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Elisabeth von Reitzenstein, senior director of policy and public affairs at Cascale, recently took to the stage at Innovation Forum’s Sustainable Apparel and Textiles Conference in Amsterdam to discuss Eco-Design for Sustainable Products Regulation (ESPR) and how brands can get ahead of implementation.
Carsten Wentink, policy officer at the European Commission, joined her for a conversation moderated by Ian Welsh, publishing director at Innovation Forum.
Von Reitzenstein noted the significant adaptations that ESPR will require, which will encourage manufacturers and brands to prioritize circularity, transparency, and innovation. She shared key requirements companies must fulfill to comply with ESPR, including proactively integrating eco-design principles, assessing their supply chains, and preparing for Digital Product Passports (DPPs). Von Reitzenstein highlighted the crucial challenges DPPs will present for businesses, particularly those not currently measuring their carbon impact across supply chains.
Emphasizing the importance of gathering reliable information from the full scope of suppliers, von Reitzenstein acknowledged the difficulty in collecting comprehensive and accurate data throughout complex global supply chains. She highlighted Cascale’s Higg Index tools, exclusively available on Worldly, and how they can support the collection, tracking, and analysis of supply chain data for regulatory compliance. She noted Cascale’s continued efforts to support its members along their compliance journeys by providing resources, guidance, and collaborative platforms to navigate the new regulations.
Presenting a global perspective, von Reitzenstein emphasized that companies must move beyond compliance to build genuine resilience. She underscored the critical role of education in understanding legislation, highlighting Cascale’s “Navigating Legislation & the Higg Index” webinar series, which explores how Cascale continues to evolve the Higg Index tools to support companies navigating the legislation landscape. She also shared Cascale’s ongoing efforts to develop and share resources with its members and Higg Index users to ensure they are well informed and supported in their compliance journeys.
Von Reitzenstein reiterated the vital role of industry input, emphasizing the EU’s call for businesses to contribute ideas to shape effective eco-design rules and realistic implementation timelines. She reassured members that they are not alone in this journey, as Cascale continues to offer valuable resources and engagement channels for alignment. She also called on the need for collaboration, highlighting the crucial role of industry organizations like Policy Hub — a Cascale ecosystem partner — in uniting the industry’s voice to shape the sector’s future.
This report, published by Cascale and Worldly, examines the growing trend of climate- and supply chain-related regulations across the Asia-Pacific (APAC) region and their implications for global brands, manufacturers, and suppliers.
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Cascale has published its Q1 2025 Global Legislative Update, the latest installment in our ongoing series of quarterly reports available exclusively to Cascale members.
Cascale has published its Q1 2025 Global Legislative Update, the latest installment in our ongoing series of quarterly reports available exclusively to Cascale members.
This edition covers legislative developments from January to March 2025, offering a detailed look at evolving policies that are shaping the consumer goods industry in the field of sustainability policy across key regions, including the United States, the European Union (EU), and Asia-Pacific.
As regulatory landscapes continue to shift, Cascale remains committed to helping members navigate complex policy environments and stay ahead of global trends. This quarterly update delivers actionable insights into emerging legislation, sustainability mandates, and regulatory reforms with far-reaching implications for business operations, supply chains, and sustainability goals.
The Q1 2025 update focuses on major movements in climate policy, labor law, and corporate sustainability reporting, helping businesses anticipate risks and align strategies with evolving expectations. The summary below provides key insights from the report—a preview of the full resource that is available exclusively to Cascale members on our members-only platform, Cascale Connect. Cascale members are encouraged to log in to Cascale Connect to access the full update and stay informed of evolving regulatory trends.
Not yet a Cascale member? Explore membership today.
