Supply Chain Sourcing Obligations Act

The Lieferkettsorgfaltspflichtengesetz (LkSG) is a law that applies to companies operating within the supply chain in Germany and comes into force on 01.01.2023. It sets out the responsibilities of companies within the supply chain and provides guidance on how companies should act in relation to sustainability,consumer protection, product safety, security and human rights. It also sets out the requirements for certification and reporting.

The Act will come into force on Jan. 1, 2023, and will initially apply to companies with at least 3,000 employees and, from 2024, to companies with at least 1,000 employees in Germany.

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