The European Commission today published a proposal for a directive which would define new requirements on large European companies to report on environmental, social and governance matters.*

Reacting to this proposal, European Trade Union Confederation Confederal Secretary Isabelle Schömann said:

“A Sustainability Reporting Directive would help to implement a single set of mandatory reporting standards for European companies. The ETUC would favour a more ambitious proposal which strengthens social responsibility and gives a say to trade unions and the workforce, especially on social sustainability including fair wages, health and safety and training.”

The Directive on Sustainability Reporting, replacing the Directive on Nonfinancial Reporting, would establish a procedure for defining a single set of European reporting standards and require large European companies and companies (listed on an EU-regulated exchange) to publish sustainability information as part of their annual management report.

This information would also have to be audited. While this represents an advance over the current Directive the proposal falls short of a number of key ETUC demands:

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