International compliance trends in 2024

Increasing globalization challenges companies to meet not only the diverse local requirements but also international compliance standards. From growing technological integration to the increased demand for globally harmonized standards, international compliance requirements are undergoing dynamic changes.

Compliance in China

The compliance requirements for companies in PR China have increased significantly in recent years at national and local level, as has the awareness and acceptance of compliance measures.

Due to the dynamic and constantly evolving legal system for which China is known, many new laws were passed in at the beginning of the year. Further legislation is already being planned:

One area of law that will become increasingly relevant is “Labor Safety and Protection”. It is to be expected that particular emphasis will be placed on environmental protection, the prevention of environmental pollution and occupational safety. Numerous measures were already taken on 01.01.2024 ( in accordance with the regulation 工贸企业有限空间作业安全规定) to ensure the safety of employees in confined spaces.

工贸企业有限空间作业安全规定 – A new safety regulation for limited space activities in industrial and commercial enterprises has come into force at national level.
This new regulation was already enforced on January 1, 2024 and applies to all industrial and commercial companies.
The most important elements of the regulation are:

• Every company needs a supervisor for operations in a confined space.
• The establishment of a safety management system for key aspects such as operating licenses and emergency measures.
• The establishment of a process for monitoring and managing high-risk areas.

广东省实施《中华人民共和国工会法》办法(2023修订) – Measures to implement the Trade Union Law in Guangdong Province (revised in 2023).
This amended measure came into force at the beginning of the year and applies to all companies in Guangdong Province. The most important changes to the measure include

• Expansion of the scope of the trade union organizations.
• Protecting the legitimate rights and interests of employees with more resources.
• Expansion of the range of high-quality services for employees.

Compliance in Czech Republic

In the past, the topic of compliance was often underestimated in the Czech Republic. This situation only changed with EU accession in 2004 and the associated EU directives for companies. In addition, the sanctioning of compliance violations has made relevance a key factor that motivates companies and their managers to establish internal compliance processes.

The prescribed EU sustainability obligations, which have a significant impact on corporate activities with regard to human rights and the environment, are currently a very central issue.

Therefore, it is to be expected that the sustainability guidelines will be the subject of Czech legislation in 2024.

Furthermore, the integration of sustainability, social and ecological responsibility and ethics into internal processes will be significantly strengthened this year. Many obligations are already part of the legislation. The requirements for companies in the area of sustainability extend much further, and a large number of changes are to be expected, particularly in the areas of risk management for third parties, supply chain monitoring, transparency and reputation.

In addition to the legal changes, the establishment of compliance awareness and a compliance culture is expected to be a very central topic in the Czech Republic in 2024. An issue that goes beyond compliance with regulations.

Compliance in Slovenia

This year, as in many other parts of the world, sustainability will be a central topic in Slovenia. A number of changes are planned, particularly in the areas of energy efficiency, green transition and climate change.

From today’s perspective, there are no significant changes in Slovenian legislation. However, it is to be expected that, due to changing requirements, adjustments will at least be made to existing regulations and laws.

In general, the importance and relevance of compliance in Slovenian companies has a wide scope. 90% of companies operating in Slovenia are small companies with fewer than 10 employees. Due to their limited capacities, they often face the problem of non-adherence to compliance regulations and a lack of knowledge of applicable requirements. The remaining 10% are medium-sized and large companies, most of which are owned by foreign groups and therefore feel a central responsibility for compliance. However, both small and medium-sized to large companies must comply with the applicable regulations and must deal with the new and changing regulations in 2024.

Compliance in Poland

Poland is ascribed a special position, as 2024 is said to be a year of changes. This is due to a change of government. It is assumed that many laws will be revised and recast this year. As part of our regular update service, we inform you about legal innovations and changes that are relevant to your company and keep your site-specific legal register up to date at all times.

Compliance in Italy

In recent years, the topic of compliance has taken on a new significance in Italy. Compliance is no longer just a voluntary option for Italian companies, but a mandatory task that includes adherence to all applicable regulations and the management of risks. A central legal framework for Italian companies was concluded via a formulated decree law (231/2001), which regulates the administrative liability of legal entities and introduces consequences for non-compliance, including possible criminal prosecution and severe penalties.

In addition to the legal consequences, public opinion also plays a decisive role, especially in times of social media. Compliance incidents in the past show that non-adherence to compliance regulations can lead to a lack of trust among stakeholders, damage to the company’s image, customer reluctance and disrupted business relationships.

Many changes in the areas of the environment, health and safety at work are also expected in Italy in 2024. Two important provisions should be highlighted, which already came into force on December 31, 2023:

• Law 214/2023 aims to strengthen competition and remove regulatory barriers, affecting emergency management in the workplace and various sectors such as energy, transport and retail.
• Law 215/2023 extended the deadlines for legislation and introduced simplifications, particularly in the area of the environment. These include extensions for the adoption of ministerial decrees relating to contaminated sites, waste permits and the approval of the reuse of treated wastewater in agriculture to counteract water scarcity.

Furthermore, the topic of corporate compliance will also become increasingly relevant in 2024 in order to transparently present and comply with internal regulations in addition to legal requirements.

Conclusion

In summary, it can be said that ESG issues in particular will become more relevant for many countries this year and that many changes can be expected in this area in particular. In view of the changing compliance and legal landscape, staying one step ahead of economic and legal developments is no longer just an advantage, but a necessity.

It is therefore advisable for companies to implement a digital compliance management system within the company and to obtain an overview of all relevant compliance requirements. Entrepreneurs who establish compliance as an integral part of their corporate culture not only create a solid foundation for their day-to-day business practices, but also benefit from an agility that enables them to react quickly and flexibly to changes in today’s VUCA world. As a result, employees’ trust in the company is strengthened, as is the trust of stakeholders.