That is exactly what happened. Private citizens pitched a fit and pink slime was taken out of some products. Those who put pink slime in their products do not put it on the label because they are not legally bound to do so. That is because they got the gubmint to allow them to call pink slime beef. You will never see it on a label.
Yes; based on raw emotion coupled with ignorance.
Not even the nut jobs at Center for Science in the Public Interest worried about pink slime, "noting rather depressingly that a lot worse things go into the daily diet." full article quote taken from
Do I eat it? No very often; we grind our own meat, so unless buying the occasional restaurant burger; or when invited to someone else's house; it isn't an issue with us.