Thu. Sep 19th, 2024

Brussels, 5 March 2024

The Council and the European Parliament have reached a provisional deal on the regulation prohibiting in the EU market products made with forced labour. The provisional agreement reached today between the two co-legislators supports the main objective of the proposal to prohibit the placing and making available on the EU market, or the export from the EU market, of any product made using forced labour. The deal introduces significant modifications to the original proposal clarifying responsibilities of the Commission and national competent authorities in the investigation and decision-making process.

It is appalling that in the 21st century slavery and forced labour still exist in the world. This hideous crime must be eradicated and the first step to achieve this consists in breaking the business model of companies that exploit workers. With this regulation we want to make sure that there is no place for their products on our single market, whether they are manufactured in Europe or abroad.

Pierre-Yves Dermagne, Belgian Deputy Prime Minister and Minister for the Economy and Employment

The database of forced labour risk areas and products

Co-legislators have agreed that, to facilitate the implementation of this regulation, the Commission will establish a database containing verifiable and regularly updated information about forced labour risks, including reports from international organisations (such as the International Labour Organization). The database should support the work of the Commission and national competent authorities in assessing possible violations of this regulation.

Risk-based approach

The provisional agreement sets clear criteria to be applied by the Commission and national competent authorities when assessing the likelihood of violations of this regulation. These criteria are:

  • the scale and severity of the suspected forced labour, including whether state-imposed forced labour may be a concern
  • the quantity or volume of products placed or made available on the Union market
  • the share of the parts of the product likely to be made with forced labour in the final product
  • the proximity of economic operators to the suspect forced labour risks in their supply chain as well as their leverage to address them

The Commission will issue guidelines for economic operators and competent authorities to help them to comply with the requirements of this regulation, including best practices for bringing to an end and remediating different types of forced labour. These guidelines will also include accompanying measures for micro, small and medium-sized enterprises, which can be available through the Forced Labour Single Portal.

Who will lead the investigations?

The agreement reached by the two co-legislators lays down the criteria to determine which authority should lead the investigations. The Commission will be leading investigations outside the EU territory. Where the risks are in the territory of a member state, the competent authority of that member state will lead the investigations. If competent authorities, while assessing the likelihood of violations of this regulation, find new information about the suspected forced labour, they must inform the competent authority of other member states, provided that the suspected forced labour is taking place in the territory of that member state. Similarly, they must inform the Commission if the suspected forced labour is occurring outside the EU.

The deal reached today ensures that economic operators can be heard in all stages of the investigation, as appropriate. It also ensures that other relevant information will also be taken into account.

Final decisions

The final decision (i.e., to ban, withdraw and dispose of a product made with forced labour) will be taken by the authority that led the investigation. The decision taken by a national authority will apply in all other member states based on the principle of mutual recognition.

In cases of supply risks of critical products made with forced labour, the competent authority can decide not to impose its disposal, and instead order the economic operator to withhold the product until it can demonstrate that there is no more forced labour in their operations or respective supply chains.

The provisional agreement clarifies that, if a part of the product which is found to be in violation of this regulation is replaceable, the order to dispose of applies only to the part concerned. For instance, if a part of a car is made with forced labour, that part will have to be disposed of, but not the whole car. The car manufacturer will have to find a new supplier for that part or make sure that it is not made with forced labour. However, if tomatoes used to make a sauce are produced using forced-labour, all the sauce will have to be disposed of.

Next steps

The provisional agreement reached with the European Parliament now needs to be endorsed and formally adopted by both institutions.

Background

Roughly 27.6 million people are in forced labour around the world, in many industries and in every continent. Most forced labour takes place in the private sector, while some is imposed by public authorities.

The Commission proposed the regulation to prohibit products made with forced labour in the EU on 14 September 2022. The Council adopted its negotiating position on 26th January 2024.

Source – EU Council

 


EU Parliament backgrond on ban on products made with forced labour

Brussels, 5 March 2024

  • Suspected use of forced labour to be investigated and, if proven, products to be withdrawn from the market
  • Decision to open an investigation to take into account whether product is from an area where there is high risk of state-imposed forced labour
  • Products can be allowed back on the market if forced labour is eliminated from supply chain

Early Tuesday, negotiators from Parliament and Council reached a provisional agreement on new rules that ban products made with forced labour from the EU market.

The new regulation would create a framework for enforcing this ban, including through investigations, new IT solutions and cooperation with other authorities and countries.

