On August 8, 2021, a second law to increase the number of women in leadership positions in private and public sector companies in Germany entered into force. Starting August 1, 2022, private companies that are both publicly traded and codetermined will be required to appoint at least one woman and one man to an executive board with more than three members. Furthermore, other private companies must set a target figure for women and must ensure that the target figure (in percentage) equals a full person. Companies that set a target figure of zero women for the supervisory board, the executive board, or the two highest managerial levels below the executive board must explain their reasoning in detail (100–150 words) and include it in their annual reporting.