Responsible Companies, Frank Bold

It may sound appealing to some companies on the surface, but European Commission’s President Ursula von der Leyen's recent statements concerning an #Omnibus proposal risk creating more chaos than clarity. Take the recent actions by the President's party, the EPP Group in the European Parliament on the Deforestation Regulation as a case in point. Instead of adhering to the agreed delay, they turned the legislation upside down in the European Parliament giving preference to wood imports from China instead of Finland. The potential fallout of reopening these legislations is immense. Who can predict the actions of the new #US administration ? Lobbying pressures and outright extortion add layers of uncertainty that nobody can afford. Amidst these political debates, let’s not lose sight of the critical goals of #CSRD and #CSDDD. These regulations are designed to help companies identify key issues for climate transition and address severe value chain impacts. Yet many businesses feel anxious or pushed toward overcompliance (a reflection of inexperience with such frameworks). They require adequate support and guidance, and above all, legal stability. What’s important to remember: 👉 There’s an inevitable learning curve for companies. 👉 Implementation can and should be simpler than it’s sometimes portrayed. 👉 The biggest challenges come at the beginning but will ease after one or two reporting cycles. Smart implementation is the way forward. Let’s approach this with clarity, collaboration, and pragmatism.

Several German ministries led by the Socialist and Green parties have sent a letter to the EU Commission with the objective of rolling back European legislation on corporate sustainability reporting. See our response below! This legal framework will be applicable to 27 EU Member States as of January 1st, 2025, but German parties, immersed in electoral and political infighting, are using this legislation to promise quick, but dysfunctional solutions. Companies across the EU (and globally) are already preparing and investing to comply with the EU CSRD and the sustainability standards. Certain countries like Denmark, Sweden and Spain had already expanded the previous legislation to incorporate more companies to report on sustainability data. The attempts coming from Germany are undermining other Member States’ efforts that are focusing their attention on supporting companies instead of confusing them and creating major legal uncertainty. Regarding the content of their letter, German ministries prepared a set of proposals without engaging with relevant internal and external experts, proposing a sort of ‘magic potion’ that completely misses the point (or directly and intentionally misleads) how the CSRD and EU standards have been built. The EU standards are by nature a business tool for companies to identify and address their sustainability risks and impacts from a strategic perspective. They address a market failure to deliver convergence and consolidation between different frameworks and standards. Moreover, the conflation of proposals from German ministries would break the information system between companies that has been established in European legislation, based on international standards. Sustainability reporting is the basis of a sustainable finance system whose purpose is to direct capital towards transition and innovation. With this framework, companies are guided to focus on what is really relevant for them, ensuring comparability and curbing greenwashing. The CSRD system is key to ensure a level playing field, requiring transparency from non-EU companies and supporting EU manufacturing against unfair competition that does not respect fundamental human rights and environmental standards. This reaction has been prepared by Frank Bold and is supported by WWF EU.

🎁🎙 The last #FranklySpeaking podcast recap of the year is here! Wow, what a year! In 2024, we have grown our audience and we reached new milestones. We accumulated over 30,000 downloads, gained +107% followers and +85% listeners. Thank you for your continued support, please keep on listening and sharing our conversations! 🤩 Catch up on our latest thought-provoking discussions and experts insights on #ESG, corporate #reporting, business and #HumanRights. The entire Frank Bold team wishes you a lovely end of the year! 🌟

🚨 A call for smart implementation of EU sustainability rules over disruptive U-turns We have joined forces with 90+ organisations representing civil society, business, banks and investor interests to publicly respond to the recent #omnibus proposal announcement by the European Commission's President, Ursula von der Leyen. At a moment where European leaders are seeking to boost competitiveness and attract major financing to support companies’ sustainability transition, the statement shared with EU and national policy-makers emphasises:  1️⃣ The role of the EU sustainability legal framework as a catalyst for economic transformation 2️⃣ Companies’ need for legal certainty over short-sighted political reactions 3️⃣ The importance of promoting a pragmatic implementation that prevents over-compliance approaches 4️⃣ The risk-based nature and built-in flexibility of the EU standards  5️⃣ The need to protect the EU market and level the playing field globally 💪 We strongly encourage policymakers to focus on supporting a smart and easy implementation of EU sustainability reporting standards (#ESRS), instead of playing ping-pong with the legal framework. Read the full statement here: https://lnkd.in/dhiWeNmd

