Greenwashing and Consumer Trust: The Role of HR Policies, Compliance Training and Ethical Culture
Author: Dr. Bushra S. P. Singh, Prof. (Dr.) Swati Bhatia
Abstract
Greenwashing, the practice of making misleading or unverified environmental claims, has become a significant ethical and strategic issue in contemporary business. Although such claims may enhance brand perception in the short term, they ultimately weaken consumer trust, damage credibility, and hinder genuine sustainability efforts. As stakeholders
increasingly demand transparency and accountability, trust in environmental communication has emerged as a critical factor influencing consumer behaviour and brand loyalty.
This study examines the role of human resource (HR) management in addressing green washing through organizational policies, compliance training, and ethical culture-building. The research is based on secondary sources, integrating insights from existing literature, regulatory frameworks, and selected case studies of corporate conduct.
The analysis indicates that HR can play a preventive role by promoting sustainability awareness during recruitment and onboarding, aligning employee evaluation systems with environmental performance, and supporting secure mechanisms for reporting unethical practices. In addition, collaboration between HR, marketing, and legal teams helps ensure the accuracy of sustainability claims.
The study concludes that HR-driven ethical practices are essential for reducing greenwashing risks and strengthening long-term consumer trust.
Published in: Journal of Global Information and Business Strategy (JGIBS), January-December 2025 (Volume-17, Number-1, 2025)
Keyword: Greenwashing | Human Resource Management | Sustainability Communication | Consumer Trust | Ethical Culture | ESG Compliance
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