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News > Environmental and ecological related reports > Walmart’s “greenwashing” costs millions of dollars

Walmart’s “greenwashing” costs millions of dollars

2017-10-12

Walmart Pays Millions for "Greenwashing" The leading U.S. retailer recently agreed to pay millions of dollars to resolve allegations of "greenwashing" violations. The violation stemmed from Walmart's sale of plastic products labeled "biodegradable" and "compostable" in California, which the state government deemed misleading and deceptive. California law prohibits labeling plastic products as "biodegradable" or using similar terms. California environmental authorities pointed out that these product declarations typically lack any explanation, leaving consumers unaware of how long it would take for discarded plastic products to decompose completely in landfills or other environmental conditions. Plastic products labeled "compostable" are also prohibited in California unless they pass specific scientific testing standards confirming their biodegradability in public composting facilities. Most California consumers are highly concerned about reducing plastic waste in landfills and therefore rely on product labeling to purchase items with better environmental performance. However, in reality, many plastic products labeled "biodegradable" or "compostable" fail to decompose properly in landfills or composting facilities due to the lack of necessary temperature, humidity, and other environmental conditions. These supposedly environmentally friendly products can remain unprocessed for thousands of years in these environments, causing environmental pollution. Therefore, the California government, actively promoting environmental regulations, has legislated to prohibit plastic products from being labeled "biodegradable" or "compostable." Under the settlement terms, Walmart agreed to pay $875,000 in civil penalties and an additional $50,000 to CalRecycle to assist in researching testing of biodegradable or compostable plastic consumer products. Walmart's recently acquired subsidiary, Jet.com, is required to pay an additional $15,000 in civil penalties. Source: Environmental Leader (February 3, 2017) (Compiled by PIDC)

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