Majority backs legislation regulating supply chains
In a recent survey conducted by Infratest and reported by "Zeit-Online", it was revealed that a large majority (75%) of Germans support a law that requires companies to uphold human rights in their supply chains. This figure is consistent across the population as a whole and among supporters of the Union, despite Federal Economics Minister Peter Altmaier (CDU) opposing the proposed law.
The survey, commissioned by the Initiative Lieferkettengesetz, which advocates for such a regulation at the federal level, also found that 91% of respondents believe it is the task of politics to ensure German companies respect human rights and social standards in their foreign business dealings. However, 22% of Germans oppose the proposed supply chain law.
The current status of Germany's supply chain law is in a state of transition. The existing German Supply Chain Due Diligence Act (LkSG) is being planned for abolition by the new German coalition government as of 2025. This will be replaced by a new law designed to implement the EU Corporate Sustainability Due Diligence Directive (CSDDD) in a streamlined manner.
The supply chain law could be put to a vote in the German cabinet on Wednesday, but its repeal and replacement are not yet finalized. Formal repeal requires Bundestag approval and cannot take effect before the EU directive is fully transposed into German law. In the meantime, the existing obligations remain technically in force but sanctions are suspended except for severe human rights violations.
The coalition government (CDU, CSU, SPD) has signed a coalition agreement to abolish the LkSG, suspend most reporting and fines except in grave cases, and integrate obligations into the future EU-based law, indicating political consensus at the federal level for reforming the framework. However, there is ongoing scrutiny and concern from human rights organizations such as Human Rights Watch, which are urging the government for clarity on legal enforcement and victims' remedies under the new law.
The survey results come at a time when the supply chain law has been postponed twice due to persistent differences. Despite these delays, the strong public support for the law underscores the importance of addressing human rights and social standards in global business practices. As the legislative process unfolds, it remains to be seen how the government will balance political consensus with the demands of human rights advocates.
- Other human rights organizations, like Human Rights Watch, are also urging the German government for clarity on legal enforcement and victims' remedies under the new policy-and-legislation that replaces the existing German Supply Chain Due Diligence Act (LkSG).
- The general-news surrounding the supply chain law shows a high level of public support, with 75% of Germans backing a law requiring companies to uphold human rights in their supply chains, despite political debates and the law's postponement twice due to differences.
