On 3 April 2025, the European Parliament officially approved the “Stop-the-Clock” Directive, a crucial component of the broader Omnibus I legislative package proposed by the European Commission.
This decision was made through a fast-tracked legislative process known as the urgent procedure, which had been authorized just two days prior on 1 April 2025. The directive was passed without any modifications to the Commission’s initial proposal, signaling strong alignment between the EU’s executive and legislative bodies on this matter.
The “Stop-the-Clock” Directive is designed to temporarily pause or postpone certain legal deadlines associated with two of the European Union’s most ambitious sustainability initiatives. Specifically, it impacts the implementation timelines for the Corporate Sustainability Reporting Directive (CSRD) and Corporate Sustainability Due Diligence Directive (CSDDD).
These two legislative frameworks form the backbone of the EU’s broader strategy to enforce corporate responsibility in sustainability and human rights. Both aim to transform how businesses across Europe manage and report their environmental, social, and governance (ESG) risks. By delaying their application, the European Union is effectively slowing the rollout of some of its most transformative sustainability obligations.
