On September 27, 2026, Germany is set to implement new regulations concerning sustainability labels and certification schemes, demanding that businesses ensure their compliance with the revised EU standards. This move is part of Germany’s Third Act Amending the Act Against Unfair Competition (UWG), which aligns with the EU’s EmpCo Directive (2024/825). The reform aims to enforce stricter guidelines on how sustainability labels and certain employer seals are utilized in marketing and recruitment efforts.
The updated regulatory framework imposes restrictions on labels that aren’t grounded in recognized certification systems or those not established by public authorities. This applies not only to environmental claims but could extend to social criteria, including workplace conditions, employee satisfaction, fairness, and diversity, depending on the seal’s nature. Certification schemes under the new rules must adhere to several requirements, such as transparent documentation, publicly available criteria, equal access for organizations, and independent third-party validation.
International companies, including those not based in Germany, may also be impacted if they employ employer or sustainability seals aimed at German consumers, employees, or job applicants. Businesses are advised to scrutinize their certification providers, documentation, and verification processes in advance of the regulation’s enforcement. The reform shifts the emphasis from merely assessing whether a claim is misleading to evaluating the credibility and independent verification of the certification systems supporting such claims.
Organizations that maintain transparent certification processes could see a boost in trust, while those using unsupported marketing labels might confront legal obstacles. Industry specialists suggest that companies prepare by reviewing certification criteria, preserving evidence of evaluation processes, and ensuring that all supporting documents are readily available. Additionally, seeking legal advice on specific compliance issues related to competition law is recommended.
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