Activities of Gunnar BECK related to 2022/0051(COD)
Shadow opinions (1)
OPINION on the proposal for a directive of the European Parliament and of the Council on Corporate Sustainability Due Diligence and amending Directive (EU) 2019/1937
Amendments (58)
Amendment 142 #
Proposal for a directive
Recital 19
Recital 19
(19) As regards regulated financial undertakings providing loan, credit, or other financial servifinancing (loans and other forms of credit), insurance or reinsurances, “value chain” with respect to the provision of such services should be limited to the activities of the clients receiving such services, and the subsidiaries thereof whose activities are linked to the contract in question. Clients that are households and natural persons not acting in a professional or business capacity, as well as small and medium sized undertakings, should not be considered to be part of the value chain. The activities of the companies or other legal entities that are included in the value chain of that client should not be covered.
Amendment 277 #
Proposal for a directive
Article 1 – paragraph 1 – subparagraph 1 – point a
Article 1 – paragraph 1 – subparagraph 1 – point a
(a) on obligations for companies regarding actual and potential human rightssevere adverse impacts and environmental adverse impacts,s defined in Art. 3(1), point l with respect to their own operations, the operations of their subsidiaries, and the value chain operations carried out by entities with whom the company has an established business relationship and
Amendment 288 #
Proposal for a directive
Article 1 – paragraph 1 – subparagraph 2
Article 1 – paragraph 1 – subparagraph 2
The nature of business relationships as ‘established’ shall be reassessed periodically, andwithout undue delay after the company becoming aware of a significant change of the circumstances underlying the business relationship, but at least every 124 months.
Amendment 296 #
Proposal for a directive
Article 1 – paragraph 3 a (new)
Article 1 – paragraph 3 a (new)
3a. Insofar as this Directive contains harmonised provisions, Member States may not maintain or introduce in their national law provisions diverging from those laid down in this Directive unless provided otherwise in this Directive.
Amendment 308 #
Proposal for a directive
Recital 14 a (new)
Recital 14 a (new)
(14a) Regulation (EU) 2019/2088 requires financial market participants to publish, among other things, a statement on their due diligence policies with respect to the principal adverse impacts of their investment decisions. This Directive complements these requirements.
Amendment 326 #
Proposal for a directive
Recital 18
Recital 18
(18) The valuesupply chain should cover activities related to the production of a good or provision of services by a company, including the development of the product or the service and the use and disposal of the product as well as the related activities of establisheddirect business relationships of the company. It should encompass upstream established direct and indirect businessdirect relationships that design, extract, manufacture, transport, store and supply raw material, products, parts of products, or provide services to the company that are necessary to carry out the company’s activities, and also downstream relationships, including established direct and indirect business relationships, that use or receive products, parts of products or services from the company up to the end of life of the product, including inter alia the distribution of the product to retailers, the transport and storage of the product, dismantling of the product, its recycling, composting or landfilling.
Amendment 339 #
Proposal for a directive
Recital 19
Recital 19
(19) As regards regulated financial undertakings providing loan, credit, or other financial services, “valuesupply chain” with respect to the provision of such services should be limited to the activities of the clients receiving such services, and the subsidiaries thereof whose activities are linked to the contract in question. Clients that are households and natural persons not acting in a professional or business capacity, as well as small and medium sized undertakings, should not be considered to be part of the valuesupply chain. The activities of the companies or other legal entities that are included in the valuesupply chain of that client should not be covered.
