American Apparel Will Be Laid Off In A Large Area.

According to the world clothing shoes and hats net, the United States Clothes & Accessories brand American Apparel The auction completed all procedures last Friday and will be laid off in a large area. subsequently brand The spokesman immediately denied this hearsay and refused to respond to personnel changes to happen on Monday.

Last Friday, security personnel began patrolling the factories and headquarters in Losangeles. According to an anonymous employee, the company's layoffs on Monday will cut thousands of employees, including factory workers, intermediate staff and senior executives. In addition, the company has withdrawn the worker's work visa from last week.

One employee said that every employee wanted fair treatment from the company, even though they had tried to win different results for themselves, but they could not play a specific role.

In November last year, American Apparel informed the California employment development department that the company would cut out a total of 3500 employees in Losangeles, South Gate and GAD grove, but the company said it was a legal measure to reduce uncertainty in the sale of business. According to the staff, the departmental staff were fired when the layoff plan came out, but there is no expectation of large-scale personnel turmoil on Monday.

The Canadian apparel maker Gildan Activewear group (GIL.TO) raised the bid amount to $88 million at the bidding meeting held last week, successfully bringing the 2016 American Apparel, the US apparel brand that filed for bankruptcy protection in 2016. In addition, the company's sale at Garden Grove's factory was sold to Broncs company, and a preliminary agreement was reached to retain all the 332 employees of the factory.

American Apparel CEO Chelsea Grayson pointed out in a letter to workers last Thursday that Right Management, Los Angeles Economic Development Corp and government services departments will help workers find new jobs. Gildan Activewear group said that in the handover stage, it wanted to leave the Department's old staff to help the business progress, but according to people familiar with the matter, the number of retained employees will be less than 50.

However, according to the world clothing and shoe net, based on the initial purchase agreement of Gildan Activewear group, more positions will be retained in American Apparel company. In addition, in the next 90 to 120 days, Gildan group will begin to liquidate the remaining stores of American Apparel.

American Apparel, which is famous for its full suggestive advertising, was founded in 1986 by Dovcharney in the United States. At the peak of its brand, AmericanApparel has a market value of more than 500 million US dollars and has a turnover of more than 600 million US dollars, but now its brand income has been seriously cut down, and it has fallen into too much inventory surplus and inefficient corporate quagmire. The company began to lose money in 2009, and in the last fiscal year, AmericanApparel recorded a loss of up to 75 million dollars.

The company tried to spanform the sexy clothing style from Dov Charney in power, because the stock price was lower than a dollar for a long time, and American Apparel was eliminated by the NYSE in November 6, 2015. Only 6 months after American Apparel first declared bankruptcy, the founder and chief executive, Dov Charney, finally decided to step down because they could not reverse the company's losses.

In October last year, American Apparel CEO Paula Schneider, who took office for only 2 years, announced her resignation. She failed to save the deteriorating performance and filed bankruptcy protection for American Apparel for the second time.

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