It’s shocking to see this legislated. As if companies are just out here wantonly destroying otherwise valuable goods that could have been easily sold at a profit instead. I guarantee this problem is far more complex and troublesome than the bureaucrats would ever understand, much less believe, yet they have no problem piling on yet another needless regulatory burden.
It's been known for ages that they operate like this. Some more ethical ones cut off the labels from the garment before they sell it in bulk. Most will destroy the items altogether.
This legislation targets this vanity and I applaud it.