In Q1, the United States took actions affecting labor and environmental regulations. For example, the government’s move to dismantle diversity, equity, and inclusion (DEI) programs has created legal and reputational challenges for U.S. companies, which now face a dilemma between government opposition to DEI and stakeholder demand for diverse workforces. Meanwhile, the Environmental Protection Agency (EPA) announced a major deregulatory initiative, promising 31 actions, including the reconsideration of the 2009 Endangerment Finding, which underpins many U.S. climate regulations. In addition, a decision by the U.S. Securities and Exchange Commission (SEC) to stop defending the federal climate risk disclosure rule has effectively halted it, leaving U.S. companies to navigate state-level reporting requirements. States such as Washington, New York, and California have recently taken regulatory steps to promote sustainability accountability for the fashion industry.
Recent policy efforts by the EU to enhance its competitiveness and sustainability included the release of a “Competitiveness Compass” focused on innovation, decarbonization, and security—shifting the balance toward competitiveness over regulation. As part of its 2025 Work Program, the EU also published an “Omnibus package” aimed to simplify corporate sustainability rules to reduce compliance costs, along with a “Clean Industrial Deal” designed to support industries facing high energy costs and global competition. The developments signal a more business-friendly approach to managing the EU’s transition to a cleaner economy. Additionally, the EU reached a provisional agreement on textile waste regulations to improve sorting and recycling, and introduced mandatory extended producer responsibility (EPR) schemes for textiles across Member States.
Momentum for sustainable supply chains continued across the Asia-Pacific region. Pakistan announced it will adopt the ISSB Standards in phases starting July 2025, requiring detailed sustainability reporting. Vietnam updated its Environmental Protection Law to strengthen its EPR framework, encouraging companies to take greater accountability for waste management. The country also unveiled a “National Action Plan for Circular Economy, “ encouraging eco-friendly manufacturing practices. Both Vietnam and Taiwan took steps in support of domestic carbon pricing systems, which are likely to increase costs for large emitters. Finally, Bangladesh agreed on labor law amendments to improve worker rights, which may raise compliance costs for manufacturers.
Cascale’s Public Affairs team remains dedicated to equipping members with timely intelligence on the global policy landscape. Through Cascale Connect, members gain exclusive access to curated resources, regulatory updates, and actionable insights to manage risk, support compliance, and drive sustainable transformation.
Stay informed—subscribe to our newsletter for the latest Cascale updates, events, and public affairs activities.
SLCP’s updated Converged Assessment Framework (CAF v1.7) and Cascale’s updated Higg Facility Social & Labor Module (Higg FSLM), exclusively available on Worldly, include enhanced risk assessment and regulatory alignment.
Amsterdam, Hong Kong, Oakland (CA) – April 10, 2025: Solutions updated today will deliver greater transparency on credible, actionable social and labor compliance data to drive decent working conditions in global supply chains. Cascale’s Higg Facility Social & Labor Module (Higg FSLM) and the Converged Assessment Framework (CAF) from the Social and Labor Convergence Program (SLCP) address systemic labor challenges and advance fair working conditions across global supply chains, while minimizing audit fatigue for manufacturers and suppliers. The Higg FSLM is built on SLCP’s CAF, and is part of Cascale’s Higg Index suite of tools, which are exclusively available on Worldly, the leading supply chain sustainability data insights platform.
“The Higg FSLM is a critical tool underpinning Cascale’s Support Decent Work for All strategic pillar, through which we aim to champion workers’ rights, ensure fair purchasing practices, and streamline audits to foster safe and equitable workplaces,” said Jeremy Lardeau, SVP of Higg Index at Cascale. “Especially at a time when tariffs highlight the fragility of global supply chains, these tools are critically important. When companies use a common benchmark to measure and improve performance, they build efficiencies that reduce audit fatigue and, ultimately, save time and money.”
Janet Mensink, CEO of SLCP commented: “This update is part of our multi-year CAF roadmap, designed to ensure that the Converged Assessment Framework remains both relevant and scalable in an evolving regulatory environment. Version 1.7 introduces enhancements that will not only maintain high-quality reports and provide credible, actionable data, but also better align with emerging human rights due diligence standards. The new version also includes features that make it easier to identify and address social and labor issues, enabling facilities to share critical findings with brands during the assessment, rather than waiting for a final report.”
