Carewashing: What it is and what are the consequences for companies
14 de April, 2025
In recent years, especially since the pandemic, the issue of employee well-being has been addressed with greater concern and consistency in an organizational context.
At the same time, a 2024 Gallup study found that the percentage of professionals who believe that their company cares about their well-being has fallen by less than half compared to 2020 (from 49% to 21% of respondents).
The truth is that while many companies are genuinely concerned about the well-being of their employees – and develop policies that are intrinsically linked to their values and organizational culture – others tend to adopt a discourse on well-being that doesn’t translate into practical measures.
In this context, the concept of carewashing has emerged in discussions about people management and employee benefits. Find out what it is and what its consequences are.
Read also: Employee well-being: 4 priorities for 2025
What is carewashing?
Carewashing occurs when there is a discrepancy between the well-being initiatives and programs advertised by the company and the reality of employees’ working conditions.
Employers project an image of concern for workers’ well-being without a real commitment to implementing measures that promote it – in a relevant and sustainable way.
For example, we can consider carewashing when a company offers mindfulness programs or yoga classes, but at the same time neglects systemic problems related to excessive workloads, toxic or non-inclusive work environments, inadequate management practices, among others.
Consequences of carewashing for companies
Carewashing can have a number of damaging consequences for companies.
1 – Erosion of trust and credibility
The existence of a transparent organizational culture is something highly valued by employees, but also by other stakeholders such as customers, partners or investors, for example.
Carewashing can damage the company’s credibility and generate some skepticism about its reliability.
2 – Employee dissatisfaction and demotivation
Employees quickly realize when the theory doesn’t match the practice, i.e. when what is communicated doesn’t happen in reality.
This discrepancy can lead to dissatisfaction and demotivation among professionals, who feel that their expectations have been disappointed. Ultimately, there can be significant impacts on performance and productivity.
3 – Challenges in retaining talent
People value healthy workplaces that promote their well-being. When this doesn’t happen, and companies fail to deliver on their promises, it’s natural for employees to look for other opportunities.
Carewashing can contribute to an increase in turnoverhigh turnover has costs related to the recruitment and initial training of new professionals, but also to the loss of knowledge and qualified talent.
4 – Reputational risks
In today’s world, where information spreads quickly, the reputation of a company that practices carewashing can suffer considerable damage.
By being associated with negative and non-transparent practices, the organization can damage its public image and its brand. Consequently, this reputational damage can influence the stability of the business, the company’s results and its competitiveness and attractiveness.
In short, communicating wellness promotion strategies as a simple marketing ploy will bring companies numerous negative consequences in the long run.
Instead, organizations must intrinsically put their employees at the heart of their concerns and shape an authentic, transparent and sustainable organizational culture.