On September 27, 2026, Germany will implement new regulations concerning sustainability labels and certification schemes, compelling companies to align with revised EU standards when utilizing environmental, social, or employer-related seals. These changes are part of Germany’s Third Act Amending the Act Against Unfair Competition (UWG), which aims to enforce the EU EmpCo Directive (2024/825). The reform introduces more stringent criteria for sustainability labels and certain employer seals employed in marketing and recruitment efforts.
Under this updated regulatory framework, labels not based on acknowledged certification systems or those not established by public authorities may encounter limitations. The regulations extend beyond environmental claims to potentially include social criteria like workplace conditions, employee satisfaction, fairness, and diversity, contingent upon the nature of the seal. To be considered valid, a certification scheme must satisfy several conditions, such as offering transparent documentation, making criteria publicly accessible, ensuring equal access for organizations, and obtaining independent third-party verification.
These regulations have implications for international businesses, including those headquartered outside Germany, that utilize employer or sustainability seals in their efforts to engage German consumers, employees, or job applicants. Companies are urged to scrutinize their certification providers, documentation, and verification processes before the new rules are enforced. The focus of the updated regulations is not merely on determining if a claim is misleading but rather on assessing the credibility and independent verification of the certification system supporting the claim.
Organizations with transparent certification processes could gain increased trust, while marketing labels lacking support might face legal hurdles. Industry specialists advise businesses to prepare by reviewing certification criteria, maintaining evidence of evaluation procedures, and ensuring all supporting documents are easily accessible. Additionally, companies are encouraged to seek legal counsel to address specific compliance concerns related to competition law.
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