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EU Parl Watch

Where the law stands, Dossier 2025/0045(COD)

Corporate sustainability reporting and due diligence requirements

Amending Directives 2006/43/EC, 2013/34/EU, (EU) 2022/2464 and (EU) 2024/1760 as regards certain corporate sustainability reporting and due diligence requirements

· First reading

A proposed EU law. Parliament and the Council must agree on the same text: Parliament adopts its position, then negotiates with the Council.

Where it stands

Published as law

Completed: published in the Official Journal on 26 February 2026 and now EU law.

  1. Referred to committee(done) 31 March 2025
  2. Committee work(done) Report adopted 13 October 2025
  3. Tabled for plenary(done) 17 October 2025
  4. Negotiations with the Council(done) Deal approved in committee 11 December 2025
  5. Plenary vote(done) Adopted 16 December 2025
  6. Published as law(done) 26 February 2026

Decided in plenary

16 December 2025 · decision 8

Economy & single market, New EU law

Corporate sustainability reporting and due diligence requirements

Passed 428 for · 218 against · 17 abstained by a large majority

AI summary:The proposal aims to simplify and reduce the burden on EU enterprises, while maintaining human rights and environmental standards.

13 November 2025 · decision 3

Economy & single market, New EU law

Certain corporate sustainability reporting and due diligence requirements

Passed 382 for · 249 against · 13 abstained by a clear majority

AI summary:The proposal amends EU rules on corporate sustainability reporting and due diligence, aiming to simplify and reduce burdens on companies.

What changed

  • Tabled for plenary → Adopted by Parliament

    AI summary:Raises employee thresholds for sustainability reporting from 1000 to 1750 across multiple articles and recitals. Deletes transition plan obligations and related provisions from Directive (EU) 2024/1760, including Articles 22 and 1(1)(c). Adds exemptions for financial holding undertakings and transition periods for acquisitions, and protects trade secrets. Adds flexibility in due diligence, including prioritisation of impacts and optional last-resort measures, and removes penalty caps. Other changes are formal or wording: amendment headers, minor formatting, and punctuation.

    See the changes →

  • Committee draft → Tabled for plenary

    AI summary:Lowers employee thresholds for sustainability reporting from 3000 to 1000 across individual, consolidated, and third-country scopes. Raises due diligence thresholds to 5000 employees and EUR 1.5 billion turnover, and adds transition periods for acquisitions. Replaces mandatory sector-specific standards with voluntary guidelines and adds provisions on trade secrets, default values, and digital portal. Modifies due diligence obligations, including prioritisation, suspension, and stakeholder engagement, and clarifies transition plan obligations. Other changes are formal or wording: updates to recitals, cross-references, and procedural details.

    See the changes →

Who works on it

Lead committee
Legal Affairs
Jörgen Warborn (EPP)
René Repasi (S&D), Pascale Piera (Patriots), Tobiasz Bocheński (ECR), Pascal Canfin (Renew), Kira Marie Peter-Hansen (Greens), Arash Saeidi (The Left), Mary Khan (ESN)
Committees giving an opinion

The text, version by version

Newest first.

  1. Adopted by Parliament· 16 Dec 2025

    Adopted text TA10-0324/2025

    AI summary:Parliament's amended version of the proposed directive amends EU rules on corporate sustainability reporting and due diligence. It adjusts the scope and timing of reporting obligations and due diligence requirements for companies.

    What changed since Adopted text TA10-0264/2025 →

  2. Adopted by Parliament· 13 Nov 2025

    Adopted text TA10-0264/2025

    AI summary:Parliament's amended version of the proposal amending EU rules on corporate sustainability reporting and due diligence. It raises employee and turnover thresholds for reporting obligations, removes certain requirements, and adjusts due diligence rules.

    What changed since Report A10-0197/2025 →

  3. Tabled for plenary· 17 Oct 2025

    Report A10-0197/2025

    AI summary:Parliament's amended version of the proposal amends corporate sustainability reporting and due diligence rules. It raises employee and turnover thresholds for reporting obligations, exempts financial holding undertakings, and adjusts due diligence requirements.

    What changed since Draft report (JURI) →

  4. Committee draft· 6 Jun 2025

    Draft report (JURI)

    AI summary:The draft report proposes amendments to a Commission directive on corporate sustainability reporting and due diligence, raising employee thresholds and adding turnover criteria.

Committee opinions: Opinion (ENVI), Draft opinion (AFET), Opinion (ECON), Draft opinion (EMPL), Opinion (INTA), Opinion (EMPL), Opinion (AFET)

Timeline

Newest first.

Outcome 2 steps
  1. 26 February 2026

    Published in the Official Journal

    The act is now EU law.

  2. 24 February 2026

    Signed by the Presidents of Parliament and the Council

    The last step before the act is published in the Official Journal.

Plenary stage 1 step
  1. 16 December 2025

    Plenary vote

    Sitting of 16 Dec 2025 Adopted text TA10-0324/2025Report A10-0197/2025

Negotiations with the Council 1 step
  1. 11 December 2025

    Committee approved the deal reached with the Council

    The provisional agreement from the trilogues goes to the whole Parliament for a vote.

