Garment Factory Workers in Southern California Are Calling for a Boycott of American Apparel
The General Brotherhood of American Apparel Workers (GBWAA), a union for garment workers at American Apparels southern California manufacturing facilitiesone of which, its downtown Los Angeles location, is the largest garment-making factory in the countryhas called for a boycott of the brands merchandise, pointing to mass layoffs and reduced compensation and benefits that have intensified since new management in January 2015 began a process of post-bankruptcy restructuring throughout the corporation.
GBWAA is currently awaiting a certification election date from the National Labor Relations Board, and workers with the union say they are calling for the boycott because American Apparel consumers must know the corporation is not the high-wage, sweatshop-free company once marketed itself to be, especially since Paula Schneider replaced American Apparel founder Dov Charney as chief executive officer of the corporation.
Schneider's appointment was approved by a corporate board that had been mostly hand picked by the hedge fund Standard General, who effectively had control of the company after a failed bid by Charney to regain control. Previously ousted as CEO amid reports of alleged sexual misconduct, Charney saw millions of his voting shares go to Standard General. When the company filed for bankruptcy in October 2015, claiming its debt was insurmountable, complete ownership went to the companys principal debtholders: Goldman Sachs Asset Management, Monarch Alternative Capital, Coliseum Capital, Pentwater Capital Management and Standard General (famous for their previous alleged hostile takeover of Radioshack), who kept on Schneider as CEOmuch to the dismay of Charney and workers at American Apparel production sites that had already began organizing.
Union president Stephanie Padilha dos Santos tells In These Times, If youre used to buying American Apparel and think that the company is great and that the whole concept of paying fair wages in [the garment] industry was what made the company a huge success, then we invite you now to boycott the brand because it is no longer sweatshop-free.
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http://inthesetimes.com/working/entry/19096/american-apparel-boycott-workers-union-gbwaa-southern-california