Across many organisations and sectors, sustainability and strong ethical governance have found their rightful place at the top of many management agendas. But in today’s digital world, with social media scrutiny and ever-evolving expectations, well-meaning initiatives can be easily misinterpreted, or worse, exposed as insincere and self-serving.
More and more organisations are talking about sustainability, and unfortunately, it’s not always positive. As businesses attempt to demonstrate their commitment to environmental and social issues, a wave of new terms has emerged – greenwashing, pink washing, green gushing, green hushing and brown spinning. These practices can undermine genuine efforts and mislead stakeholders. But what do they actually mean?
Greenwashing
The illusion of sustainability
Greenwashing refers to when companies present themselves as more environmentally friendly than they really are. You may have come across it online; lots of green branding, presenting as something they’re not with lots of eco buzzwords, but little to no substance beneath it all.
It can often involve misleading claims, selective disclosure of information, cherry-picked data, or, importantly, overemphasising the environmental benefits of their products or practices. The goal? To attract environmentally conscious consumers and investors without making real operational changes.
Example: A company might proudly advertise that its product packaging is recyclable but fail to acknowledge that the production process is highly polluting.
Pink washing
Exploiting social causes
Pink washing occurs when organisations promote themselves as avid supporters of social causes, particularly LGBTQ+ rights, to deflect from more negative aspects of their business practices. It’s often seen as a form of virtue signalling, where the organisation’s support is more about marketing than any true, genuine commitment and desire to make a difference.
Example: A company might sponsor Pride events and change its logo to a rainbow during Pride Month while lacking inclusive internal policies or a diverse workforce.
Green gushing
Overhyping genuine efforts
Sometimes, sustainability efforts are real, but unfortunately, the way they are communicated creates a sense of scepticism. This is known as green gushing and is when organisations excessively promote their environmental achievements, which can overshadow other important aspects of their ESG performance.
Example: A business might heavily publicise its tree-planting initiative while neglecting to address significant carbon emissions from its manufacturing processes.
Green hushing
The silent approach to sustainability
Green hushing is when organisations deliberately keep quiet about their sustainability work, goals and achievements. This is often out of fear of being criticised or facing scrutiny for not doing enough. While caution is understandable, this silence often means missed opportunities to build trust and inspire others to take their own climate action.
Example: A company might achieve significant reductions in its carbon emissions but choose not to disclose this information publicly to avoid being scrutinised for what they haven’t achieved.
Brown spinning
Shifting the burden
Brown spinning involves public companies selling or transferring their highly polluting assets to private firms. This makes the organisation look cleaner and more environmentally friendly, while the harm continues elsewhere. This practice shifts the burden of pollution without addressing the root cause.
Example: A large energy company might sell off coal mines to a smaller, private firm. While they energy company can now report a lower carbon footprint, the mines continue to operate under the new ownership, contributing to ongoing environmental degradation.
So, what should you do now?
Avoiding the pitfalls discussed above comes down to two words: integrity and transparency. That means clear data, honest and open conversations and a willingness to own both your progress and your challenges.
Here's where to start:
Back up your claims with evidence and data
Start by measuring your current position and monitor your progress. Set specific, measurable targets that you can report on going forward, so you can back up any claims with clear evidence. If there’s uncertainty in a statistic or judgement involved, explain it. Be open with your stakeholders about why you are unsure and the methodology you have used.
Be open and honest
When it comes to ESG, transparency is key. Remember, nobody expects perfection but talk open and honestly about your efforts and any areas you want to improve. This transparency builds trust and sets out meaningful targets for your organisation to work on and report on in the future.
Consider independent verification
Signing up to The Anti-Greenwash Charter, a non-profit organisation, can help. They offer content reviews, tailored training and ongoing support; all designed to give you confidence in your sustainability communications.
Work with trusted advisers
At UHY, as part of our commitment to helping you prosper, we are here to help you on your sustainability journey. Whether it’s finding your baseline through ESG reporting, identifying what matters most to your organisation and stakeholders, or providing limited assurance to give you peace of mind once you have prepared your ESG reporting so you can confidently communicate your sustainability claims, we can support you every step of the way.
The next step
Together, we can build a more sustainable future. Please get in touch with Harriet Hodgson-Grove or use the contact form below to continue the conversation.
