Supply Chain Act: legally compliant with Integrity Service
The new law on the protection of human rights in global supply chains presents companies with new challenges. They are obliged to identify and minimize grievances and set up a whistleblower system. In cooperation with LegalTegrity, the pme Familienservice offers a low-threshold whistleblower system that meets the requirements of the EU directive.
What does the new Supply Chain Act cover?
The Supply Chain Due Diligence Act (LkSG) comes into force on January 1, 2023. This will regulate corporate responsibility for compliance with human rights in global supply chains for the first time.
From this point onwards, companies are obliged to trace production processes and working conditions in their supply chains that violate human rights and to take measures to identify, minimize, prevent or end abuses. This applies not only to their own company, but also to the business units of suppliers and upstream suppliers.
Who is affected by the Supply Chain Act?
The law will initially apply from January 1, 2023 to companies with at least 3,000 employees and with their head office, main branch, administrative headquarters, registered office or branch office in Germany.
From January 1, 2024, the law will also apply to companies with at least 1,000 employees in Germany.
What do companies need to do now?
The new Supply Chain Act brings new requirements for the companies concerned. In addition to carrying out a risk analysis and implementing an appropriate risk management system that identifies human rights and environmental risks, the establishment of a complaints procedure within the company is mandatory. The complaints procedure is intended to enable information on risks and legal violations and is equivalent to the obligation of a whistleblower system.
Further information on the new Supply Chain Due Diligence Act can be found here.
Our offer: the Integrity Service of the pme Familienservice
Together with the software provider "LegalTegrity", the pme Familienservice offers a solution tailored to your needs, with which you are set up in a legally secure and modern way.
In combination with pme's 24-hour hotline, LegalTegrity's whistleblower system represents a low-threshold whistleblower system that meets the requirements of the EU Directive.
You have the option of booking different packages with us. With the Guide, you have installed the legally required basic equipment in your company. The other packages provide you with valuable additional services to professionally deal with grievances and conflicts in your company and to support affected employees. Because beyond formal information, it is people who are affected or can become affected if the appropriate support is lacking.
Optional services before and after
These services are optional and ensure an ideal process when setting up a whistleblower protection system.
Preliminary phase
- Joint development of a Code of Conduct based on our proposals
- Training of internal confidants/recipients of information
- Training of managers, HR, works council members and employees
- Development and implementation of a thematic campaign with intranet articles, information material, newsletters, etc.
Analysis phase (after at least 12 months of concrete implementation phase of the system)
- Joint analysis and identification of topic clusters
- Tailor-made action planning of presentations, consulting and training offers
- Development and implementation of a thematic campaign with intranet articles, information material, newsletters, etc.
What else do you benefit from with us?
Why should a company take care of this?
Even if setting up a reporting office initially involves a lot of effort, it can be an opportunity for companies to become aware of irregularities in their own company at an early stage. High fines or reputational damage can thus be prevented. The directive therefore not only protects employees from the negative consequences of whistleblowing. Companies also benefit from a positive error culture that creates transparency and fairness.
Would you like to receive a customized offer for your company?
Contact your pme business customer support team for individual advice and a tailor-made service package.
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