“Behind every supply chain are real people whose working conditions define the integrity of global businesses,” said Adele Stafford, Chief Growth Officer, Worldly. “With standardized assessments like the Converged Assessment Framework in the Higg Facility Social & Labor Module, companies get a clearer picture of risk — but visibility alone isn’t enough. Worldly turns that data into action, helping businesses proactively improve working conditions, protect workers’ rights, and strengthen their supply chains for the long term.”
“Adopting the CAF and Higg FSLM has been a good addition to our ecosystem,” said Khawaja Faheem Uddin, GM Systems & Compliance at Artistic Milliners Private Limited. “By streamlining our compliance processes and consolidating requirements, we’ve saved time and resources while still meeting rigorous industry standards. These tools not only support us in upholding decent work for our 17,500+ employees but also enable us to build stronger partnerships with our brand customers through greater transparency and accountability. We believe that it is a good beginning, and we should continue to improve the system collectively.”
Ray Zhang, global social compliance manager at Avery Dennison, commented, “The Higg FSLM/CAF have helped us significantly reduce audit duplication—hundreds of unnecessary audits avoided globally in the past few years. Beyond streamlining compliance, the tools enhance visibility into our supply chain, empower suppliers to manage their own social performance, and allow us to focus our resources where they matter most: building capacity and improving working conditions.”
Alongside the CAF update, SLCP is expanding verifications to 44 new countries and offering tool translations in additional languages for the self-assessment process. The CAF will now be available in Latin American Spanish, as well as already existing translations of English, Chinese, Turkish, and Vietnamese.
The Higg FSLM CAF v1.7 update enhances alignment with due diligence and governance requirements, ensuring a more standardized and structured approach to social and labor performance assessments while enhancing supply chain transparency in the consumer goods industry, making businesses more resilient and avoiding hidden risk. This structured approach enables facilities to systematically identify, address, and mitigate critical issues, reinforcing worker rights, well-being, and assess overall working conditions. Additionally, it more clearly identifies non-compliances across the data and aligns with Better Work Zero Tolerance Protocols and ILO Core Conventions, ensuring consistency with global labor standards.
The CAF and the Higg FSLM are updated annually by SLCP, Cascale, and Worldly in response to stakeholder feedback, ensuring relevance and improved functionality.
Cascale, alongside six other leading sustainability organizations, recently published a joint statement urging EU policymakers to uphold the integrity of corporate sustainability regulations amid proposed changes in the EU Omnibus Package.
When it comes to the European due diligence and reporting legislation, simplification should not come at the expense of responsible business conduct, organizations say.
Cascale, alongside six other leading sustainability organizations— amfori, Ethical Trade Norway, ETI Sweden, Fair Labor Association, Fair Wear, and the Social & Labor Convergence Program (SLCP)—recently published a joint statement urging EU policymakers to uphold the integrity of corporate sustainability regulations amid proposed changes in the EU Omnibus Package. Collectively, these organizations bring together over 6,000 companies and affiliates dedicated to responsible supply chain practices.
The European Commission’s Omnibus proposal, introduced as part of an effort to simplify corporate due diligence and reporting obligations, includes proposed changes to the Corporate Sustainability Due Diligence Directive (CS3D) and the Corporate Sustainability Reporting Directive (CSRD). The seven signatory organizations acknowledge the goal of reducing administrative burdens but highlight concerns that the proposed amendments could weaken key due diligence requirements, create legal uncertainty, and introduce challenges in enforcement.
In the joint statement, the organizations outlined key recommendations, such as:
The joint statement emphasizes that simplification should not come at the expense of responsible business conduct. The organizations call on EU policymakers to align due diligence and reporting requirements with internationally recognized frameworks, including the UN Guiding Principles on Business and Human Rights (UNGPs) and the OECD Guidelines for Multinational Enterprises.
