What EU Corporate Sustainability Due Diligence Directive (EU) 2024/1760 - Article 12: Stakeholder Engagement and Meaningful Consultation requires
Article 12 of the EU Corporate Sustainability Due Diligence Directive (CSDDD, 2024/1760) requires companies to engage in meaningful consultation with stakeholders when carrying out due diligence under the Directive. Companies must consult with potentially affected persons and groups, including workers and their representatives, before taking measures to prevent potential adverse impacts (Article 8), implementing remediation measures (Article 10), developing their transition plan (Article 16), and preparing their annual due diligence communication. Meaningful consultation requires that: (a) stakeholders have access to timely, relevant, and understandable information about the company's due diligence approach and its potential impacts; (b) stakeholders are given a genuine opportunity to comment before decisions are taken; (c) the company genuinely considers and incorporates stakeholder input; (d) consultation is conducted in good faith without a predetermined outcome. Where potentially affected persons cannot be directly reached (e.g., in conflict-affected areas or where direct access is restricted), companies may consult with civil society organisations or other relevant proxies. The consultation obligation applies to both own operations and value chain business relationships.
Pillar: Sustainability & ESG · Authority: European Parliament and the Council of the European Union · Version: 2.0.0 · Last updated:
Primary source: https://eur-lex.europa.eu/legal-content/EN/TXT/HTML/?uri=CELEX:32024L1760
SHA-256 integrity: e3fbb3f24f9154449178c3b0ddae270305e7e63c05d56fb9894855ff37cf96a3
Primary Citations — 8 traced to source
- Article 12 — EU CSDDD Directive (EU) 2024/1760 - Article 12: Meaningful Stakeholder Engagement
- Article 14 (broader stakeholder engagement obligations that complement Article 12) — EU CSDDD Directive (EU) 2024/1760 - Article 14: Engagement with Stakeholders
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