Companies with more than 1,000 employees with a turnover of more than 450 million euros will now be affected.
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Gathered in session, MEPs will vote on Wednesday April 24, at midday, for a European law which will require multinationals to ensure respect for social and environmental rights on all their manufacturing chains. A vote on the symbolic date: that of the Rana Plaza tragedy.
It was 11 years ago, April 24, 2013: the collapse of a building in Bangladesh, in which 1,134 workers working for European brands died, had become the tragic symbol of the excesses of the textile industry. Four years later, France became the first country to pass a law imposing a “duty of vigilance” on companies with more than 5,000 employees. At the end of a long legislative battle, this law will therefore extend to all of Europe and to non-European multinationals. And the threshold to be concerned is lowered to 1,000 employees with a turnover greater than 450 million euros.
Sanctions of up to 5% of global net turnover
This “duty of vigilance” requires them to ensure that their activities, those of their suppliers and their subcontractors do not infringe on human rights – forced labor, poor safety conditions, child labor – or environment – deforestation or for example excessive consumption of water to the detriment of local populations.
“This is a legal revolution because victims will be able to file complaints and sanction companies“, underlines the MEP of rebellious France Manon Aubry, who fought hard in favor of this legislation. Sanctions which could reach 5% of the global net turnover of a company which has not respected its obligations.
However, to achieve this text, negotiations were long and difficult between supporters of the strict defense of human and environmental rights, and certain States keen not to impose too many constraints on their industrial champions. The battle was Homeric, the text was amended and reduced several times, but it has the merit of existing, underlines Nicolas Schmitt, former European Commissioner for Social Rights, and current head of the socialist list in the European elections: “We cannot turn a blind eye to children in the mines, this is not Europe!” Once voted on, this directive must be transposed into French law for application in 2026.