EU CSRD: Which Countries Have Implemented? – Corporate and Company Law
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The Corporate Sustainability Reporting Directive significantly extends the amount of sustainability information that companies must report, building on the minimum level of sustainability…
European Union
Corporate/Commercial Law
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The Corporate Sustainability Reporting Directive significantly
extends the amount of sustainability information that companies
must report, building on the minimum level of sustainability
reporting obligations under the EU Non-Financial Reporting
Directive*. It also significantly expands the number of companies
currently required to report on sustainability.
These companies will be required to report on sustainability
annually in their management reports according to European
Sustainability Reporting Standards, with reports subject to an
external audit. Social reporting requirements will require in-scope
employers to report on working conditions, equal treatment and
child and forced labour. This applies to both the workforce and
workers in the value chain. Governance reporting requirements will
require reporting on the composition of and diversity within the
board of directors and management, together with information about
management incentive schemes linked to sustainability matters. In
scope companies will need to report a significant amount of
employee-related information and therefore need to involve
HR/people managers, as required. The new rules will take effect in
four stages between 2024 and 2029.
Member States had until 6 July 2024 to implement the directive.
Our implementation map shows the current status of transposition of
the directive’s provisions into local laws.
*It should be noted that in February 2025, the EU proposed
reduced sustainability reporting rules for a large majority of
businesses (known as the ‘Omnibus Package’), responding to
criticism that EU red tape hinders competitiveness with foreign
rivals. On 14 April 2025, the so-called ‘Stop the Clock’
directive was adopted. This postpones the dates of application of
certain corporate sustainability reporting requirements under the
CSRD. The other proposals contained in the Omnibus Package have not
yet been adopted and as such, the above information
relates to the current position. We will keep a watching brief on
these developments.
The content of this article is intended to provide a general
guide to the subject matter. Specialist advice should be sought
about your specific circumstances.
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