The UK Competition and Markets Authority is investigating “greenwashing claims made by the British arm of Unilever Black,” expressing its desire to ensure consumers are not misled by a company promoting social responsibility as a selling point for goods ranging from shampoo to ice cream.
Investigation into Greenwashing
This action is part of a deeper investigation into what is known as “greenwashing” by consumer goods companies.
Unclear Claims
The Competition and Markets Authority stated that Unilever may have exaggerated the environmental credentials of some products by using “vague, broad claims, unclear statements, and images and slogans that appear natural.”
Unilever’s Response
Unilever expressed surprise and disappointment at the investigation carried out by the Competition and Markets Authority and denied that its claims were misleading in any way. The Anglo-Dutch company stated that it only makes responsible, transparent, and clear claims about the benefits of its products and has “robust processes to ensure the accuracy of any claims that can be substantiated.” It added that it provides shoppers with information on how to dispose of its packaging. The company stated that it will fully cooperate with the Competition and Markets Authority’s review.
Challenges for Unilever
These investigations present an additional challenge for Unilever’s current CEO as he seeks to turn around a performance group that has been unconvincing in recent years.
Specific Concerns
The specific concerns facing the Competition and Markets Authority regarding how Unilever’s products are packaged and marketed include claims regarding certain ingredients that may exaggerate the extent to which a product is “natural.” It is also examining statements that focus on one aspect of the product and imply that it is environmentally friendly as a whole. The authority will also consider claims related to “the recyclability of products and the use of images like green leaves to make the product appear more natural.”
Investigation Outcomes
The outcomes of the Competition and Markets Authority’s investigation could include commitments from Unilever to change its practices or even referrals to court.
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