    JURI-AG-781395

Plenary stage 1 step
  1. 11 December 2025

    24 amendments tabled for the plenary vote

    Groups propose changes to the tabled text; each is voted on before the final vote.

    Amendment 401Amendment 402Amendments 403–411Amendments 412–421Amendments 422–423Amendment 423

Negotiations with the Council 3 steps
  1. 8 December 2025

    Trilogue meeting

    Negotiation between Parliament, Council and Commission on a common text.

  2. 18 November 2025

    Trilogue meeting

    Negotiation between Parliament, Council and Commission on a common text.

  3. 13 November 2025

    Parliament opened negotiations with the Council

    After its vote Parliament sent the file back to committee, so that its negotiators can seek a compromise text with the Council (in “trilogues”).

Plenary stage 3 steps
  1. 13 November 2025

    Plenary vote

    Sitting of 13 Nov 2025 Adopted text TA10-0264/2025Report A10-0197/2025

  2. 4 November – 11 November 2025

    368 amendments tabled for the plenary vote

    Groups propose changes to the tabled text; each is voted on before the final vote.

    Amendments 1–119Amendment 120Amendment 121Amendment 123Amendment 126Amendment 128Amendments 130–137Amendments 138–139Amendment 140Amendments 142–143Amendment 146Amendments 148–149Amendments 150–154Amendments 157–159Amendments 162–165Amendment 167Amendment 169Amendments 172–179Amendments 180–189Amendments 190–194Amendment 196Amendment 199Amendment 201Amendment 203Amendment 205Amendments 207–208Amendment 210Amendment 212Amendment 215Amendment 217Amendment 219Amendments 221–230Amendments 231–240Amendment 241Amendments 243–248Amendments 251–254Amendments 255–258Amendments 259–264Amendments 265–266Amendments 267–276Amendment 273Amendments 277–278Amendments 279–288Amendments 289–298Amendments 299–308Amendments 309–316Amendments 317–326Amendments 327–336Amendments 337–346Amendment 347Amendments 347–348Amendments 349–358Amendments 359–368Amendments 369–378Amendments 379–388Amendments 389–391Amendments 392–396Amendment 397Amendment 398Amendment 399Amendment 400

  3. 22 October 2025

    Plenary vote

    Sitting of 22 Oct 2025

Other steps 1 step
  1. 22 October 2025

    Plenary did not endorse the committee’s decision to open negotiations

    The committee’s mandate to negotiate with the Council was challenged and rejected; the whole Parliament votes on its position first.

Plenary stage 1 step
  1. 17 October 2025

    Report tabled for plenary

    This is the text all MEPs vote on. Political groups can still table amendments to it.

    Report A10-0197/2025

Committee stage 11 steps
  1. 13 October 2025

    Committee vote: report adopted

    JURI (Legal Affairs) voted on the amendments and adopted the report that goes to plenary.

  2. 4 September 2025

    EMPL (Employment and Social Affairs) adopted its opinion

    The opinion is attached to the report for the lead committee to consider.

    Opinion (EMPL)

  3. 15 July 2025

    ECON (Economic and Monetary Affairs) adopted its opinion

    The opinion is attached to the report for the lead committee to consider.

    Opinion (ECON)

  4. 15 July 2025

    AFET (Foreign Affairs) adopted its opinion

    The opinion is attached to the report for the lead committee to consider.

    Opinion (AFET)

  5. 15 July 2025

    INTA (International Trade) adopted its opinion

    The opinion is attached to the report for the lead committee to consider.

    Opinion (INTA)

  6. 15 July 2025

    ENVI (Environment, Climate and Food Safety) adopted its opinion

    The opinion is attached to the report for the lead committee to consider.

    Opinion (ENVI)

  7. 4 July – 9 July 2025

    Amendments tabled in committee (4 batches)

    Members of JURI (Legal Affairs) proposed changes to the draft.

    Amendments in committee (JURI)Amendments in committee (JURI)Amendments in committee (JURI)Amendments in committee (JURI)

  8. 6 June 2025

    Draft report published

    The rapporteur’s first text in JURI (Legal Affairs). Members can table amendments before the committee votes.

    Draft report (JURI)

  9. 20 May 2025

    Draft opinion from EMPL (Employment and Social Affairs)

    An associated committee gives its view to the lead committee.

    Draft opinion (EMPL)

  10. 14 May 2025

    Draft opinion from AFET (Foreign Affairs)

    An associated committee gives its view to the lead committee.

    Draft opinion (AFET)

  11. 31 March 2025

    Referred to the JURI (Legal Affairs) committee

    The lead committee prepares the report; ECON (Economic and Monetary Affairs), ENVI (Environment, Climate and Food Safety), INTA (International Trade), EMPL (Employment and Social Affairs), AFET (Foreign Affairs) give an opinion.

Official record: Legislative Observatory, 2025/0045(COD)