Mandatory sustainability reporting. Digital transformation at borders. There’s a wealth of EU legislation that will impact travel management coming through this year. Discover the lowdown on what you’ll need to know if you are responsible for managed travel programmes.
Corporate Sustainability Reporting Directive
As we head towards the UN’s Net Zero 2050 target, companies around the world can expect more sustainability regulations coming in over the next few years.
As of this year, a wider set of companies will need to report on their sustainability targets. This is due to the Corporate Sustainability Reporting Directive (CSRD). European Union law now requires more companies to ‘disclose information on what they see as the risks and opportunities arising from social and environmental issues and on the impact of their activities on people and the environment’.
Who has to report?
The first companies had to apply the new rules for the first time in the 2024 financial year, for reports published this year. This included organisations listed in an EU-regulated market with 500 or more employees.
Then, from 2026, the directive will apply to large companies not already mandated. And, from 2027, small- and medium-sized enterprises will also have to report.
Non-EU companies with EU subsidiaries will have to report from 2028. And it will also come to businesses that have headquarters in the UK but do business in the EU.
Encouragingly, the EU is expected to roll out its ‘Omnibus Simplification’ package. This is “aimed at streamlining a series of newly introduced initiatives under the EU Green Deal, including the CSRD and the Corporate Sustainability Due Diligence Directive (CSDDD)”. It’s expected to re-examine reporting criteria for small and mid-sized companies.
A vital part of a travel programme
Tracking and reporting on CO2 emissions are now an important part of any travel programme. Therefore travel managers and sustainability managers play an integral part in helping their companies meet their ESG goals, through what is implemented in travel policies.
It also presents an opportunity for those travel managers to inform and educate the business about how a travel programme can contribute to the overall reduction of its carbon footprint.
How can Reed & Mackay help?
To help with reporting on travel programmes, Reed & Mackay clients can easily compare and select more sustainable choices when booking travel, thanks to access to pre-trip granular CO2 results. This provides insights into the unique CO2 footprint of every travel option. And it’s available whether using our proprietary online or offline booking tools.
Furthermore, clients are able to design and implement custom travel policies, along with a corresponding approval flow based on projected CO2 emissions across air, rail and ground travel and hotel stays. This enhancement gives travellers better visibility of travel options that are ‘in policy,’ whether booking via our platform or with a Reed & Mackay consultant.
Having this data to hand means it’s easier to choose travel that reduces Scope 3 emissions and hit ESG goals, while not having to compromise on traveller experience.
EES/ETIAS
You may have heard these acronyms for some time now and wondering when they’ll come into play. While dates are still to be confirmed, it’s important to have the launch of the European Union’s much-delayed Entry-Exit System (EES) this year on your radar.
What is it?
The EES is an automated IT system, capturing biometric data. It will register travellers from outside of the EU or Schengen Zone every time they cross an EU external border. All non-EU nationals will have to go through an EES when travelling to the EU member states.
Once this is launched, it’s likely the roll out of the European Travel and Authorisation System (ETIAS), will start. This will be an EU equivalent of the US ESTA, will be valid for three years or the lifecycle of the passport (whichever is first) and will cost €7.
Find out more about global updates on upcoming visa and travel regulations.
Get in touch
Mail hello@reedmackay.com to discuss all your corporate travel and event management needs.
