Overview
- The federal cabinet approved a draft that eliminates company reporting under the 2023 due-diligence law and limits penalties to severe violations while keeping core duties in place.
- Berlin says the national rules will remain in force without interruption until EU legislation supersedes them, positioning the change as an interim step.
- Human-rights groups including Oxfam and Misereor condemned the plan as a dramatic hollowing-out of protections, and Greens warned of weakened transparency.
- Employers’ groups called the relief insufficient, with the BDA criticizing the continued burden and the BDI pushing for a full suspension until EU rules apply.
- The draft now proceeds to parliament as EU negotiations continue on narrower scope and lighter reporting, and NGOs objected to a one-day consultation window on the German changes.