CSDDD Applicability
Is the company within the revised scope of the EU Corporate Sustainability Due Diligence Directive (CSDDD)?
About the data
This metric assesses whether a company falls within the scope of the EU Corporate Sustainability Due Diligence Directive (CSDDD).
The CSDDD is a law that requires large companies operating in the EU to implement due diligence processes to identify, prevent, mitigate, and account for adverse impacts on human rights, the environment, and good governance across their operations and value chains. It also mandates reporting on due diligence measures and risk management.
The CSDDD sets thresholds for inclusion based on company size and activity:
- EU-based companies meeting one of the following two thresholds in the previous fiscal year:
- €1.5 billion+ annual net turnover
- 5000+ employees
- Non-EU companies generating €1.5 billion+ in net turnover in the EU in the year preceding the last financial year
- Subsidiaries are aggregated with parent companies for assessment
Methodology
Steps for researchers:
- Company type and location: Check whether the company is EU-based or non-EU with EU operations.
- Employee and financial thresholds:
- EU-based companies meeting one of the following two thresholds in the previous fiscal year: €1.5 billion+ annual net turnover and/or 5000+ employees
- Non-EU companies generating €1.5 billion+ in net turnover in the EU in the year preceding the last financial year
- Non-EU companies: Verify EU turnover and presence of qualifying subsidiaries or branches.
Sources to consult:
- SOMO CSDDD Datahub
- CSDDD reports (this indicates they are in scope)
- Company annual reports and financial statements (for employees, turnover, and total assets)
- Sustainability / ESG reports (may indicate anticipated CSRD reporting)
- Regulated EU stock exchange listings (to check listing status and micro-enterprise exemption)
- National corporate registries (legal form, headquarters, subsidiaries, branches, sometimes employee counts)
- Company websites and investor relations pages (information on EU operations, subsidiaries, and branches)
License
Topics
Framework Mappings
Value Type
Category
Options
Yes
No
Assessment
Community Assessed
Report Type
Integrated Report