Read the full joint statement here: Joint statement on Omnibus proposal
For additional insights, read Cascale’s Sr. Director, Policy & Public Affairs Elizabeth von Reitzenstein’s blog on how the EU Omnibus Package may impact corporate sustainability efforts.
Elisabeth von Reitzenstein shares how the EU Omnibus Package is changing the landscape and what this means for Cascale members in her latest blog.
It’s the moment sustainability advocates anticipated – the adoption of the European Commission’s Sustainability Omnibus package proposals.
While the Commission touts these changes as a way to simplify reporting and reduce regulatory burdens, the reality is far less encouraging. The revisions therein present a lost opportunity for ambitious change.
This package proposes amendments to key legislative instruments, including the Corporate Sustainability Reporting Directive (CSRD), Corporate Sustainability Due Diligence Directive (CS3D), the Carbon Border Adjustment Mechanism (CBAM), and the Taxonomy Regulation. In practice, these proposals exempt nearly 80 percent of companies from the scope of CSRD, delay reporting until 2028 — instead of the originally targeted phased implementation in 2026 and 2027 — and extend the reporting cycle for due diligence from annually to every five years, among other amendments.
Such changes send a concerning signal: effective sustainability reporting and due diligence may no longer be a priority for the EU.
More nuances were outlined in recent media reports from Just Style and Sourcing Journal. In these articles, I stressed that while compromise is inherent to the legislative process, the EU institutions must resist any further weakening of the rules and work to recapture the initial ambition of the legislation. As I noted, “The future of sustainable business practices in Europe depends on them maintaining ambitious, enforceable rules. It is vital that the EU holds firm and continues to push forward the progressive policies we need to address global environmental and social challenges.”
The nuanced impact of the diluted CS3D cannot be understated: not only does it undermine hard-won progress in improving labor practices, reducing environmental harm, and driving decarbonization, but it also creates an uneven playing field where companies that neglect sustainability may gain an unfair competitive advantage. This message is deeply disappointing, suggesting that robust sustainability reporting and due diligence may no longer be non-negotiable, potentially leading businesses to scale back or even abandon their sustainability efforts altogether.
EU compliance remains a top concern for Cascale members. As businesses that are ethically and materially responsible for their supply chains, our members understand that sustainability regulations are not just legal obligations—they are fundamental to protecting people and the planet. That’s why the proposed changes in the Omnibus package are so significant. By narrowing the scope of sustainability reporting and delaying key requirements, these amendments threaten to block progress on corporate accountability. Now, more than ever, it is critical for all stakeholders to stay informed, proactive, and prepared.
Higg Index users are better positioned to stay up to date amid changes. Our Higg Index teams— especially within Higg BRM, Higg FSLM, and most recently Higg FEM—have been working to align tools with relevant EU legislation, including CSRD and CS3D. With these frameworks now subject to amendments, our alignment efforts must anticipate new developments and adapt accordingly to ensure businesses continue to have the necessary data and insights to meet evolving compliance requirements.
Yet, within this moment of uncertainty, there is also an opportunity for renewed ambition. The weakening of EU legislation does not mean that companies should pull back on sustainability efforts—quite the opposite. The responsibility now falls even more on industry leaders to set the bar higher, to demonstrate that responsible business practices are not just about compliance, but about long-term resilience and competitiveness. Cascale members and our community have an opportunity to lead by example, proving that sustainability commitments drive business success, strengthen supply chain relationships, and meet growing consumer and investor expectations for transparency and accountability.
To support this, Cascale’s Policy and Public Affairs team remains committed to providing guidance, updates, and advocacy. Cascale members and policy enthusiasts alike can stay informed through our public affairs newsletter, webinars, workshops, and reports. The upcoming Cascale Forum in Ho Chi Minh City, Vietnam, on May 14-15 will serve as a showcase of how members are leaning into sustainability despite regulatory backsteps, both in the EU and U.S. In the Asia Pacific region, countries like Vietnam are still bracing for a greener future, representing the global leadership opportunity in sourcing regions to continue deepening sustainability importance.
