EU Parliament to Vote on Simplified Sustainability and Due Diligence Rules in November

On 22 October 2025, the European Parliament voted against adopting a negotiating mandate on the European Commission’s Omnibus Directive—a proposal to simplify and streamline sustainability reporting and due diligence obligations under the Corporate Sustainability Reporting Directive (CSRD) and the Corporate Sustainability Due Diligence Directive (CSDDD). The vote was narrowly defeated (309 in favor, 318 against, 34 abstentions), reflecting deep divisions among Members of the European Parliament (MEPs) over the proposed simplifications.

Background:
The Omnibus package was designed to harmonize and simplify sustainability reporting and due diligence requirements for companies operating in the EU. By amending existing directives, including the CSRD and CSDDD, the package aimed to reduce regulatory complexity and overlapping obligations, making compliance more manageable for businesses while maintaining high standards for environmental and social responsibility.

The rejection means the Omnibus package will return to the next European Parliament plenary session, held on 11–13 November 2025, for a full vote and possible amendments. Only once Parliament adopts its position can it begin trilogue negotiations with the European Commission and the Council of the European Union, which already agreed its mandate earlier this year.

For more details, read the official European Parliament press release