Investigations

According to the agreed text, national authorities or, if third countries are involved, the EU Commission, will investigate suspected use of forced labour in companies’ supply chains. If the investigation concludes that forced labour has been used, the authorities can demand that relevant goods be withdrawn from the EU market and online marketplaces, and confiscated at the borders. The goods would then have to be donated, recycled or destroyed. Goods of strategic or critical importance for the Union may be withheld until the company eliminates forced labour from its supply chains.

Firms that do not comply can be fined. However, if they eliminate forced labour from their supply chains, banned products can be allowed back on the market.

High-risk goods and areas

At Parliament’s insistence, the Commission will draw up a list of specific economic sectors in specific geographical areas where state-imposed forced labour exists. This will then become a criterion to assess the need to open an investigation.

The Commission can also identify products or product groups for which importers and exporters will have to submit extra details to EU customs, such as information on the manufacturer and suppliers of these products.

Digital tools and cooperation, including with third countries

A new Forced Labour Single Portal would be set up to help enforce the new rules. It includes guidelines, information on bans, database of risk areas and sectors, as well as publicly available evidence and a whistleblower portal. A Union Network Against Forced Labour Products would help to improve cooperation between authorities.

The rules also foresee cooperation with third countries, for example in the context of existing dialogues or implementation of trade agreements. This may include information exchange on risk areas or products and sharing best practices, in particular with countries with similar legislation in place. Commission acting as a lead competent authority may also carry out checks and inspections in third countries, if the relevant company and the government of the third country agree to it.

Quote

Co-rapporteur Samira Rafaela (Renew, NL) said: “This law is ground breaking in the field of human rights. It will prevent forced labour products from entering our market. And it has several references to remediation. It is a step forward in achieving fair trade and cleaning up supply chains, while prioritising human rights. To combat forced and state-imposed labour, we must work with like-minded partners and become a strong ally in the global fight against forced labour.”

Co-rapporteur Maria-Manuel Leitão-Marques (S&D, PT) said: “Forced labour has been a reality for too long, and it remains a reality for too many. There were an estimated 27,6 million people affected by it in 2021, mostly in the private sector, but also victims of so-called state-sponsored forced labour. The deal we reached today will assure the EU has an instrument to ban products made with forced labour from the Union market as well as to tackle various forms of forced labour, including when it is imposed by a state.”

Next steps

The European Parliament and Council will now both have to give their final green light to the provisional agreement. The regulation will then be published in the Official Journal and enter into force the following day. EU countries will thereafter have 3 years to start applying the new rules.

Background

The forced labour regulation focuses on products and will not place additional due diligence requirements on companies that do not use forced labour in their supply chains. Nevertheless, it is often associated with the directive on Corporate Sustainability Due Diligence that was provisionally agreed between Parliament and Council, but that has so far not been given a final OK from the Council.

 


EPP Group: Abolish forced labour, not our SMEs

“Forced labour is a serious violation of human rights. We have now managed to agree on a law that will contribute to the eradication of modern-day slavery,” said Jörgen Warborn MEP, the EPP Group’s chief negotiator on the Forced Labour Regulation and Spokesman on international trade.

“To ensure that businesses, and especially small and medium-sized enterprises (SMEs), are not overburdened with more administration than what they already face today, the EPP Group has insisted on a risk-based approach while providing practical support for SMEs. This includes specific provisions for SMEs, such as a hotline that is based in their own country that will allow them to receive live support in complying with the regulation,” Warborn continued.

The negotiators from the European Parliament and the Member States agreed to ban products made with forced labour from the EU market.

Andreas Schwab, EPP Group’s Spokesman on the Internal Market and Consumer Protection added, “We had to ensure that the focus of any future investigation is only on big fish and not minor cases. But for the new system to work in practice, we need to give the Commission the resources necessary to investigate such high-risk cases. This is particularly important in light of the blocked legislation on Corporate Sustainability Due Diligence (CSDDD), on which this law is based and refers. How these two pieces of legislation will interact in the future has not yet been finalised, but it will be up to the Commission to ensure a functioning and coherent compliance regime. In general, however, all reporting obligations for importing companies should be consolidated into a single report based on a single form.”

