Do you sometimes get frustrated because you separate your rubbish, use paper straws and reusable water bottles, but companies still don't give a damn about global warming? This could soon change.

The European Parliament is working on a Corporate Sustainability Due Diligence directive (CSDD), which would put businesses under the microscope. If it comes into force, businesses will not only have to start caring about the climate, but they will also be forced to stop using child labour in their line of work.

According to Interia.pl, only 37 per cent of companies in the European Union undergo environmental and human rights inspections. A sizable proportion of suppliers also do not know exactly where their products are sourced from - only 16 per cent of companies in the EU choose to audit their entire supply chain.

As you may have guessed, not all businesses approach production in the right way. Not only is the environment being violated through deforestation, but there is also exploitation of workers. I don't think I need to remind anyone of the people employed at Shein who work 18 hours a day and don't have time to wash their hair, so they do it on their lunch break.

Being aware of the problem, the European Union has been working on a directive since 2022. The idea is to force businesses to care about the climate and respect people's rights. At the beginning of June, the European Parliament made some additional changes to the document so that the planet could be protected in an even better way.

Companies will not only have to disclose how they affect the environment and how they respect human rights. They will also be obliged to eliminate and prevent activities such as slavery, loss of biodiversity and child exploitation.

Where it comes to the climate crisis, businesses will have to submit long- and short-term plans that would contribute to limiting global warming to 1.5 degrees Celsius. They will also have to cooperate with human rights organisations. A complaints mechanism will also be introduced.

However, it is not just about the environmental impact of production alone. Companies will be obliged to monitor the entire supply chain, including distribution and transport. Companies that fail to comply with the directive will face a penalty of at least 5% of their global turnover. Their goods will also be liable to be removed from the market.

The changes will affect the 15,000 largest companies operating in the European Union. This also includes those businesses that are not based in Europe, but operate here. This could mean that the likes of Shein, which has its warehouse in Wrocław, will also fall under these restrictions.

The regulations will take effect three or four years after the directive comes into force, so we will see its real impact closer to 2028, which is quite late. The final shape and wording of the directive will be known by the end of 2023.