Good governance is one of the central cross-cutting themes of the World Economic Forum (WEF). These days, it is becoming clear how important it is not only to communicate one's own values to the outside world and to publicize them effectively, but also to live them consistently internally and implement them resolutely.

The presumption of innocence applies - but the latest reports do not shed a good light on the founder and the activities of the high-caliber Foundation Board. Once again, it seems to be evident: Living up to one's ambitions and aspirations is one of the greatest challenges facing any institution and leader. There is a certain tragedy when, in the event of failure, an extraordinarily commendable life's work and a highly renowned institution are covered with a lasting shadow.

#governance #corporateresponsibility #sustainability #esg

The EU Omnibus Simplification Package provides a significant reduction in the regulatory requirements for sustainability reporting - both in terms of the group of companies affected as well as the reporting items and due diligence obligations. What consequences does this have for Swiss companies?

👉 The EU Commission's proposals primarily concern the CSRD, CSDDD and the EU Taxonomy Regulation, as well as the ESRS and the VSME standard downstream. The ESRS are to be revised and simplified. With the exception of large companies with more than 1,000 employees, which were already required to report under the NFRD, the implementation obligation will be postponed by two years. For affected companies based outside the EU, the reporting obligation will remain in place from 2029 for the 2028 financial year.
👉 In Switzerland, the provisions of CO 964a ff. and the TCFD recommendations, which have now been integrated into international standards, continue to apply to large public interest entities. The Federal Council plans to allow climate reporting in accordance with recognized international standards in future. Switzerland is also likely to align its regulations on sustainable corporate responsibility with the EU omnibus package.
👉 The reduction in compliance pressure gives companies greater scope to focus their attention on the substance of their sustainable transformation.
👉 Challenges such as climate change, environmental hazards and social inequalities remain. The pressure to provide standardized ESG data from large customers, investors, rating agencies and consumers continues to be high.
👉 For medium-sized and smaller companies, orientation towards the Voluntary SME Standard (VSME) can be a sound strategy to prepare for future developments.

#sustainability #esg #reporting #corporateresponsibility 

The EU Commission has announced that it will present the so-called Omnibus Simplification Package on February 26, 2025. The aim of the package is to simplify the existing regulations on sustainability reporting and reduce bureaucratic requirements. The focus will be particularly on the Corporate Sustainability Reporting Directive (CSRD), the Corporate Sustainability Due Diligence Directive (CSDDD) and the EU Taxonomy Regulation.

Prior to publication, there is speculation about the following possible simplifications in particular:
👉 Harmonisation of the scope of application of the CSRD and CSDDD: In future, the reporting obligation under the CSRD/ESRS should no longer apply to companies with 250 employees, but only from 1,000 employees.
👉 Introduction of a new mid-cap category with simplifications for companies with 250-1,500 employees and further postponement of the reporting obligation by 1-2 years.
👉 Reduction of due diligence obligations in supply chains so that companies only have to audit their direct suppliers and no longer the entire supply chain.
👉 Re-introduction of mandatory and voluntary topics, whereby the principle of dual materiality should apply to the mandatory topics.
👉 Deferral of sector-specific standards
👉 Abandonment of the principle of dual materiality in favour of single materiality (financial materiality) to align with IFRS/ISSB standards.
👉 Easing the requirements or even abolishing assurance.
👉 Possible postponement of the announcement to March 2025 due to differing opinions within the EU member states on the proposed amendments

#sustainability #esg #reporting #corporateresponsibility