Due diligence requires companies to take legal responsibility for all human rights and environmental violations in their global supply chains. Facing the multiple interests of worldwide stakeholders – employees, consumers, investors, media, and politics – with different points of view, companies must protect and communicate with all of them. With the implementation of the new Oeko-Tex Responsible Business, the Oeko-Tex Association, Zurich/Switzerland, allows companies to choose between a self-assessment of their due diligence status or achieve third-party certification validated by an Oeko-Tex institute. Oeko-Tex Responsible Business is based on a wide range of international policies with additional focus on climate protection.
The standard is based on the UN Guiding Principles on Business and Human Rights (UNGPs), the Organisation for Economic Co-operation and Development (OECD) Guideline for Multinational Enterprises, the OECD Due Diligence Guidance Textile and Footwear and the OECD Guideline for Responsible Business Conduct. It also ensures compliance with the German Supply Chain Act and the proposed European Directive on Corporate Sustainability Due Diligence. Like the OECD Guidelines, the Responsible Business due diligence process is structured in 6 sections: business policy, risk assessment, integration of appropriate actions, continuous monitoring, transparent communication, and complaint mechanism. Additionally, Oeko-Tex includes a seventh, voluntary module on climate action. In the climate module, companies commit to the Paris Agreement and its target to limit global warming to 1.5°C above pre-industrial temperatures. This area is considered separately and a possible certification of due diligence remains unaffected.
Oeko-Tex Responsible Business is a modular system that facilitates companies with easier access to due diligence. The self-assessment works as a stand-alone tool to evaluate due diligence status. This snapshot of the company’s responsible business status identifies areas for improvement. Companies can choose the next step of validation through an audit, which results in a certificate and a report that can be shared publicly.