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26.12.2023 - 11:14 / breakingtravelnews.com
Large companies listed on the stock market have for some time now been required to report on the sustainability impact of their corporate travel. But in Europe such requirements are going to be extended to companies with as few as 500 staff with the introduction of the EU Corporate Sustainability Reporting Directive (CSRD) in January 2024.
This means that approximately 11,500 ‘public-interest’ companies across the EU will have to start applying the new rules related to monitoring travel during 2024 in order to be able to report on them publicly during the following year.
But what does the roll-out of the CSRD really mean for the European travel industry? Is this just something that affects suppliers of travel or will there be an impact for those selling, and indeed even buying, travel? Is this of concern just to corporate travel or could there be implications for the leisure space too? And is the industry ready? We asked a range of travel technology experts what they thought.
Andres Fabris, Founder & CEO from Traxo, a company specialising in location awareness for business travel, spots a challenge for companies whose employees make travel bookings outside of the official system. “The CSRD highlights another challenge for companies that don’t have adequate travel management programmes in place. Companies will need to report on scope 3 emissions as part of the directive, which includes their business travel. But they can only report on business travel that they can monitor and are aware of; in other words, they won’t be able to capture bookings made outside of the system. Companies need a really robust travel management programme, and a booking system that offers choice, convenience and control for their travellers. Otherwise, they risk inaccurate or incomplete CSRD reporting.”
Whilst this appears to be just an issue for corporate travel, it might not be that simple. Emilie Dumont, managing director of Digitrips (which is owns French multi-product travel platform MisterFly), spots an issue with the ever-blurring lines between business and leisure travel. “The evolving ‘bleisure’ trend could make sustainability reporting difficult. How does a company determine which parts of an employee’s trip was for work and which were for leisure? An employee might take a long-haul trip through their company, but might tag on a holiday and, as a result, book one less leisure flight than they otherwise would have. It’s going to be a logistical challenge, and companies need to develop strategies and calculations that take this into account. This could open up a whole new sales market though, or at least provide opportunities for tech providers to develop tools to respond to this need, which could be
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