Amendment 366 #
Proposal for a directive
Article 3 – paragraph 1 – point e – introductory part
Article 3 – paragraph 1 – point e – introductory part
(e) ‘business relationship’ means a relationship with a contractor, subcontractor or any other legal entitiesy (‘partner’)
Amendment 371 #
Proposal for a directive
Article 3 – paragraph 1 – point e – point i
Article 3 – paragraph 1 – point e – point i
(i) with whom the company has a commercial agreement or to whom the company provides financing, insurance or reinsurancerelated to the operations, products or services of the company or to whom the company provides financing(loans or other forms of credit), insurance or reinsurance (“direct business partner”), or
Amendment 373 #
Proposal for a directive
Article 3 – paragraph 1 – point e – point ii
Article 3 – paragraph 1 – point e – point ii
(ii) thatwhich is not a direct business partner but which performs business operations related to the operations, products or services of the company for or on behalf of the company(“indirect business partner”);
Amendment 380 #
Proposal for a directive
Article 3 – paragraph 1 – point f
Article 3 – paragraph 1 – point f
(f) ‘established business’ relationship’ means a business relationship, whether direct or indirect, which is, or which is expected to be lasting, in view of its intensity or duration and which does not represent a negligible or merely ancillary part of the value chain;continuous, stable and customary business relationship between two parties, i.e., a relationship that lasts over time, if there is a written contract between the two parties,
Amendment 423 #
Proposal for a directive
Article 3 – paragraph 1 – point n
Article 3 – paragraph 1 – point n
(n) ‘stakeholders’ means the company’s employees, the employees of its subsidiaries, and other relevant individuals, groups, communities or entities whose rights or interests are or could be affected by the products, services and operations of that company, its subsidiaries and its business relationships;
Amendment 428 #
Proposal for a directive
Article 3 – paragraph 1 – point o
Article 3 – paragraph 1 – point o
Amendment 433 #
Proposal for a directive
Article 3 – paragraph 1 – point p
Article 3 – paragraph 1 – point p
Amendment 433 #
Proposal for a directive
Recital 43
Recital 43
(43) Companies should monitor the implementation and effectiveness of their due diligence measures. They should carry out periodic assessments of their own operations, those of their subsidiaries and, where related to the value chains of the company, those of their established business relationships, to monitor the effectiveness of the identification, prevention, minimisation, bringing to an end and mitigation of human rights and environmental adverse impacts. Such assessments should verify that adverse impacts are properly identified, due diligence measures are implemented and adverse impacts have actually been prevented or brought to an end. In order to ensure that such assessments are up-to- date, they should be carried out at least every 124 months and be revised in-between if there are reasonable grounds to believe that significant new risks of adverse impact could have arisen. The evaluation must not entail excessive financial burdens for SMEs, with the possibility of providing them with a verification system based on self-declarations or predetermined forms.
Amendment 459 #
Proposal for a directive
Article 4 – paragraph 2
Article 4 – paragraph 2
2. Member States shall ensure that, for the purposes of due diligence, companies are entitled to share resources and information within their respective groups of companies and with othe Directive, for groups of companies, parent companies, shall have the possibility to fulfil the obligations set out in Articles 4 to 11 as well as in Articles 15 and 16, on behalf of their subsidiaries that would fall within the scope of the directive, in compliance with applicable competition law. If a parent company makes use of this possibility, ther legal entities in compliance with applicable competition lawaw applicable to the parent company shall also apply for all subsidiaries for which the parent fulfils the obligations. Any reference in this paragraph to a subsidiary shall apply also to credit institutions affiliated to a central body within the meaning of Article 10 of the Regulation (EU) No 575/2013 and any reference to a parent company to a central body within the meaning of that article.
Amendment 480 #
Proposal for a directive
Article 5 – paragraph 2 a (new)
Article 5 – paragraph 2 a (new)
2 a. Member States shall laydown rules to ensure that management or supervisory bodies as the case maybe depending on national laws of the companies referred to in Article 2(1) put in place and oversee the due diligence actions referred to in Article 4 and in particular the due diligence policy referred to in this Article, with due consideration for relevant input from stakeholders.
Amendment 485 #
Proposal for a directive
Article 5 – paragraph 2 b (new)
Article 5 – paragraph 2 b (new)
2 b. Developing and applying common standards and principles for a code of conduct within and across industries, to support efficient compliance with this directive shall not constitute a breach of applicable competition law. This shall also include measures to extend the application of such a code of conduct to established business relationships.
Amendment 498 #
Proposal for a directive
Article 6 – paragraph 1
Article 6 – paragraph 1
1. Member States shall ensure that companies take appropriate measures to identify actual and potential severe adverse human rights impacts and adverse environmental impacts arising from their own operations or those of their subsidiaries and, where related to their value chains, from their established business relationships, in accordance with paragraph 2, 3 and 4. Severity of an adverse impact shall be assessed based on its gravity, its high likelihood to occur, the number of persons or the extent of the environment affected, its irreversibility, and difficulty to provide remedy considering the measures necessary to restore the situation prevailing prior to the impact.
