European Parliament Votes on Sustainability Omnibus Package

The European Parliament has voted in favor of the European Commission’s February 2025 omnibus package of proposals that would simplify the EU’s sustainability reporting requirements, including the Corporate Sustainability Reporting Directive (CSRD), the Corporate Sustainability Due Diligence Directive, and the EU Taxonomy Regulation.

In the omnibus package, the European Commission proposed to amend the scope of the CSRD to apply to entities with more than 1,000 employees on average on their balance sheet date and with a net turnover exceeding EUR 50 million or a balance sheet total exceeding EUR 25 million. In June 2025, the European Council adopted a negotiating position that confirmed the 1,000 employee threshold but added a net turnover threshold of over EUR 450 million to further alleviate the reporting burden on entities.

In its November 12 vote, the European Parliament took the position, among other things, that only entities employing on average over 1,750 employees and with a net annual turnover of more than EUR 450 million should be required to provide sustainability disclosures under CSRD and sustainability reporting under the EU Green Taxonomy.

Upon the European Parliament’s adoption of its negotiating position, trilogue negotiations with the European Council and European Commission will begin, with the aim of finalizing the legislation by the end of 2025.

For more information, see the press release on the European Parliament’s Web site. Also see Deloitte’s August 21, 2025, Heads Up for more information about the omnibus package.