The new sustainability reporting and translation obligation

The EU Corporate Sustainability Reporting Directive has come into force this year. It requires companies with more than 250 employees to include a sustainability report in their management report. In Germany alone, this is estimated to increase the number of companies required to report from 500 to 5,000. Because of the trickle-down effect, a growing number of smaller suppliers of those reporting companies are also affected.

This means that companies that are not required to report may benefit from publishing a sustainability report because it proves their commitment to sustainable business practices. To ensure that your sustainability report reaches a wide audience, it should be translated into all languages your company does business in.

How to write a sustainability report

There are various standards companies can use as reference, such as:

• UN Global Compact standard (UNGC) 
• Global Reporting Initiative standard (GRI) 
• ISO 26000
• EMASstandard 
• German Sustainability Code (DNK)

A sustainability report should contain a company profile, a sustainability strategy, concrete and measurable sustainability goals, facts and figures on resource consumption and pollutant emissions. The sustainability report lies within the responsibility of the management.

So why should you translate your sustainability report?

The language requirements for management reports – which includes sustainability reports – are subject to national laws. In Germany publication in German or English is permitted. The growing relevance of sustainability reports for a wide range of stakeholders means that making the accessible in various languages adds true value. It also underlines the company’s commitment for transparency, and the attention to local stakeholders.The purpose of the CSRD is to make sustainability information more consistent, comparable and reliable. The Directive encourage companies to share their information in other languages to satisfy the needs of stakeholders in different countries.

How to plan the translation of your sustainability report

• The decision on the languages in which you want to publish your report should be taken during the planning phase. The first language version should ideally be the native language of the person writing the text. This decision on which other language versions are needed is based on a stakeholder analysis.
• It’s best to involve your translation service provider at this stage to plan the translation capacities and ensure a quick turnaround time.
• We also recommend talking to your translation agency about which resources and information could be helpful for the translation. That way you can prepare everything before the actual translation is started.
• Decide what file format you would like to use. If you are unsure, you should discuss this with your translation provider to ensure a smooth process.
• Name a contact person who will be available to answer questions during the translation phase for an efficient workflow.
• Make sure that your translation service provider has experience with topics related to sustainability and that they are familiar with relevant regulations and technical aspects.

Peschel Communications has been active in sustainability for over 25 years – this makes us your perfect partner for translations of sustainability reports.