Supporting CSRD & ESRS Compliance Across Europe: A How-to Guide

CSRD and ESRS Compliance in Europe

How workplaces can be compliant

Diversio helps companies comply with the new ESRS (European Sustainability Reporting Standards) regulations, specifically under the Corporate Sustainability Reporting Directive (CSDR), by streamlining the collection and analysis of key diversity and inclusion metrics. Diversio collects comprehensive data on diversity, including gender, race/ethnicity, sexual orientation, disability, mental health, caregiver, and immigration status. Additionally, employee experience metrics such as culture, fair management, career development, workplace flexibility, and sexual harassment are gathered to assess inclusion.

With this data, Diversio helps companies create action plans with custom recommendations, set measurable inclusion and diversity targets, and track progress. Diversio’s benchmarking data allows companies to compare their performance with industry standards. All data is fully anonymous, and the platform is GDPR-compliant, ensuring that companies meet both transparency and privacy requirements under ESRS.

1. Governance, Risk Management, & Internal Control

Companies must disclose their governance structure and processes, including how sustainability risks are
identified, assessed, and managed. Diversio can indirectly support this by providing data-driven insights
on diversity and inclusion risks, helping companies assess how well they manage workforce-related risks
and fostering a more inclusive governance structure.

2. Sustainability Strategy and Business Model

Companies must outline how sustainability considerations (environmental, social, and governance) are
embedded into their business strategy and how they affect financial performance. Diversio supports the
“social” component of ESG by collecting diversity and employee experience data, which is crucial for
shaping inclusive business strategies and aligning them with sustainability goals.

3. Materiality Assessment

Companies must conduct a materiality assessment to identify the most significant sustainability issues
relevant to their business, including social aspects such as workforce diversity and well-being. Diversio
provides benchmarking and in-depth diversity data to inform materiality assessments, helping
companies prioritise diversity and inclusion as material issues.

4. Workforce and Social Factors

Companies must disclose diversity data, including gender, race/ethnicity, and other social factors, as well
as metrics on working conditions, equal treatment, and career development. Diversio excels in collecting
and anonymising diversity data across gender, race/ethnicity, sexual orientation, disability, mental health,
caregiver, and immigration status. It also tracks employee experience, including workplace culture, fair
management, and career development—directly addressing ESRS social factors requirements.

5. Diversity, Equity, and Inclusion (DEI)

Companies must report on DEI, including workforce composition and policies on promoting equality and
reducing discrimination. Diversio helps companies collect detailed DEI data, create action plans with
custom recommendations, and set inclusion targets. It also provides benchmarking to measure progress
against peers and ensure compliance with ESRS diversity reporting requirements.

6. Stakeholder Engagement and Employee Participation

Companies must disclose how they engage stakeholders, including employees, in sustainability initiatives
and decisions. Diversio’s employee surveys on culture, inclusion, and fair management give companies
insights into how well they engage and include employees in the workplace, feeding into stakeholder
engagement reporting.

7. Targets and KPIs for Sustainability Goals

Companies must establish and report on key performance indicators (KPIs) and targets related to
sustainability, including social KPIs like inclusion and diversity. Diversio assists by helping companies set
specific inclusion and diversity targets and track them over time, providing data for KPIs that align with
ESRS reporting needs.

8. Compliance with GDPR and Data Privacy

Companies must ensure compliance with data privacy regulations such as GDPR, especially when
handling personal data, including diversity metrics. Diversio ensures that all collected data is fully
anonymised and GDPR-compliant, meeting ESRS data privacy requirements.

8. Compliance with GDPR and Data Privacy

Diversio is a leading platform that empowers Swedish organisations to build inclusive workplaces. Using anonymous data collection and AI-powered insights, it identifies bias, benchmarks performance, and provides actionable recommendations. Diversio ensures compliance with DEI regulations while delivering the business benefits of a diverse, inclusive workforce. Key features include:

9. Action Plans and Remediation

Companies must outline action plans to improve any gaps in their sustainability performance, including
social and workforce-related issues. Diversio’s platform helps create custom action plans for improving
DEI based on the data collected, providing tailored recommendations to remediate any identified gaps in
inclusion.

Summary of ESRS Requirements Covered by Diversio

In short, Diversio supports many of the workforce and social aspects of the ESRS, ensuring companies can meet their reporting obligations related to inclusion, diversity, & employee experience.

  • Workforce and social factors (e.g., diversity, inclusion, fair management)
  • DEI data collection and reporting
  • Materiality assessment for social issues
  • Stakeholder engagement (employee experience data)
  • Setting and tracking diversity/inclusion targets and KPIs
  • Action plans to address gaps in workforce diversity and inclusion
  • GDPR compliance for diversity data

How Diversio Can Help You Comply with ESRS and CSRD

Diversio offers a powerful suite of tools and services that are uniquely positioned to help employers comply with ESRS and CSRD, ensuring a proactive approach to collecting diversity metrics in the workplace.

Data Gathering & Analytics

ー Conduct anonymous surveys to assess workplace culture and identify harassment risks.
ー Use data analytics to monitor trends and flag potential issues before they escalate.
ー Track and document harassment incidents to ensure a timely response and compliance.

Comprehensive Training Programs

ー Access 95+ training modules, including best-in-class anti-harassment training.
ー Offer additional relevant topics such as Bystander Intervention and Allyship to foster a safer workplace.
ー Tailored training to fit the unique needs of your workforce and industry.

Anonymous Reporting Tools

ー Enable employees to report harassment anonymously, ensuring confidentiality and safety.
ー Provide employers with the ability to track and respond to reports efficiently.

Start your Journey today

By leveraging Diversio’s data-driven approach, companies can comply with ESRS and CSRD while building more inclusive and respectful workplaces.

For more detailed information, download the full PDF resource now.

Ready to get started? Contact us at hello@diversio.com today.

Picture of Apurva Abhang
Apurva Abhang
Apurva Abhang is a marketing professional with expertise in digital and traditional marketing, social media, content promotion, and e-commerce across various industries. She holds an MBA and a BBA in Marketing from the University of Pune, along with post-graduate certificates from Georgian College and York University. Passionate about inclusivity and supporting underdogs, Apurva also enjoys traveling and contributes as a Google Maps Local Guide to promote small businesses.
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Ekua Quansah
Head of EDI, Canadian Institute for Advanced Research

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