The benefits of e-waste management go beyond the environment

Electronic waste (e-waste) is the fastest-growing solid waste stream in the world, according to the World Health Organisation. Over 61 million metric tons of electronic devices, such as computers, servers, smartphones, and printers, were discarded in 2023, and the annual total is expected to grow to nearly 75 million metric tons by 2030. Less than 18% of that digital scrap is currently recycled.

Growth in e-waste has accelerated as the useful life of electronic equipment has grown shorter. Digital transformation initiatives have increased the pressure on IT executives to outfit their workforces with the latest technology – and lots of devices.

Heavy metal stew

All that electronic equipment is a ticking environmental bomb. IT assets contain hazardous materials like lead, mercury, and cadmium, which can leach into the environment if disposed of improperly. Heavy metals pollute the soil and groundwater, creating health hazards for people and wildlife. Electronics disposal even drives increased mining activity when precious metals aren’t reclaimed. One ton of circuit boards is estimated to contain up to 800 times more gold than one ton of gold ore. While the individual quantities are small, extracting them at scale is profitable. Tom's Hardware recently reported that some companies earn up to $85,000 daily by recycling gold and copper from discarded electronics.

Discarded or recycled electronic devices may also contain sensitive data. In 2022, a large global bank paid $60 million to settle a lawsuit by customers who claimed the firm failed to delete personal data when retiring old information technology. A 2021 Kaspersky audit of second-hand devices in the U.K. found that 90% contained traces of private and business data and 74% held data that could be recovered with special tools.

Sustainability mandate

IT executives can’t afford to ignore the e-waste problem. More than 90% of S&P 500 companies now have environmental, social and governance initiatives in place, making sustainable practices a business mandate. Failure to responsibly manage IT asset retirement can turn into a reputational nightmare.