European manufacturers are facing a significant overhaul of product safety law with the new General Product Safety Regulation (EU) 2023/988 (GPSR). As the rule’s 13 December 2024 application date approaches, the European Commission continues to clarify certain aspects of the GPSR. Most recently, the Commission released its Implementing Regulation (EU) 2024/1435, which establishes a template for companies to use when issuing a recall notice.
GPSR provisions regarding recall notices
Articles 35 and 36 of the GPSR lay out both the information that must be provided to consumers in the case of a product recall or safety warning, as well as the manner in which that information is conveyed. Article 35(1) requires economic operators and providers of online marketplaces to directly notify all affected customers that can be identified. If some affected customers cannot be contacted, Article 35(4) requires a recall notice be distributed “through other appropriate channels” including the company’s website, social media, newsletters, and even announcements to traditional media.
The regulation also states that written information about a product recall must be delivered to consumers as a recall notice. The key elements of such a notification are outlined in Article 36(2). In addition, the GPSR establishes that the Commission will create a template for a recall notice to ensure consistency across the EU. The Implementing Regulation was adopted on 24 May 2024 and will apply alongside the GPSR from 13 December 2024.
The use of the template is voluntary. However, given the GPSR’s emphasis that recall notices should be “clear, transparent, and clearly describe the risk at stake,” companies would be wise to utilise the new tool. At a minimum, following the template will help companies ensure they include all the required elements of a recall notice as established in Article 36(2). When dealing with a product recall and the associated regulatory and consumer scrutiny, any misstep – no matter how small – can be the difference between a successful recall and lasting damage to your brand’s reputation along with potential enforcement actions.
Becoming recall ready
Product recalls are occurring with increasing frequency, as we’ve been tracking in our quarterly European Recall Index reports. European recalls jumped 10.4% from Q4 2023 to Q1 2024, and 2022 and 2023 both set new records for the highest number of recalls recorded in a ten-year span. Pressure is mounting for companies to ensure the safety of their products. Other regulations, including the Toy Safety Regulation, also have recall and defective product reporting requirements. Regulators are updating outdated frameworks and establishing new ones for emerging technologies. In addition, consumers are demanding more transparency and accountability and the media is increasingly shining a spotlight on product safety issues.
Despite the increasingly crowded risk landscape, companies still have tools at their disposal to protect their reputation and their bottom line. With the increased emphasis on product recalls, it is especially important for companies to establish and regularly update their recall and crisis plans. These plans should be regularly tested through mock recalls to ensure relevant parties understand their roles and that there are no gaps in the plan. Building out a bench of third-party partners, like brand reputation experts, mock recall specialists, product liability law firms, and more, can also help ensure that when – not if – a product-related crisis occurs, your company is ready.
Trusted by the world’s leading brands, Sedgwick brand protection has managed more than 7,000 of the most time-critical and sensitive product recalls in 100+ countries and 50+ languages, over 30 years. To find out more about our product recall and remediation solutions, visit our website here.
Tags: Brand protection, brand recall, Carrier, consumer recall, consumer safety, Europe, European Commission, manufacturers, Preserving brands, product safety, recall, recall notifications, regulation, regulations