"Labour minister: Germany to abstain on EU supply chain law vote"

Germany will abstain from a vote on a European law that aims to require large companies to take action if they find their supply chains employ child labour or damage the environment, the Social Democrat labour minister told Reuters on Tuesday.

The co-ruling Free Democrats had rejected his proposals to approve the law, minister Hubertus Heil said.

"I believe this is wrong, also because a German abstention will be met with incomprehension among other partners in Europe," he told Reuters.

The landmark EU law, agreed by the bloc's lawmakers and council of member states in December, is set to be formally voted on this Friday.

While Germany alone cannot block the law's approval, its abstention would be seen as a substantial sign of disapproval which other countries unhappy with the law could follow.

The rules will apply to companies in the EU that have more than 500 employees and a net worldwide turnover of 150 million euros. For non-EU companies it will apply if they have more than 150 million euros of net turnover generated in the bloc, three years from the rules coming into effect.