Germany‘s new “Supply chain duty of care act,” which got here into pressure in January, is a superb alternative for international locations like Türkiye, based on the German ambassador to Ankara.
“When it comes to supply and basic products in German supply chains, Türkiye is among the most important countries,” Jurgen Schulz instructed Anadolu.
Therefore, this legislation provides many alternatives for even deeper cooperation between the 2 international locations, he added.
Noting that the German financial system had a powerful international community, he mentioned its firms and their worldwide companions created quite a lot of employment in different international locations and boosted their welfare.
“Especially since we have a very good international network, Germany obliges its companies to respect human rights in their global supply chains,” he added.
“Our aim is to improve the human rights situation in global supply chains. For example, ‘Made in Germany’ brand are not compatible with forced or child labor,” he added.
On the aim of the legislation, Schulz emphasised that observance of human rights and compliance with social and environmental requirements constituted “the foundation of a sustainable global economy” for Germany.
“We believe that the success of the German economy depends on the observance of human rights in production,” he added.
Emphasizing that the legislation would apply to all firms with headquarters, primary workplaces, administrative facilities, registered workplaces or branches in Germany, Schulz identified that it could have an effect on firms with at the least 3,000 staff in Germany this yr and at the least 1,000 staff subsequent yr.
“Companies directly affected by the law need to establish risk management first. In this way, the risks of human rights violations and damage to the environment will be identified, prevented and minimized,” he confused.
He steered that firms in Germany would search contracts with their home and overseas suppliers, obliging them to comparable laws.
“Since a similar law will come into force in the EU, it will be sound for companies to implement this law as soon as possible. Those who’ve fulfilled their obligations will gain an advantage over their competitors,” he highlighted.
Referring to firms’ concrete obligations underneath the brand new legislation, Schulz emphasised that the duty of care in provide chains lined not solely laws of their provide chains, but additionally the actions of their contracted companions and suppliers.
“In different phrases, respect for human rights doesn’t imply that it ends if you stroll out the door of the corporate.
“On the contrary, this responsibility covers the entire supply chain globally, as the law also applies to companies operating worldwide.”
He mentioned the legislation introduces concrete codes of conduct and prohibits little one labor, slavery and compelled labor, ignoring occupational well being and security, insufficient fee, ignoring staff’ rights to unionize, denial of meals and water, and illegal deprivation of land and livelihoods.
Fines of as much as €8 million ($8.7 million) or 2% of an organization’s worldwide annual revenue might be imposed if firms fail to satisfy these requirements, he mentioned, noting that companies may be barred from public tenders.
