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Human Rights and Corporate Due Diligence

Der Deutsche Bundestag hat am 11. Juni 2021 ein Lieferkettengesetz beschlossen, das deutschen Unternehmen im Umgang mit ausländischen Handelspartnern Sorgfaltspflichten auferlegt. The law focuses on possible human rights violations or the violation of workers' rights by direct suppliers established abroad.

This opinion discusses outstanding issues concerning the application of the standards shared in Germany or the EU, but not shared in all countries with which trade relations exist. How should trade relations be structured with countries where child labour is not prohibited, where women do not have the same rights as men, or where the environment and animal welfare are of different importance? What is the role of the state, which of the companies, which of the consumers? The fundamental question of whether legal regulations on corporate due diligence are desirable at all is not discussed. There are differing views on this, including in the Scientific Advisory Board. Skepticism stems from the fact that such laws can also serve protectionist purposes by inducing companies to change supply relationships. The intended effect of more effective protection of human rights would then be missed.

The report focuses on the design of such a law. The recommendations should help to design rules in such a way that companies have little incentive to fulfil their due diligence obligations by withdrawing from trade relations with companies abroad.

Scope: 45 pages
Reference: free of charge to Download from the Federal Ministry for Economic Affairs and Climate Protection (BMWK)