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Parliamentary Proposal for supply chain law for a social, human rights-compliant and sustainable production method

Austria Forthcoming 2021

The motion calls on the government to submit a legislative proposal for a Supply Chain Act and sets out the standards for it. These include due diligence obligations and due diligence verification obligations that are to apply to all companies that market products or offer services in Austria and reach a minimum turnover that is yet to be defined. All the internationally recognized human and labor rights, as well as environmental and climate standards, are to be observed. The steps are to be carried out annually and before any new international economic activity is commenced. These include risk analysis, follow-up measures on the part of the company, and an effectiveness review to ensure that the measures are successful. Risk analysis, follow-up measures and effectiveness reviews and reports received on rights affected must be published in the annual report. Companies must set out how they will deal with violations or complaints in advance

Issuer name

Austrian Parliament

More information

Scope of the due diligence and due diligence obligations: Both must apply to all companies that place products on the market or offer services in Austria and achieve an annual minimum turnover that has yet to be defined. All internationally recognized human and labor rights as well as environmental and climate standards must be observed. The UN guiding principles for business and human rights, as well as the OECD guidelines for multinational companies and the sector-specific guidelines of the OECD, can be used as a basis; these must be adapted accordingly and cast into robust law.

Status

Forthcoming

Country

Austria

Region

Europe

Date of publication

2021

Issuer type

Governments (governmental department, agency)

Mandatory or voluntary

Mandatory

The geographical scope

National/federal

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