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There is more clarity about the reporting format of the Supply Chain Due Diligence Act (SCDDA). The Federal Office of Economics and Export Control (BAFA) presented its catalogue of questions on reporting on October 14, 2022. An online input mask based on a PDF survey will be available in spring 2023. The catalogue of questions will finally provide more clarity on how compliance with the LKSG must be reported.
Here you find all information you need about the Supply Chain Due Diligence Act (SCDDA) and the latest update.
The Supply Chain Due Diligence Act (SCDDA) comes into force on 1 January 2023. This rule applies to all industries in Germany and mandates that companies with more than 3,000 employees operating in Germany. They must work to prevent or reduce any violations of human rights and environmental regulations in their supply chains. From 2024, the Act will additionally apply to enterprises with at least 1,000 employees in Germany.
If your company falls under this scope of the law, you are required to regularly publish a report on your compliance with the due diligence obligations outlined in the law.
You would have to prepare an annual report on the fulfilment of your due diligence obligations in the past financial year. Also, you must submit this report to the Federal Office of Economics and Export Control (BAFA) no later than four months after the end of the financial year. Furthermore, the report must be made publicly available on your company's website.
The report is generated from the answers to a structured questionnaire. The questionnaire contains open and closed questions, as well as multiple-choice options. By completely and truthfully answering the questionnaire and by publishing the generated report on the company's website, you are complying with your reporting obligations.
At Daato, we integrated the questionnaire and valuable additional information smoothly into your sustainability reporting dashboard. We link the information required to other reporting standards you already comply with. That way, you have no double entries of the same information, which saves you time and improves consistency along all reporting standards.
The following points need to be reported due to the Supply Chain Due Diligence Act:
A – Strategy and anchoring:
B – Risk analysis and preventive measures:
C – Violation Findings and Remedial Actions:
D – Complaints procedure:
E – Risk management assessment and conclusions:
The reports are to be submitted annually to the Federal Office for Economic Affairs and Export Control (BAFA). According to recent updates, companies will soon be able to submit their reports electronically to BAFA.