Amendment 520 #
Proposal for a directive
Article 6 – paragraph 3
Article 6 – paragraph 3
3. When companies referred to in Article 3, point (a)(iv), provide credit, loan or other financial servifinancing, insurance or reinsurances, identification of actual and potential adverse human rights impacts and adverse environmental impacts shall be carried out only before providing that service.entering into the business relationship with the respective client.
Amendment 524 #
Proposal for a directive
Article 6 – paragraph 4
Article 6 – paragraph 4
4. Member States shall ensure that, for the purposes of identifying the adverse impacts referred to in paragraph 1 based on, where appropriate, quantitative and qualitative information, companies are entitled to make use of appropriate resources, including independent reports and information gathered through the complaints procedure provided for in Article 9. Companies shall, where relevant, also carry out consultations with potentially affected groups including workers and other relevant stakeholders to gather information on actual or potential adverse impacts.
Amendment 597 #
Proposal for a directive
Article 7 – paragraph 6
Article 7 – paragraph 6
6. By way of derogation from paragraph 5, point (b), when companies referred to in Article 3, point (a)(iv), provide credit, loan or other financial services, they shall not be required to terminate the credit, loan or other financial service contract when this can be reasonably expected to cause substantial prejudice to the entity to whom that service is being providedfinancing (loans and other forms of credit), insurance or reinsurance they shall not be required to terminate the contract.
Amendment 607 #
Proposal for a directive
Article 2 – paragraph 2 – point a
Article 2 – paragraph 2 – point a
(a) generated a net worldwide turnover of more than EUR 150 million in the Union in thelast financial year preceding the last financial yearfor which annual financial statements have been prepared;
Amendment 617 #
Proposal for a directive
Article 2 – paragraph 2 – point b
Article 2 – paragraph 2 – point b
(b) generated a net worldwide turnover of more than EUR 40 million but not more than EUR 150 million in the Union in the financial year preceding the last financial yearin the last financial year for which annual financial statements have been prepared, provided that at least 50% of its net worldwide turnover was generated in one or more of the sectors listed in paragraph 1, point (b).
Amendment 618 #
Proposal for a directive
Article 2 – paragraph 2 a (new)
Article 2 – paragraph 2 a (new)
2a. For the access to the EU market, companies established in a third country and falling within the scope must declare and provide proof that they comply with obligations equivalent to those laid down in this Directive in the third countries where they have their seat, a subsidiary or a branch. The Commission shall be empowered to adopt measures to set up a mechanism for the determination of equivalence of the obligations required under this Directive and for the establishment of general equivalence criteria regarding due diligence standards.
Amendment 620 #
Proposal for a directive
Article 8 – paragraph 3 – point b
Article 8 – paragraph 3 – point b
(b) where necessary due to the fact that the adverse impact cannot be immediately brought to an end, develop and implement a corrective action plan with reasonable and clearly defined timelines for action and qualitative and quantitative indicators for measuring improvement. Where relevant, the corrective action plan shall be developed in consultation with stakeholders the company identifies as affected by its products, services and operations, its subsidiaries and its business relationships;
Amendment 676 #
Proposal for a directive
Article 8 – paragraph 7
Article 8 – paragraph 7
7. By way of derogation from paragraph 6, point (b), when companies referred to in Article 3, point (a)(iv), provide credit, loan or other financial servifinancing, insurance or reinsurances, they shall not be required to terminate the credit, loan or other financial servicspective contract, when this can be reasonably expected toe client provides information that the termination causes substantial prejudice to the entity to whom that servit. The companies referred to in Article is being provided3, point (a)(iv), may rely on the information provided by the client.
Amendment 716 #
Proposal for a directive
Article 3 – paragraph 1 – point f
Article 3 – paragraph 1 – point f
(f) ‘established business relationship’ means a direct business relationship, whether direct or indirect, which is, or which is expected to be lasting, in view of its intensity or duration and which does not represent a negligible or merely ancillary part of the value chain; (This amendment - meaning the reference to "direct" business relationships only - applies throughout the text. Adopting it will necessitate corresponding changes throughout.)
Amendment 727 #
Proposal for a directive
Article 10 – paragraph 1
Article 10 – paragraph 1
Member States shall ensure that companies carry out periodic assessments of their own operations and measures, those of their subsidiaries and, where related to the value chains of the company, those of their established business relationships, to monitor the effectiveness of the identification, prevention, mitigation, bringing to an end and minimisation of the extent of human rights and environmental adverse impacts. Such assessments shall be based, where appropriate, on qualitative and quantitative indicators and be also carried out at least every 12 months andyears whenever there are reasonable grounds to believe that significant new risks of the occurrence of those adverse impacts may arise. The due diligence policy shall be updated in accordance with the outcome of those assessments. 2 year reassessment does not apply in case of specific events changing the situation upon which the initial assessment is made.
