Over 100 American Apparel employees have protested new company plans to cut jobs and shut down stores that are not meeting sales requirements. The workers have assembled outside the retail chain's headquarters in downtown Los Angeles, Biz Journals reports.
They carried signs that read "Stop lying," and "Corruption & Media Manipulation -- That's the #newAmerican Apparel," according to the site.
Plans to cut jobs and store locations were announced last week after American Apparel officials announced that the company faces nearly two dozen lawsuits from former Chief Executive Officer Dov Charney, who was terminated from his position late last year. As a result, the company is moving forward with a a $30 million "cost-cutting" program that will take place over the next 18 months, CNN Money reports.
"We are committed to turning this company around," recently-appointed CEO Paula Schneider told the site. Although American Apparel will undergo major changes in their business model, Schneider assures investors and customers that the company intends to "preserve jobs for the overwhelming majority of our 10,000 employees and return the business to long-term profitability."
Charney, who was dismissed from his position twice last year over accusations of sexual harassment and mismanagement, has taken action against American Apparel. He has claimed in past interviews that he was fired illegally and personally targeted by the company's leadership.
American Apparel was founded in 1989 in Montreal, Canada.
