How the EU’s CSDDD strengthens long-term resilience for businesses

French President Emmanuel Macron’s recent call to scrap the CSDDD risks exposing people and businesses to modern slavery abuses.

This follows years of negotiations and a hard-won political agreement between EU member states.

The directive was designed to provide consistent, harmonised laws on human rights and environmental due diligence across the EU.

It reduces legal uncertainty, ensuring companies are not left to navigate a patchwork of national regulations.

Without the CSDDD, businesses face a confusing policy environment and intensifying pressure from investors, consumers, and civil society.

The CSDDD is a proactive framework that helps businesses identify and address human rights and environmental risks before harm occurs.

Action then needs to be taken to prevent and remediate human rights and environmental harms.

A forward-looking approach gives responsible businesses a competitive edge.

As the United Nations has warned, failing to act early worsens the risk over time. This increases reputational, legal, and financial risk.

A reactive approach means companies only respond once damage has already been done. This exposes them to lawsuits, public backlash, and regulatory penalties.

By embedding due diligence into core business operations, the CSDDD helps companies to:

• protect workers, communities and the environment,
• future-proof their supply chains,
• build stakeholder trust,
• and meet growing expectations for responsible corporate conduct.

This is not only an ethical obligation but is also a competitive advantage.

Clear and consistent EU-wide laws will reward businesses already investing in ethical practices while holding those who don’t comply to account.

This levels the playing field and gives companies legal certainty to plan for the long term.

With global scrutiny on human rights and environmental abuses in supply chains increasing, the CSDDD provides a much-needed roadmap for stronger corporate governance and sustainable growth.

Companies that lead on due diligence will be better prepared to manage risk, access capital, and maintain their social licence to operate.

Delaying or weakening the CSDDD would be a setback not only for human rights but for the EU’s credibility as a global leader in sustainability and corporate responsibility.

Walk Free calls on all EU member states to honour their commitment to this directive and vote to uphold the CSDDD.

It’s time to show that strengthening human rights is not a barrier to business – it’s a foundation for long-term success.