Amendment 730 #
Proposal for a directive
Article 3 – paragraph 1 – point g
Article 3 – paragraph 1 – point g
(g) ‘valuesupply chain’ means activities related to the production of goods or the provision of services by a company, including the development of the product or the service and the use and disposal of the product as well as the related activities of upstream and downstream establishedirect business relationships of the company. As regards companies within the meaning of point (a)(iv), ‘valuesupply chain’ with respect to the provision of these specific services shall only include the activities of the clients receiving such loan, credit, and other financial services and of other companies belonging to the same group whose activities are linked to the contract in question. The valuesupply chain of such regulated financial undertakings does not cover SMEs receiving loan, credit, financing, insurance or reinsurance of such entities; (This amendment - meaning the reference to "supply chain" instead of "value chain" - applies throughout the text. Adopting it will necessitate corresponding changes throughout.)
Amendment 774 #
Proposal for a directive
Article 15
Article 15
Amendment 805 #
Proposal for a directive
Article 17 – paragraph 5
Article 17 – paragraph 5
5. Member States may designate the authorities for the supervision of regulated financial undertakings also as supervisory authorities for the purposes of this DirectiveFor financial institutions, the competent authorities shall be an existing national authority already controlling or supervising financial institutions.
Amendment 818 #
Proposal for a directive
Article 18 – paragraph 5 a (new)
Article 18 – paragraph 5 a (new)
5a. National authorities supervising financial institutions will adopt the appropriate preventive and sanctioning measures.
Amendment 830 #
Proposal for a directive
Article 20 – paragraph 2
Article 20 – paragraph 2
2. In deciding whether to impose sanctions and, if so, in determining their nature and appropriate level, due accountthe competent authority shall be taken of into account the company’s efforts to comply with any remedial action required of them by a supervisory authority, any investments made and any targeted support provided pursuant to Articles 7 and 8, as well as collaboration with other entities to address adverse impacts in its value chains, as the case may be.
Amendment 830 #
Proposal for a directive
Article 4 a (new)
Article 4 a (new)
Article 4a Member States shall ensure that parent companies have the option to fulfil the relevant obligations under this Directive, on behalf of any or all subsidiaries which meet the thresholds set forth in Article 2.
Amendment 847 #
Proposal for a directive
Article 22
Article 22
Amendment 863 #
Proposal for a directive
Article 5 – paragraph 2
Article 5 – paragraph 2
2. Member States shall ensure that the companies update their due diligence policy annuallyevery two years.
Amendment 909 #
Proposal for a directive
Article 25
Article 25
Amendment 917 #
Proposal for a directive
Article 26
Article 26
Amendment 958 #
Proposal for a directive
Article 7 – paragraph 2 – point d
Article 7 – paragraph 2 – point d
(d) provide targeted and proportionate support for an SME with which the company has an established business relationship, where compliance with the code of conduct or the prevention action plan would jeopardise the viability of the SME;
Amendment 987 #
Proposal for a directive
Article 7 – paragraph 4 – subparagraph 2
Article 7 – paragraph 4 – subparagraph 2
When contractual assurances are obtained from, or a contract is entered into, with an SME, the terms used shall be fair, reasonable and non-discriminatory. Where measures to verify compliance are carried out in relation to SMEs, the company shall bear the cost of the independent third-party verification. The company may use a verification system based on self- declarations or predetermined forms.
