Governmental Agency: European Commission Jurisdiction: European Union Ref no: 2023/0085(COD) Status: In Review
The fashion world is constantly changing, and guess what?
We want to help you in the tsunami of EU legislation. As of July 1st, 2024, fashion brands and businesses with 100+ employees have a new mission: reporting on employee travel emissions. Think of it as your chance to be a top employer, a responsible leader, or a climate change fighter.
This CO2 registration obligation might seem daunting, but don't worry! We've got you covered. This is how you can thrive with the new rule and set the standard for sustainable fashion:
Why the change?
Did you know? The fashion industry is a major contributor to global CO2 emissions. Independent studies estimate the sector is responsible for a significant portion of global carbon emissions and wastewater. The Paris Agreement set ambitious CO2 reduction goals for the EU, and business travel needs a significant cut. By tracking employee commutes and business trips, the government can monitor progress towards a 1.5 megaton CO2 reduction target by 2030. This translates to a major shift for fashion, known for its travel demands for photoshoots, trade shows, and international sourcing.
The CO2 registration obligation might seem like extra paperwork, but it's actually a streamlined process designed to be manageable for busy fashion brands. Here's the breakdown:
What do you need to report on?
Employers must report the following:
Number of kilometers traveled by employees.
Means of transport used (e.g., car, public transport, bicycle, taxi).
Type of fuel used.
Actual CO2 emissions do not need to be provided, as they are calculated automatically based on the reported data. The registration requirement covers all forms of business transport, including cars, public transport, bicycles, and taxis.
Who's included?
This applies to all your employees working at least 20 hours a month, including seasonal staff. Thus, you'll need to collect data for full-time, part-time (over 20 hours), and seasonal employees. Zero-hour contracts, part-time employees under 20 hours, and temporary agency workers are exempt.
How to report:
The Netherlands Enterprise Agency (RVO) has a user-friendly online platform for submitting annual reports. The first deadline is June 30th, 2025, but you can report for the entire year 2024 if you're ready.
Get ready, get sustainable!
Here are some ways to prepare and embrace this change as a leading fashion brand:
Start data collection early: Track employee travel distances, modes of transport, and fuel types to gain insights. Consider anonymous employee surveys to understand travel patterns.
Embrace mobility apps: Explore privacy-conscious apps that allow employees to automatically register travel data.
Reduce your footprint: Consider offering sustainable travel options like carpooling, bike-sharing programs, and public transport subsidies. Explore virtual collaboration tools for meetings and brainstorming sessions that can reduce travel needs. Partner with leading sustainable transportation providers (we can help you find them!).
Invest in sustainable travel: For unavoidable business trips, consider offsetting carbon emissions or choosing airlines with strong environmental commitments.
The CO2 registration obligation is a chance for your fashion brand to showcase its commitment to a greener future. By promoting sustainable travel options and tracking your progress, you can inspire others and contribute to a more sustainable fashion industry. Remember, a fashion-forward brand is also a responsible one!
Stay informed on laws and regulations:
This CO2 registration obligation is just one of many evolving regulations impacting the fashion industry. We, at RethinkRebels, are dedicated to helping fashion brands navigate the sustainable legal landscape. Stay informed about the latest legal developments with our dedicated Laws & Regulations blog section.
Staying informed about these evolving regulations is crucial for fashion businesses. We offer tailored services to assist your business every step of the way. From conducting thorough risk assessments to staying informed on the latest EU laws & regulations, we provide expert guidance to help you achieve transparency and compliance. Check out our service page to learn how we can HELP YOU! [Link to the service page]
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