What should the #EU's industrial policy be to reduce its dependency on China? Tune in to the last #FranklySpeaking episode of the year to find out! 👇 As the world faces the dual challenges of addressing climate change and navigating geopolitical tensions, cooperation on #climate goals is under threat. China’s role in green technology has made it a vital player, but it is also increasingly seen as a rival, or even a threat, by other global powers. Electric vehicles (EVs) have become the latest flashpoint, with the United States and European Union imposing punitive tariffs on Chinese #EV imports, intensifying trade disputes. This week on the podcast, Richard Howitt welcomed Alicia Garcia-Herrero 艾西亞, chief economist for Asia Pacific at Natixis Corporate & Investment Banking and Senior Fellow at Bruegel - Improving economic policy. Drawing on her extensive expertise, Alicia discusses how the EU can navigate its growing reliance on Chinese green tech and craft a competitive industrial strategy. You will hear more about: 💡 China’s green tech dominance and contradictions in its decarbonization goals. ⚠️ The implications of global dependence on Chinese renewable energy technologies. 💲 The impact of trade wars and tariffs on China’s green tech monopoly. ‼️ Strategies for the EU to counterbalance China’s influence while advancing its sustainability goals. Leave your thoughts in the comments and share this conversation 🎧 ⬇ Spotify https://lnkd.in/dB7iw2Nc Apple Podcasts https://lnkd.in/dy7R9ZzY

🙋♀️ What is the state of play and the future of reporting under the Sustainable Finance Disclosure Regulation (SFDR)? Join our launch webinar on December 13 to get a preview of the key findings of our analysis on SFDR reporting, and look forward to hearing from: 🔸 Mathilda Loussert, Policy Officer, DG FISMA - European Commission 🔸 Pierre Garrault, Senior Policy Adviser, Eurosif - The European Sustainable Investment Forum 🔸 David Němeček Slonim, Senior Sustainable Finance Expert, Frank Bold 🔸 Filip Gregor, Head of the Responsible Companies section, Frank Bold The panel will also offer insights regarding the #SFDR review from DG FISMA and Eurosif. Register now 👇 https://lnkd.in/dWYtQAJB

📢 Joint Civil Society Statement on EFRAG’s Draft Guidance on Climate Transition Plans Together with 16 other civil society organizations, we have co-signed a statement raising some key concerns regarding EFRAG’s recently released draft guidance on climate transition plans. While the draft addresses the requirement for companies to report on Climate Transition Plans aligned with the 1.5C goal of the Paris agreement, its lack of clarity risks enabling greenwashing and undermining the #CSRD's goals of transparent, high-quality and decision-useful disclosures. ❗ We urge EFRAG to address these issues in the final version to better align with 🇪🇺 climate legislation, support the region’s sustainability ambitions, and provide the necessary clarity for companies and stakeholders. Read our joint call here 👉 https://lnkd.in/dc4BBSD9

What is the No. 1 foundation of human rights due diligence? What’s the elephant in the room when it comes to workplace culture? How do you know you have a strong workplace culture? Why is Article 7 of the EU CSDDD a pivotal piece of the puzzle? Human Level's Anna Triponel's delves into conversation with Richard Howitt on the #FranklySpeaking Frank Bold podcast 👇 We’d love to hear what you think about this episode! ☀️ Share your thoughts, experiences, and insights with us Let’s keep this important conversation going!

🗎 OUT NOW: Transposition Guide for the Corporate Sustainability Due Diligence Directive (#CSDDD)   FIDH - International Federation for Human Rights and its partners are delighted to release a joint guide developed by NGOs for NGOs, with the goal to support civil society organisations in the transposition and implementation phases of the CSDDD in EU Member States! The landmark text is the result of years of intense campaigning to obtain EU legislation that requires large companies to prevent and address their human rights and environmental impacts along their value chains. Following its publication in the EU Official Journal last June, states have two years to integrate the Directive into their national law. In light of that, the Guide provides insights and recommendations for national civil society groups on key priorities to address in the transposition process: 1️⃣Effective access to justice and reversal of the burden of proof; 2️⃣Meaningful, effective and continuous stakeholder engagement; 3️⃣Broader personal scope and alignment with international standards; 4️⃣Extended due diligence obligations covering all relevant parts of the value chain.   Read the Guide 👉 https://lnkd.in/e4PV_Erx    Developed in collaboration with European Coalition for Corporate Justice, Clean Clothes Campaign, European Center for Constitutional and Human Rights e.V. (ECCHR), @Frank Bold, Oxfam EU office, CIDSE, Anti-Slavery International and Friends of the Earth Europe.

As the UN Annual Forum on Business and Human Rights wraps up today, we’re diving into a pressing question: What are companies really doing to respect human rights? More importantly, is this less about policies and performance metrics and more about company culture, shaping not just what a business does, but how it operates at its core? This week in #FranklySpeaking, Richard Howitt is joined by Anna Triponel, a human rights expert with experience of working with hundreds of companies worldwide. Anna is the founder and CEO of Human Level, which works to “bring business back to the human level”. You’ll hear more about:  ➡️ How respecting #HumanRights goes beyond processes: it's about embedding them into the company culture ➡️ Why a strong culture means being open to uncomfortable truths ➡️ The pivotal role of a business leader's personality in fostering human rights respect ➡️ Article 7 of the #CSDDD and its implications for integrating human rights into corporate practices ➡️ Addressing human rights violations: how the #OECD guidelines and national contact points can mediate solutions that work for businesses Tune in, leave your thoughts in the comments and share this conversation 🎧 ⬇ Spotify https://lnkd.in/dZANMH_N Apple Podcasts https://lnkd.in/dh27n95a #UNForumBHR