As we navigate these shifting regulations, Cascale will continue to monitor legislative developments and engage with members, stakeholders, and policymakers to advocate for renewed ambition that was lost in the latest updates, while collaborating with our Higg Index team to determine the best approach for tool alignment. While regulations may weaken, our industry’s commitment to sustainability does not have to. This is a defining moment—one where businesses can demonstrate that responsible leadership is not dictated by policy rollbacks, but by a vision for a more sustainable and equitable global supply chain.
Explore Cascale & Worldly’s policy deep dive into IFRS Sustainability Disclosure Standards. This comprehensive analysis provides critical insights into the evolving global framework for sustainability and climate-related disclosures—focusing on IFRS S1 and S2—and examines their implications for businesses across the consumer goods, textile, apparel, and fashion sectors. With actionable guidance and practical recommendations, Cascale and Worldly equip members and customers with the tools to navigate fast-changing regulatory landscapes, enhance transparency, and build investor trust. Download the full deep dive now.
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New Report “Building a Global Baseline: The Role of IFRS Sustainability Disclosure Standards” Offers Actionable Insights for Global Sustainability Reporting
New Report “Building a Global Baseline: The Role of IFRS Sustainability Disclosure Standards” Offers Actionable Insights for Global Sustainability Reporting
Amsterdam, Hong Kong, Oakland (CA) – February 12, 2024: Cascale, a global nonprofit alliance representing over 300 organizations across the consumer goods industry, and Worldly, the leading sustainability data insights platform, released their latest policy deep dive, “Building a Global Baseline: The Role of IFRS Sustainability Disclosure Standards.” This comprehensive paper examines the evolving global framework for sustainability disclosures. It focuses on International Financial Reporting Standards (IFRS) and offers practical guidance for brands, retailers, manufacturers, and suppliers seeking to navigate the complexities of investor-focused sustainability reporting.
The adoption of International Sustainability Standards Board (ISSB) standards is critical as it fosters global alignment in sustainability reporting, reducing the need for companies to contend with a patchwork of national regulations. Adoption is gaining momentum in key regions, with 474 companies in Asia-Oceania and 296 in Europe already referencing ISSB standards. By March 2024, 1,151 companies had integrated ISSB disclosures, marking the beginning of a global shift toward standardized reporting that enhances market comparability and meets investors’ growing demand for consistent, reliable data.
“Standardization in sustainability reporting is critical for the textiles and wider consumer goods industry,” said Elisabeth von Reitzenstein, director, policy and public affairs at Cascale. “Our new deep dive demystifies IFRS S1 and S2 and demonstrates how these standards are setting a global benchmark for transparency and accountability. Developed in collaboration with Worldly, this report is designed to empower Cascale members and Higg Index users to align their reporting practices with emerging regulatory requirements and investor expectations.”
“Businesses that adopt International Financial Reporting Standards gain a clear financial picture, helping them uncover hidden risks in their supply chains and strengthen resilience in today’s dynamic markets. By aligning sustainability reporting with these standards, companies will enhance transparency and cross-company comparability for their stakeholders, enable smarter decision-making, and align with global emerging regulations,” said JR Siegel, vice president, sustainability at Worldly.
By offering actionable insights and highlighting the strategic advantages of global alignment in sustainability reporting, this deep dive underscores its critical importance for the entire consumer goods sector. In an era where sustainability reporting is evolving from a voluntary best practice to a mandatory business imperative, this resource empowers industry stakeholders to innovate, differentiate, and lead the transition toward a more transparent, ethical, and sustainable global economy.
