What is greenwashing?
Greenwashing is a false/misleading environmental claim made by a company. Some of the signs of a company who greenwashes include, being vague when questioned about their climate initiatives, having misleading labels on products, and using words such as ‘eco-friendly’ and ‘sustainable’ but has no evidence to back up this claim. Greenwashing is extremely unethical, as making false claims about sustainability can undermine genuine efforts and set back progress toward achieving sustainability goals.
Why greenwashing is a growing concern
Many companies are expected to greenwash in the run up to 2050, due to the Net Zero demands set by the United Nations. Many companies have made strong climate pledges, but they are followed by empty and vague strategies. This is driven by the intense pressure to meet sustainability goals, which has led to a surge of greenwashing, particularly amongst corporations.
The risks of misleading consumers
Consumers vow to support brands who claim to be making a difference, especially when it comes to the environment. This pressure can lead some companies to greenwash as they do not want to lose that strong customer base and trust, however, by misleading their consumers, they are causing detrimental harm on the environment by continuing operations that cause damage instead of trying to reverse the damage caused. This type of deception tries to undermine the credibility of sustainability efforts, which makes consumers and investors sceptical on which company they can trust.
Government action against greenwashing
As of 2024, the UK government has begun intervening in business operations if they believe greenwashing is occurring. By enforcing effective policies to tackle greenwashing, the government are contributing to a more sustainable future, and they can also begin to rebuild the trust between companies and its investors/consumers. To avoid being caught up in the regulations that have been put in place by the government, businesses need to be 100% transparent and authentic in their day-to-day operations and how it affects the environment, whether this is positively or negatively so that consumers/investors are not misled in anyway.
How to avoid greenwashing
Another way a business can avoid being accused of greenwashing is by sharing their environmental goals and being transparent in the way they are aiming to achieve these goals. These goals must be realistic, for example, slowly implementing sustainable practices across all areas of the businesses’ operations such as reducing food waste and digital impact.