“One of the key elements that the EPP Group managed to exclude from the legislation is the reverse burden of proof, which would have only created more uncertainty and burden for already overburdened companies,” said Warborn. “I believe we have succeeded in finding a proposal that ensures the effectiveness of the legislation in helping to eradicate forced labour, while at the same time protecting SMEs from regulatory burdens. Europe’s SMEs should feel that the EU is working for them – not against them. I am pleased that the agreement includes a specific article on support for SMEs.”

The European Parliament and Member States must now formally approve the outcome of the negotiations.

The EPP Group is the largest political group in the European Parliament with 178 Members from all EU Member States

Source – EPP Group

 


Statement des EU-Abgeordneten Schwab (CDU) zum Trilogergebnis für Einfuhrverbote von Produkten aus Zwangsarbeit

Unterhändler von Europaparlament und EU-Staaten erzielten in der Nacht auf Dienstag eine politische Einigung für ein Einfuhrverbot von Produkten aus Zwangsarbeit. Dazu erklärt Andreas Schwab (CDU), binnenmarktpolitischer Sprecher der EVP-Fraktion:

“Zwangsarbeit ist eine schwerwiegende Menschenrechtsverletzung. Produkte aus Zwangsarbeit haben im europäischen Binnenmarkt nichts zu suchen. Unternehmen müssen künftig höchste Vorsicht walten lassen, wenn sie Produkte aus Gebieten mit einem hohen Risiko an Zwangsarbeit wie z.B. aus dem Uigurischen autonomen Gebiet Xinjiang in China importieren.

Wir haben dafür gesorgt, dass der Fokus der zukünftigen Untersuchungen durch die Kommission auch tatsächlich bei den “großen Fischen” liegt und nicht bei Bagatellfällen. Damit das neue System aber auch in der Praxis funktioniert, müssen wir die Kommission mit den nötigen Mitteln ausstatten, um die Hochrisiko-Fälle zu untersuchen. Das gilt gerade in Anbetracht des blockierten europäischen Lieferkettengesetzes, auf welchem die jetzige Verordnung basiert bzw. Bezug nimmt. Wie diese beiden Rechtsakte zukünftig interagieren werden, ist noch nicht abschließend geregelt. Die Kommission wird hier ein funktionierendes und kohärentes Compliance-Regime schaffen müssen. In der nächsten Legislaturperiode sollten alle Berichtspflichten für importierende Unternehmen ohnehin in einem einzigen Formular zusammengefasst werden.”

 


Europa-SPD: EU-Einigung auf Instrument gegen Produkte aus Zwangsarbeit: Moderne Sklaverei stoppen

VON BERND LANGE

VON RENÉ REPASI

Verhandler:innen von Parlament, Kommission und Rat haben sich in der Nacht in Brüssel auf eine Verordnung geeinigt, um Produkte aus Zwangsarbeit vom EU-Markt zu verbannen.

Bernd Lange, Vorsitzender des Handelsausschusses im Europäischen Parlament:

“Dieses Instrument war längst überfällig. Es ist ein Meilenstein im Kampf gegen Zwangsarbeit. Zwar hatte sich die internationale Gemeinschaft bereits 1930 auf die Abschaffung der Zwangsarbeit geeinigt, aber wir hatten immer noch keinen Mechanismus, um sicherzustellen, dass Produkte, die in Zwangsarbeit hergestellt wurden, nicht auf unseren Binnenmarkt gelangen. Dank der Beharrlichkeit von uns Sozialdemokrat:innen wird nun den Profiten auf Kosten fundamentaler Arbeitnehmerrechte ein Riegel vorgeschoben. Die Botschaft ist klar: Produkte aus Zwangsarbeit bekommen in Zukunft in Europa die rote Karte.

In der EU wollen wir Produkte nicht an unseren Grenzen stoppen, damit sie dann auf andere Märkte umgeleitet werden. Es geht um einen grundsätzlichen Wandel. Wir wollen vielmehr wirklich in die Lieferketten eingreifen und sie so verändern, dass die Rechte der Arbeitnehmer:innen geachtet werden. Ich freue mich, dass es uns gelungen ist, uns auf ein ausgewogenes und länderneutrales Gesetz zu einigen, das auch die Zwangsarbeit innerhalb unserer eigenen Union berücksichtigt. Auch vor unseren eigenen Haustür wird gekehrt. Außerdem haben wir dafür gesorgt, dass die Unternehmen bei der Umsetzung dieses Gesetzes unterstützt werden und jederzeit mit den zuständigen Behörden in einen Dialog treten können.

