From Compliance to Resilience: What the Omnibus Vote Means for Procurement and Supply Chain Leaders

The European Parliament’s recent vote on the Omnibus I package provides a critical update on the ongoing development of the Corporate Sustainability Due Diligence Directive (CSDDD). This vote reflects the Parliament’s negotiating position in the upcoming trilogue discussions and incorporates changes that significantly narrow the proposed scope of the Directive.

The political dynamics behind the vote — secured through an alliance that excluded much of the political center — reflect a trend of rising caution regarding new compliance burdens. For many stakeholders, the outcome is seen not only as a step back in regulatory ambition but also as a signal of growing volatility in the EU’s sustainability agenda.

For procurement teams, the immediate takeaway might be perceived as a lighter compliance load — fewer formal obligations and reduced documentation requirements. However, supply chain risks do not diminish with political shifts. Human rights abuses, environmental degradation, and operational disruptions remain material risks, and expectations from investors, customers, and civil society continue to rise, regardless of legislative thresholds. The shift in the CSDDD scope may reduce administrative burden, but it does not diminish the need for robust, evidence-based due diligence. Strategic procurement today means looking beyond minimum requirements and investing in resilience, transparency, and long-term supplier engagement.

What Has the European Parliament Decided?

The changes to the scope — including raising the CSDDD thresholds to 5,000 employees and €1.5 billion in revenue — signal a strategic move away from a comprehensive due diligence duty across European supply chains. Furthermore, the removal of mandatory climate transition plans and the shift away from harmonized EU-level liability dilute the proposed reach of the legislation

Yet evidence from existing national laws shows that mandatory human rights due diligence is delivering meaningful improvements. Early assessments of Germany’s Supply Chain Act indicate positive effects in production countries, particularly driven by strengthened grievance mechanisms, clearer supplier expectations, and more consistent risk assessment processes. These advances demonstrate that structured due diligence can raise standards and create measurable benefits across value chains, even amid legislative uncertainty.

From Compliance to Strategy: The Case for Proactive Due Diligence

Companies that have already structured their supply chain due diligence systems in line with the CSDDD should not change course.

The business case for maturing these processes remains strong, even as the regulatory framework is negotiated. Organizations that choose to continue implementing risk-based, evidence-driven due diligence now will benefit in several ways:

• Competitive Differentiation: Gained through transparent and traceable supply chains that satisfy global B2B clients and consumers.
• Credibility with Key Stakeholders: Maintained with investors, customers, and civil society, who continue to expect responsible business conduct.
• Early Regulatory Readiness: Positioning the company well should legislative ambition increase following trilogue negotiations or future policy cycles.
• Stronger Supplier Relationships: Supported by clearer expectations, consistent engagement, and capacity-building programs.

In short, proactive action today can prevent more costly corrective measures tomorrow. Responsible procurement is increasingly recognized as a strategic capability — not simply a compliance obligation.

Conclusion: Staying on Course Despite Uncertainty

The Parliament’s vote provides a clearer look at one party’s position in the CSDDD negotiations. The final text will be shaped in the upcoming trilogue negotiations with the Commission and the Council.

For procurement leaders, however, the underlying expectations remain constant: responsibility does not diminish with changing thresholds, and transparency continues to shape market and stakeholder expectations.

Companies that define their own level of ambition — rather than waiting for final regulatory clarity — will be better positioned to navigate volatility, build resilient supply chains, and lead in the evolving landscape of sustainable procurement.

If you’d like more information on the Omnibus developments, EcoVadis is hosting a three-part webinar series. Our experts provide practical insights and clarity on where we stand today and what it means for companies.

Part 1: This Thursday. Register here

Parts 2 & 3: Scheduled for December and January