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Handing over of petitions: 90,000 people call for strong EU supply chain law - NGO alliance criticises German government's position

Extended press release of the Supply Chain Act initiative of 6 December 2022

Berlin, 06/12/2022. The European Union wants to oblige companies to protect human rights and the environment in their value chains. However, it is not clear how effective the so-called EU Supply Chain Act is. The relevant EU Council of Ministers agreed last Thursday in Brussels on a position that goes beyond the German supply chain law, but still contains numerous loopholes. Several EU governments, including Germany, continue to try to weaken the project. On the other hand, activists from the Supply Chain Act Initiative protested in Berlin today and handed over a petition addressed to Chancellor Olaf Scholz with 90,248 signatures.

‘Whether in the coalition agreement or at the SPD debate convention: Time and again, the SPD is committed to an effective EU supply chain law. Chancellor Scholz has to show on European parquet that these are not lip service! This is what not only 130 organisations are calling for, but also 90,000 people who have signed our petition.”, commented Michelle Trimborn, spokesperson for the Supply Chain Act Initiative.

"An EU supply chain law is only effective if those affected by human rights violations have a realistic chance to claim damages from the companies responsible in the EU. The devastating dam breach in Brumadinho and the fires in Asian textile factories have shown: Certificates and industry standards are not guarantors of human rights and must not exempt companies from liability. The Federal Government must withdraw its demands for such loopholes.”, emphasised Pirmin Spiegel, Managing Director of Misereor.

“In the textile industry, 85% of greenhouse gases and environmental damage occur at the beginning of production. An effective supply chain law must therefore take effect from the very first fibre and cover all production steps. Chancellor Scholz, together with the coalition partners, must ensure the sanctionability of the climate due diligence obligations along the entire supply chains and thus establish a central lever in the fight against the climate crisis and natural destruction.”, requests Martin Kaiser, Managing Director of Greenpeace Germany.

"The EU Supply Chain Act must oblige all companies along the entire value chain to protect human rights. It must be effective, for example, if supplies of aviation fuel to Myanmar can contribute to war crimes. There must be no exceptions for important business areas such as arms exports or financial investments. It is only through comprehensive regulation that the European Union can set standards worldwide.”, underscores Markus Beeko, Secretary General of Amnesty International in Germany.

Last Thursday, the Federal Government voted in favour of the joint draft at the meeting of the relevant EU Council of Ministers on Competitiveness in Brussels. Among other things, it provides that European companies should also be civilly liable for damages caused by non-compliance with human rights due diligence obligations in their supply chain. Full due diligence is not limited to the first link in the supply chain. In addition to human rights, companies should also respect environmental standards and draw up climate plans. The EU Supply Chain Act would thus go well beyond the German Supply Chain Act, which enters into force on 1 January 2023.

The German government had campaigned in advance for arms exports and financial investments to be exempted from the law and for companies that do not implement their climate plans not to be sanctioned. These positions are now also reflected in the EU Council decision. On the other hand, the Federal Government could not prevail by attempting to include a so-called ‘safe harbour clause’ in the decision text – a kind of free pass for companies that use certain certifications or participate in industry standards. According to the Federal Government, these should generally exempt companies from possible reparation for damage they have caused negligently. This has led to strong criticism from civil society. Nevertheless, the Federal Government, under pressure from the FDP, adheres to this demand.

What's next?

The EU Parliament has announced its position on the EU Supply Chain Act next spring. Negotiations between the European Parliament, the European Commission and the Council, known as the ‘trilogue’, then begin. FEMNET, Misereor, Greenpeace Germany and the German section of Amnesty International are among the more than 130 organisations that have joined forces to form the Supply Chain Act initiative.

FEMNET accompanied the signature handover

Executive Boardwoman Franziska Wiethold is taking part in the action in front of the Federal Chancellery on 6 December 2022. © FEMNETFEMNET also took part in the protest campaign and handed over signatures to the Federal Chancellery. Executive Boardwoman Franziska Wiethold personally accompanied the action.

CEO Gisela Burckhardt adds with the statement: ‘The EU Supply Chain Act goes beyond German law in some respects, which is very gratifying. This covers the entire supply chain and not just the direct suppliers. However, the FDP's attempt to obtain a free pass for all companies that can be certified or belong to a multi-stakeholder initiative (MSI) is extremely threatening. For over 20 years, there have been certifications that have not led to better working conditions. Here, the federal government must not give in to the pressure of the business lobby in any case.“

 

Press contact

Supply Chain Act initiative: Johannes Heeg,
Tel.: +49 (0)151 10 61 13 46,
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FEMNET: Anne Munzert
Tel.: +49 (0)228 18 03 81 16
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The Supply Chain Act initiative is supported by:
Amnesty International Deutschland, Arbeitsgemeinschaft der Eine Welt-Landesnetzwerke in Deutschland e.V. (agl), Brot für die Welt, Bund für Umwelt und Naturschutz Deutschland e.V. (BUND), Romero Initiative e.V. (CIR), CorA Network for Corporate Responsibility, German Trade Union Confederation (DGB), European Center for Constitutional and Human Rights (ECCHR), FEMNET e.V., Forum Fairer Handel e.V., Germanwatch e.V., Greenpeace e.V., INKOTA-netzwerk e.V., Misereor e.V., Oxfam Deutschland e.V., SÜDWIND e.V., ver.di - United Services Union, WEED - World Economy, Ecology & Development e.V., Weltladen-Dachverband e.V., Werkstatt Wirtschaft e.V.