Baby carrots - the smooth, peeled ones in a bag - are just regular carrots cut into 1 1/2 to 2 inch lengths and tumbled around in a kind of sanding drum until the ends are rounded off. I am guessing that the carrots are peeled or sanded first, maybe a few layers are shredded off for the carrot shreds you see in bagged salads or on salad bars, and the rest of the carrot is turned into 'baby' carrots. The different widths of the baby carrots are determined by whether that particular length came from the wide end or the skinny end of the carrot.
No big deal, really, but I just don't like being lied to, so I buy regular organic carrots, scrub them with the rough side of a sponge, and cut them into coins for cooking or eating raw with dips. Just as good, and cheaper, too.
If the problem with eating the carrots raw was because of pesticides, it seems those would have been removed when they were cleaned and peeled during processing, and if the chemicals are imbedded in the carrots and can't be removed by a good washing, how is cooking them going to help matters?
Anyway, organic or not, I am sure it's fine to eat raw baby carrots in general, they sell them in little pots with dip at Boots and M&S for just that purpose. I would ignore that particular warning label, maybe the company puts that label on everything they sell so if someone comes at them with a lawsuit because they got listeria or salmonella from their raw veg they can just say 'hey we told you to cook it!' It's just paranoid overkill, much like the package of roasted peanuts I am eating from right now that says WARNING MAY CONTAIN NUTS.