖ: “Meeting environmental and social standards”
Approval for the new law came on Friday from, among others, the SPÖ, the ÖGB and the Südwind association, which advocates for global justice. “Environmental and social standards must be respected. Claiming that the supply chain law is too bureaucratic is cynical, outrageous and the wrong approach,” said EU top candidate Andreas Schieder (SPÖ).
The Austrian Trade Union Confederation (ÖGB) regretted in a press release that too many concessions had been made. Companies with 500 employees will not be affected as originally planned, but only companies with at least 1000. The annual turnover of companies that are affected has also increased. “Overall, very few companies in Austria will be affected,” said ÖGB President Wolfgang Katzian.
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