Diese Gesetzgebung ist ein grundlegendes Puzzlestück, um den Handel nachhaltiger zu gestalten, was eine der Hauptprioritäten der Sozialdemokrat:innen in dieser Wahlperiode war. Diese Einigung vor den Europawahlen zu erzielen, war von entscheidender Bedeutung, umso mehr, als der Rat seine Meinung zum EU-Lieferkettengesetz geändert hat und eine Zustimmung leider weiter in den Sternen steht. Die Einigung auf das Gesetz gegen Produkte aus Zwangsarbeit gibt dem EU-Lieferkettengesetz hoffentlich neuen Rückenwind.”

René Repasi verbraucherschutz- und binnenmarktpolitischer Sprecher der Europa-SPD:

„Es ist nicht hinnehmbar, dass im 21. Jahrhundert die Zahl der Menschen in Zwangsarbeit weiter massiv steigt statt zu sinken. Künftig haben Produkte die mit Zwangsarbeit hergestellt werden, keinerlei Platz mehr auf dem Markt. Mit dieser Einigung verhindern wir, dass Produkte aus Zwangsarbeit im EU-Binnenmarkt zum Verkauf stehen und Zwangsarbeit durch europäische Verbraucherinnen und Verbraucher auch noch ungewollt unterstützt wird. Damit ist jetzt endlich Schluss.

Diese Einigung ist ein großer Erfolg für uns europäische Sozialdemokrat:innen, die wir seit langem das Verkaufsverbot von Produkten aus Zwangsarbeit fordern. Wir können nicht länger die Augen davor verschließen, was in unseren Lieferketten geschieht. Wir kämpfen für eine EU, die sich nicht von den Menschen und ihrer Würde abwendet. Es ist höchste Zeit, diese Form der modernen Sklaverei zu stoppen. Egal ob in der Autoherstellung in China, beim Kaffeeanbau in Brasilien oder in der deutschen Fleischindustrie. Alle Unternehmen werden sich an dieses Verbot halten müssen.“

Sowohl das Europäische Parlament als auch der Rat müssen nun endgültig grünes Licht für die vorläufige Einigung geben. Das Europäische Parlament wird voraussichtlich auf einer Plenarsitzung im April vorläufig darüber entscheiden. Final beschlossen wird die Verordnung voraussichtlich nach den Wahlen. Die neuen Regeln werden 36 Monate nach der Veröffentlichung der Verordnung in Kraft treten.

Die Zahl der Menschen in Zwangsarbeit nimmt weltweit zu. Laut einem Bericht der International Labour Organization waren 2021 weltweit 28 Millionen Menschen von Zwangsarbeit betroffen – 3 Millionen mehr als 2016.

Source – Europa-SPD

 


Renew Europe: Agreement on forced labour ban : a future without modern slavery

Renew Europe welcomes last night’s agreement on new legislation banning products produced using forced labour. This will assure consumers that the products they buy are produced in compliance with international labour conventions.

Worldwide, 28 million people are in forced labour, according to the International Labour Organization. It was therefore a necessity for the European Union to set a solid framework to address this issue.

The new legislation establishes a procedure that will launch an investigation conducted by the competent authorities to check if suspected items have been produced using forced labour. In case a product was manufactured using forced labour, it may not be placed in the EU or exported from the EU. If the product is already on the market, the economic operator will be required to remove it from the market. Sanctions will be imposed if a company fails to comply.

All businesses, including SMEs, will be affected to ensure that this legislation is widely and effectively applied. The text covers all items made accessible on the EU market, including products manufactured in the EU and imported goods, independent of sector or industry.

As a major achievement for Renew Europe, the European Commission will be considered as a competent authority, next to the national authorities. It will have the power to assess a situation where there’s a suspicion of forced labour. It will also have a coordinating role.

Renew MEP Samira Rafaela (D66, Netherlands), EP co-rapporteur, said : “This law is ground breaking in the field of human rights. It will prevent forced labour products from entering our market. And it has several references to remediation. It is a step forward in achieving fair trade and cleaning up supply chains, while prioritising human rights. To combat forced and state-imposed labour, we must work with like-minded partners and become a strong ally in the global fight against forced labour.”

Renew MEP Svenja Hahn (FDP, Germany), shadow rapporteur for IMCO said : “The regulation must help to combat modern slavery and ensure fair competition by eradicating the EU internal market as a market for products made from forced labour. The following technical negotiations will show how practical the law will be.“

Source – Renew Europe (via email)

 

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