MEPs submit amendments to Omnibus directive as watchdog launches formal inquiry

Members of the European Parliament have requested 473 – sometimes opposite – amendments to the European Commissions’ draft Omnibus directive to be debated by mid-July. At the same time, the EU’s institutional watchdog has launched a formal inquiry into the Omnibus legislative process.

In an 840-page document shared on May 21, the European Parliament’ Committee on Economic and Monetary Affairs gathers the feedback of Europe’s 720 members of parliament (MEPs) on the Commissions’ contested Omnibus directive, meant to simplify sustainability reporting requirements.

Like the first debate held by the European Parliament on the topic in March, the document highlights deep differences in opinions between MEPs: the list of amendments goes from the proposed outright rejection of the Omnibus by The Left Group (which argues that backtracking on sustainability commitments is “irresponsible” and “indefensible”) to the full repeal of the Corporate Sustainability Reporting Directive (CSRD) and Corporate Sustainability Due Diligence Directive (CSDDD).

Notably, MEPs on both sides of the spectrum seem to disagree with the scope of application for sustainability reporting requirements, which the Omnibus draft suggests limiting to companies of 1,000 employees or more: some are asking to lower this threshold to 500 or even 250 employees, while others believe it should be raised to 10,000 employees.

EU Ombudswoman launches inquiry on Omnibus legislative process

One of the MEP’s proposed amendments also highlights the lack of “any impact assessment” in rolling out the Omnibus directive, as well as the fact that public consultation was limited to a closed-door stakeholder event. 

This specific concern recently led a group of NGOs to file a complaint in April with the EU Ombudswoman – the institutional watchdog keeping the European government in line.

Now, European Ombudswoman Teresa Anjinho has agreed to open an inquiry around how the European Commission prepared the legislative proposal as part of its omnibus package of simplification measures.

“At this stage of the inquiry, the Ombudswoman has asked the Commission a series of questions. They centre on the stakeholder consultations listed by the Commission in the explanatory memorandum accompanying its legislative proposal. They include a request for more detail about which companies and stakeholders were invited to meetings with the Commission in early February 2025 and using what criteria,” the Ombudswoman said in a statement.

In addition, the Commission has been asked to explain its decision not to carry out a public consultation.