Amendment 1034 #
Proposal for a directive
Article 8 – paragraph 3 – point a
Article 8 – paragraph 3 – point a
(a) neutralise the adverse impact or minimise its extent, including by the payment of the ascertained damages to the affected persons and of financial compensation to the affected communities. The action shall be proportionate to the significance and scale of the ascertained adverse impact and to the contribution of the company’s conduct to the adverse impact;
Amendment 1064 #
Proposal for a directive
Article 8 – paragraph 3 – point e
Article 8 – paragraph 3 – point e
(e) provide targeted and proportionate support for an SME with which the company has an established business relationship, where compliance with the code of conduct or the corrective action plan would jeopardise the viability of the SME;
Amendment 1219 #
Proposal for a directive
Article 10 – paragraph 1
Article 10 – paragraph 1
Member States shall ensure that companies carry out periodic assessments of their own operations and measures, those of their subsidiaries and, where related to the value chains of the company, those of their established business relationships, to monitor the effectiveness of the identification, prevention, mitigation, bringing to an end and minimisation of the extent of human rights and environmental adverse impacts. Such assessments shall be based, where appropriate, on qualitative and quantitative indicators and be carried out at least every 124 months and whenever there are reasonable grounds to believe that significant new risks of the occurrence of those adverse impacts may arise. The due diligence policy shall be updated in accordance with the outcome of those assessments.
Amendment 1236 #
Proposal for a directive
Article 11 – paragraph 2
Article 11 – paragraph 2
The Commission shall adopt delegated acts in accordance with Article 28 concerning the content and criteria for such reporting under paragraph 1, specifying information on the description of due diligence, potential and actual adverse impacts and actions taken on those. The Commission shall develop simplified reporting requirements for SMEs
Amendment 1269 #
Proposal for a directive
Article 13 – paragraph 1
Article 13 – paragraph 1
In order to provide support to companies or to Member State authorities on how companies should fulfil their due diligence obligations, the Commission, in consultation with Member States and stakeholders, organisations of enterprises and representing the interests of SMEs, the European Union Agency for Fundamental Rights, the European Environment Agency, and where appropriate with international bodies having expertise in due diligence, may issue guidelines, including for specific sectors or specific adverse impacts.
Amendment 1312 #
Proposal for a directive
Article 15
Article 15
Amendment 1346 #
Proposal for a directive
Article 17 – paragraph 5
Article 17 – paragraph 5
5. Member States may designate the authorities fFor the supervision of regulated financial undertakings also as supervisory authorities for the purposes of this Directivethe competent authorities shall be an existing national authority already controlling or supervising financial institutions.
Amendment 1388 #
Proposal for a directive
Article 18 – paragraph 5 a (new)
Article 18 – paragraph 5 a (new)
5a. The national authorities supervising financial institutions shall adopt the appropriate preventive and sanctioning measures.
Amendment 1433 #
Proposal for a directive
Article 20 – paragraph 2
Article 20 – paragraph 2
2. In deciding whether to impose sanctions and, if so, in determining their nature and appropriate level, due account shall be taken of the company’s efforts to comply with any remedial action required of them by a supervisory authority, any investments made and any targeted support provided pursuant to Articles 7 and 8, as well as collaboration with other entities to address adverse impacts in its valuesupply chains, as the case may be, the severity and duration of the company's infringement and the cumulative effects of the different measures and sanctions already imposed on the company.
Amendment 1445 #
Proposal for a directive
Article 20 – paragraph 3
Article 20 – paragraph 3
3. When pecuniary sanctions are imposed, they shall be based on the company’s turnover, as well as on the imputability of the infringement, also taking into account the size of the undertaking.
Amendment 1494 #
Amendment 1508 #
Proposal for a directive
Article 22 – paragraph 2 – subparagraph 2
Article 22 – paragraph 2 – subparagraph 2
In the assessment of the existence and extent of liability under this paragraph, , due account shall be taken of the company’s efforts, insofar as they relate directly to the damage in question, to comply with any remedial action required of them by a supervisory authority, any investments made and any targeted support provided pursuant to Articles 7 and 8, as well as any collaboration with other entities to address adverse impacts in its valuesupply chains.
Amendment 1526 #
Proposal for a directive
Article 22 – paragraph 3
Article 22 – paragraph 3
3. The civil liability of a company for damages arising under this provision shall be without prejudice to the civil liability of its subsidiaries or of any direct and indirect business partners in the valuesupply chain.
Amendment 1553 #
Proposal for a directive
Article 24
Article 24
Amendment 1560 #
Proposal for a directive
Article 25
Article 25
Amendment 1570 #
Proposal for a directive
Article 26
Article 26
Amendment 1613 #
Proposal for a directive
Article 29 – paragraph 1 – point d a (new)
Article 29 – paragraph 1 – point d a (new)
(da) the impact of the Directive on SMEs, as well as the availability of adequate accompanying measures, supporting tools and guidelines.