Skip to content Skip to footer
Search
PwC

Menu

Events

Loading Results

Sustainability Reporting & Due Diligence

Are you prepared for the upcoming sustainability reporting and due diligence requirements in Switzerland and the EU?

In recent years, the landscape of ESG standards has grown extensively. Lately, regulators are stepping up the game by introducing new binding requirements, building on the work of established voluntary standards.

Regulatory developments in Switzerland and the EU will going forward put new mandatory requirements in place around two major topics:

  • sustainability reporting and
  • sustainability due diligence in the value chain.

Sustainability Reporting

Switzerland: In December 2021, the Swiss Federal Council enacted the legislative amendments to the indirect counterproposal to the Responsible Business Initiative (RBI-CP). As of the financial year 2023, large Swiss companies will have to disclose the risks within their business activities regarding environmental matters, in particular CO2 goals, social issues, employee-related issues, respect for human rights and the fight against corruption, as well as to report on the countermeasures taken.

In addition, minimum requirements for reporting on climate risks, based on the TCFD recommendations, will be introduced via the ordinance on climate reporting.

EU: Swiss reporting on non-financial matters is based on the Non-Financial Reporting Directive (NFRD) currently applicable in the EU on CSR reporting. In the EU, the NFRD will soon be replaced by the planned Corporate Social Responsibility Directive (CSRD), whereby both the group of companies affected and the scope of reporting will be significantly expanded. The EU is currently developing its own European Sustainability Reporting Standards, which must be applied uniformly in the future. In addition, disclosure with regard to the EU taxonomy must be included in the sustainability report, according to which companies must disclose for an audit of the sustainability report.

For Swiss companies that are active in the EU, it can be expected that by implementing EU requirements they will also meet the Swiss requirements at the same time. However, this also requires a group-wide consolidation of data and corresponding reporting processes. In comparison to Switzerland, the EU regulation also provides for an obligation to check reporting.

Applicability

RBI-CP

Applicable for financial years starting on or after 1 January 2023 (first reporting in 2024)

Ordinance on climate reporting

Expected to apply for financial years starting on or after 1 January 2023 (first reporting in 2024)

CSRD

Expected to apply for the first group of affected companies for financial years starting on or after 1 January 2023 (first reporting in 2024)

Sustainability Due Diligence

Switzerland: With the legislative amendments of the Swiss Code of Obligations through the indirect counterproposal to the Responsible Business Initiative (RBI-CP) new due diligence and transparency obligations will apply, which have been further specified in the Ordinance on Due Diligence and Transparency Regarding Minerals and Metals from Conflict Areas and Child Labour (DDTrO). Swiss companies in scope of the regulation will from financial year 2023 onwards have to exercise due diligence across their supply chain on the sensitive topics of conflict minerals and child labour, including the implementation of a supply chain policy and traceability system.

EU: Earlier this year the European Commission published a proposal for a Corporate Sustainability Due Diligence Directive (CSDDD). Companies that fall within the directive's scope have to identify, prevent, mitigate, cease or minimize actual and potential adverse impacts on the environment and on human rights. Similarly, they have to check for their adverse impacts on protected persons resulting from the violation of rights enshrined in international conventions. These due diligence practices have to be integrated into the company’s policies, procedures and management.

From a market perspective in particular, implementation of the EU requirements is advisable for Swiss companies as well, since customers affected by the regulation will in future pass the requirements on to their suppliers.

Applicability

DDTrO

Applicable for financial years starting on or after 1 January 2023 (first reporting in 2024)

CSDDD

Proposal published on 23 February 2022

How PwC can help you to tackle your nudging questions: 

Scoping Assessment

Am I in scope of upcoming regulations?

We can help you perform a scoping assessment to understand current and upcoming regulatory applicability for all your entities.


Gap Analysis

Do I comply with regulatory requirements?

We can help you perform a gap analysis to assess existing gaps in relation to regulatory requirements.


ESG Regulatory Reporting Transformation

How can I implement a reporting structure? 

We can help you transition towards a suitable reporting scheme as well as assist you with your further development in sustainability reporting based on quantitative and qualitative key performance indicators.


Reporting Implementation

How do I efficiently implement RBI disclosure while already preparing for CSRD requirements?

We will help you put in place the fitting reporting structure and develop an approach for a staggered extension of reporting scope, based on a double materiality assessment.


ESG Due Diligence Conceptualisation

What are the first steps to implementing a sound due diligence concept?

We can help you assess your current status quo and implement the key steps to prevent, cease or minimise adverse impacts in your value chain.

 

Would you like to learn more about our offerings?

https://pages.pwc.ch/core-contact-page?form_id=7014L000000Ps0kQAC&embed=true

Contact us

Dr. Antonios  Koumbarakis

Dr. Antonios Koumbarakis

Head Sustainability & Strategic Regulatory, PwC Switzerland

Tel: +41 58 792 45 23

Dr. Astrid Offenhammer

Dr. Astrid Offenhammer

Senior Manager, Sustainability Regulation Corporates, PwC Switzerland

Tel: +41 78 696 32 11

Alessandra Giacomello

Alessandra Giacomello

Senior Associate, Sustainability Regulation Corporates, PwC Switzerland

Tel: +41 58 792 21 85