What must enterprises do to comply with the German supply chain due diligence act?

According to the German Supply Chain Act – LkSG, companies must carry out human rights and environmental due diligence in their supply chains to prevent, reduce, and resolve any risks or actual negative consequences discovered. Risks that businesses must consider include:

  1. Forced labour
  2. Child labour
  3. Unsafe or unhealthy working circumstances
  4. Unethical employment practices
  5. Freedom of association
  6. Environmental degradation

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