What Businesses Can Learn From 'Dark Waters' About Environmental Accountability?

“Dark Waters” isn't just a gripping legal thriller. It serves as a stark reminder of the consequences businesses can face when they neglect environmental responsibility. The film tells the true story of DuPont's deception of the harmful effects of PFOA, a synthetic compound used in Teflon manufacturing. 

The movie highlights the critical importance of environmental accountability, which has become increasingly relevant for businesses. Today's business landscape demands stronger environmental accountability from companies of all sizes. Ignoring this responsibility can lead to legal battles, damage your reputation, and alienate consumers.

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The Dangers of Ignoring Environmental Risks

Released in 2019, Dark Waters recounts the story of a lawyer, Robert Bilott. Bilott exposed DuPont for contaminating a West Virginia town’s water supply with toxic chemicals known as perfluorooctanoic acid (PFOA). Public Health Insight reveals PFOA, or perfluorooctanoic acid, is a man-made chemical that persists in the environment and the human body. 

Studies have tied PFOA exposure to countless health concerns, including multiple cancers, thyroid defects, hypertensive pregnancy disorders, and ulcerative colitis. The film portrays the devastating impact of PFOA contamination on the residents, who suffered from various illnesses due to DuPont's actions. The case revealed how corporate negligence can devastate communities, public health, and the environment. 

This case inspired the ongoing AFFF foam lawsuit, underscoring the severe consequences businesses can face when prioritizing profit over environmental and public health. These situations often result in messy legal battles, tarnished reputations, and diminished consumer trust. As of November 2024, over 7,100 lawsuits are active in the U.S. District Court for the Southern District of South Carolina.
According to TorHoerman Law, Carrier Global Corp. signed three settlement agreements worth $615 million just last month. Businesses that take proactive steps toward environmental accountability can avoid such messy outcomes and build stronger reputations. However, it's not just multinational firms that need to take responsibility. The 2023 controversy in New York City about regulating coal- and wood-fired ovens in pizzerias highlights the role of small businesses. 

Small businesses, though individually limited in environmental impact, collectively contribute significantly to issues like waste and emissions. Earth.Org reveals these entities have gained a cult-like reputation. Four in five American adults believe small businesses positively serve the country. Given this level of public trust, these enterprises have the platform and responsibility to lead by example in environmental stewardship.

Lessons From “Dark Waters” for Businesses

“Dark Waters” offers valuable lessons for businesses seeking to uphold ethical and environmental standards. Let's delve into some key takeaways:

• Transparency and disclosure: DuPont's lack of transparency about PFOA's dangers fueled public outrage and distrust. As a business owner, you must prioritize open communication about potential environmental risks associated with your operations. This includes proactively engaging with stakeholders, such as local communities and employees, and being truthful about your ecological practices.
  A joint study by McKinsey and NielsenIQ reveals that consumers prefer green businesses. Consumers preferred goods that made the fewest prominent claims (like “vegan” or “carbon zero”) by over 8% more than non-claiming products. Moreover, shoppers prefer brands that make ESG-related claims, as they shop repeatedly for the same brand in a year.
• Prioritizing long-term sustainability over short-term profits: DuPont's focus on short-term profits led to long-term damage. The company lost billions of dollars in settlements and a damaged reputation. Adopt a long-term perspective, understanding that sustainable practices can establish investor confidence, enhance brand image, and attract environmentally conscious consumers.
  While this seems easy on paper, in truth, businesses are from the goal. UN-backed SME Climate Hub reveals only 50% of small businesses analyze emissions. Moreover, 3 in 5 organizations have plans to reduce carbon impact. Likewise, over 65% of small business owners claim they don’t have the appropriate training and resources to implement sustainable practices.
• Fostering a culture of accountability and whistleblower protection: The film showcases the bravery of whistleblowers who brought DuPont's actions to light. Establish a workplace where employees feel safe reporting environmental concerns without fear of retaliation. This can be achieved through simple reporting procedures, whistleblower safety programs, and a culture that values ethical conduct.
• Supply chain responsibility and due diligence: DuPont's case highlights the importance of understanding the environmental impact of your entire supply chain. Start by assessing the business’ environmental impact. Conduct thorough due diligence to ensure your suppliers and partners adhere to responsible environmental practices. This includes evaluating their waste management, emissions, and resource consumption.
• Proactive environmental stewardship: Don't just meet the minimum requirements. Strive to exceed environmental regulations and proactively seek ways to minimize your impact. This could imply investing in clean energy, enforcing waste reduction programs, or sourcing sustainable materials.
• Legal and regulatory preparedness: Keep detailed records of all environmental compliance measures. Include dates, actions taken, and responsible parties. These records protect your business if questions arise later. Set up an ecological compliance monitoring system.
  Track regulatory changes that affect your industry. Join industry associations providing updates on sustainability laws. Create a crisis response plan for ecological incidents. Include communication templates, emergency contacts, and step-by-step procedures. Train your team on these protocols.

Building a Culture of Environmental Responsibility

A culture of environmental responsibility begins with leadership. Business owners and executives should set the standard by highlighting sustainability in decision-making. Employees should be educated about the company’s societal goals and empowered to contribute to these efforts.

Partnering with environmental organizations and community leaders can help businesses develop impactful solutions. Collaboration ensures that your sustainability efforts address real-world challenges while fostering goodwill among stakeholders. The human health impacts portrayed in Dark Waters, including increased serious illnesses, highlight why corporate responsibility matters. 

You can prevent such tragedies and ensure your business remains ethical by creating a workplace culture that values accountability.

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Commonly Asked Questions

Q1. What are some real-world examples of companies facing consequences for environmental damage?

Beyond DuPont, think of the BP Deepwater Horizon in the Gulf of Mexico or the Exxon Valdez disaster. Volkswagen’s $30 billion greenwashing fine remains the largest to date. These events caused immense environmental harm and led to huge fines, lawsuits, and lasting damage to the companies' reputations. 

Q2. What are some resources for businesses wanting to improve their sustainable practices?

The EPA website is a great starting point. You can also find helpful information and tools from organizations like the Small Business Administration (SBA), the U.S. Chamber of Commerce, and local environmental groups.

Q3. How can small businesses make a real difference in environmental protection?

Start with low-cost initiatives like energy-efficient lighting and waste reduction programs. Many states offer grants and tax incentives for green business practices. Consider joining local sustainability networks to share resources and get discounted rates on environmental consultations.

“Dark Waters” reminds businesses that environmental accountability is not merely a legal obligation but a moral imperative. It highlights how ignoring environmental accountability can lead to devastating consequences for corporations and communities. The lesson from this story is clear: businesses should proactively address environmental risks for long-term success.

By conducting audits, adopting sustainable practices, fostering transparency, and cultivating a culture of responsibility, businesses can mitigate risks while contributing to a healthier planet. These efforts are not just good for the environment; they’re fundamental for building trust, resilience, and growth in today’s competitive marketplace.

Let Dark Waters serve as a wake-up call: environmental accountability isn’t optional; it’s a commitment every business must embrace.