This deep dive is part of a broader collaboration between Cascale and Worldly to empower Cascale members, Worldly customers, and value chain partners as they navigate fast-changing regulatory landscapes. Through these policy deep dives, Cascale and Worldly deliver expert insights on key sustainability and reporting legislation while their tailored solutions—especially Cascale’s Higg Index (exclusively available on Worldly)—enable companies to track, analyze, and report critical data. As voluntary guidelines shift toward mandatory reporting, this partnership helps organizations not only achieve compliance but also unlock opportunities for innovation and leadership in driving industry-wide transformation.
To support companies in navigating the complexities of investor-focused sustainability reporting, Cascale and Worldly have made the full policy deep dive available for download.
Cascale released its fourth Global Legislative Update exclusively for Cascale members, covering legislative actions from October to December 2024.
Cascale released its fourth Global Legislative Update exclusively for Cascale members.
Covering legislative actions from October to December 2024, this comprehensive quarterly report provides in-depth insights into regulatory developments affecting the consumer goods industry across the EU, U.S., Asia, and other key markets. Cascale recognizes the importance of staying informed on policy shifts that promote sustainable practices and help navigate evolving regulations.
Highlighting significant regulatory advancements in climate change mitigation and sustainability, the Q4 Global Legislative Update offers an in-depth look at the latest policy shifts impacting our industry. The summary below provides key insights from the report—a preview of the resource available exclusively to Cascale members on our members-only platform, Cascale Connect. Cascale members are encouraged to log in to Cascale Connect to access the full update and stay informed of evolving regulatory trends.
Not yet a Cascale member? Explore membership today.
Key Insights
In Q4 2024, global efforts to address climate change and sustainability advanced through key regulatory developments. Turkey launched a renewable energy strategy, India issued greenwashing guidelines, Pakistan approved carbon market policy guidelines, and Vietnam amended its electricity law to prioritize renewables and energy efficiency. The United States updated its sustainable products recommendations for the first time in a decade, while China introduced its inaugural corporate sustainability disclosure standards, signaling a step toward unified national reporting by 2030. Meanwhile, re-elected president Donald Trump’s promise to withdraw from the Paris Agreement and dismantle climate regulations raised concerns about U.S. climate leadership.
At the COP29 summit, governments pledged 300 billion USD in climate finance with a broader 1.3 trillion USD target, alongside new global carbon market rules. However, outcomes were criticized as inadequate, particularly as biodiversity efforts under COP16 fell short of funding commitments, and UN plastics negotiations failed to secure a binding treaty. In the EU, the adoption of a ban on forced labor will increase supply chain scrutiny in sectors like textiles and consumer goods by 2027, while the bloc delayed implementing its deforestation regulation by one year. In Indonesia, a landmark labor ruling could enhance worker rights and local employment opportunities in the apparel sector.
Looking ahead, global efforts to address climate and sustainability challenges face mounting pressure. COP30 in Brazil in 2025 will mark a critical moment, commemorating ten years since the Paris Agreement. Pressure is growing on the EU to balance climate leadership with industrial competitiveness and a business-friendly approach as the U.S. potentially retreats from international commitments. Despite setbacks, momentum toward addressing plastics pollution and biodiversity funding gaps will continue, though substantial progress will likely depend on national-level action and international cooperation.
Cascale’s Public Affairs team is committed to keeping members at the forefront of critical legislative developments that shape the consumer goods industry. Our exclusive updates and curated resources, available through our members-only platform, Cascale Connect, provide the insights and tools necessary to manage regulatory risks and drive sustainable practices.
Stay informed—subscribe to our newsletter for the latest Cascale updates, events, and public affairs activities.
Inside the global significance of California’s new climate regulations, SB 253 and SB 261, and how Cascale and Worldly support businesses in their compliance journeys.
In anticipation of California’s Climate Accountability Package, Cascale and Worldly jointly recently published a “Policy Deep Dive: California’s New Climate Accountability Package,” exploring key laws SB 253 and SB 261.
Here are the top takeaways for companies.
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