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Mützenich and Habeck clash over not suspending the Supply Chain Act.

The Green Party's Economics Minister, Habeck, has a positive relationship with business groups regarding the transition regulations for the Supply Chain Act, a stance that does not sit well with his SPD coalition partner.

Robert Habeck (l.) and Rolf Mützenich in conversation.
Robert Habeck (l.) and Rolf Mützenich in conversation.

A business entity - Mützenich and Habeck clash over not suspending the Supply Chain Act.

Rolf Mützenich, leader of the SPD parliamentary group, disagrees with Economics Minister Robert Habeck's plan to suspend the German Supply Chain Act. Habeck has made it clear that he's been pushing for an economic policy focused on human rights and fair wages while condemning exploitation. During a conversation on Friday, he suggested postponing or lessening the impact of the German rule until the European regulation takes effect. This request came from business groups who fear losing out on the competition.

Mützenich said in a commentary on Saturday in Berlin that it's usual for national regulations to align with EU law, but for now, the existing law remains valid. The SPD fraction isn't planning on taking part in a sweeping suspension of the German Supply Chain Act. "We've been working on this law for years. We won't just throw away all these efforts. I'm also surprised that a minister could so readily wipe out a valid law. I'm also dismayed that core principles and rules are being tossed aside so easily," he added.

During the Family Business Day, Habeck suggested a "break" in this area for two years, implying that it would be a liberation. However, he's uncertain if this will actually happen. Shortly after, Habeck spoke about the European Supply Chain Act, expressing satisfaction that there will be EU-wide regulations for the protection of supply chains and ethical standards in the future. "This is crucial because then the same rules will apply throughout the European internal market. These standards are vital," he contended.

Despite this, Habeck mentioned that if the EU law is enforced at a less hurried pace, it's important to proceed in an adaptable manner in the process of changing German law. "That's why I proposed suspending or substantially easing the German Supply Chain Act until the EU law is implemented. The protection of human rights and environmental standards will only be effective if the guidelines are accepted by the businesses."

As of late, the European Supply Chain Act has been ratified. EU countries have approximately two years to implement the new regulations into local legislation. The purpose of the European Supply Chain Act is to reinforce human rights globally. Corporations should be held accountable if they benefit from human rights abuses such as child or forced labor.

Read also:

  1. Despite Rolf Mützenich's opposition, Economics Minister Robert Habeck advocates for suspending or lessening the impact of the SPD-backed Supply Chain Act in Germany.
  2. The SPD parliamentary group, led by Mützenich, is based in Berlin, Germany, and they are unwilling to suspend the Supply Chain Act, a law they've worked on for years.
  3. Habeck, during a discussion on human rights and fair wages, stressed the need for aligning German regulations with the upcoming EU Supply Chain Act.
  4. In the context of the European Supply Chain Act, Mützenich criticized Habeck's suggestion of suspending the German Act, stating it would undermine the core principles they've been advocating for.
  5. During family business discussions, Habeck expressed a wish for a temporary break in the enforcement of the Supply Chain Act, which he believed could benefit businesses.
  6. As the Supply Chain Act is now ratified at the EU level, Germany, along with other EU countries, has two years to adopt the regulation to meet human rights and environmental standards across their supply chains.

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