Labour Lens

Harm on record. Has recent confirmed harm to workers that it hasn't put right.

Last researched 2 November 2026 · 7 sources

US brand selling women's bras, underwear, loungewear and activewear.

In 2021, Indian garment factories supplying Aerie's owner and other brands withheld a legally required pay rise from over 400,000 workers.

Also worth knowing

Aerie has only partly put this right.

Know something we've missed? Send evidence. Represent Aerie? Send a right of reply.

Compare Aerie with another brand

Why it's graded Harm on record

  • Not met: Meets 1 of 6 Good requirements.
  • Holds the grade back: It has 3 red flags: no evidence of a living wage, a hidden, unaudited supply chain in high-risk countries and a failing or very low rating (KnowTheChain 15/100 in 2023, for the company it's rated with). Two or more red flags means a poor grade.
  • Holds the grade back: It's Harm on record because of a serious confirmed problem from the last 5 years that it has only partly put right: unpaid or underpaid wages, last recorded in 2021.

How grades are decided


Good requirements 1 of 6

  • Not met: Pays a living wage, or holds a strong fair-pay certificationLiving wage: no evidence
  • Not met: Respects worker rightsMost of its products are made in countries such as China and Cambodia, where unions are heavily restricted, and it has no full supply chain audit.
  • Not met: Supply chain independently audited or certified, or at least 80% made in countries with strong labour standards
  • Met: No confirmed child or forced labour findings or linksAn unconfirmed report of forced labour is listed below. It doesn't affect the grade.
  • Not met: Names the factories or farms that make its products, or is fully certified by a scheme that holds and audits that list
  • Not met: High-risk raw materials (cotton) traced or certified, or not a major part of its rangeNot traced or certified: cotton

Red flags 3

  • Red flag: No evidence it pays a living wage
  • Red flag: Hidden supply chain, mostly in countries with poor worker rights
  • Red flag: Failing or very low score on an independent rating: KnowTheChain 15/100 (2023, the company it's rated with)

Stars it would earn as Good

None yet. Stars only show on Good companies. About stars

Where it's made

These are American Eagle Outfitters' countries across all its brands; Aerie doesn't say where its own products are made.

Where it's made, and conditions there
CountryWorker rightsLegal minimum wageForced labour risk
ChinaNo guarantee of rightsBelow a living wageModerate
VietnamSystematic violationsWell below a living wageModerate
CambodiaNo guarantee of rightsFar below a living wageModerate
BangladeshNo guarantee of rightsFar below a living wageModerate
IndiaNo guarantee of rightsWell below a living wageHigh
IndonesiaNo guarantee of rightsWell below a living wageModerate

Evidence

What we found

  • Signed the International Accord on garment factory safety
  • Doesn't show where its cotton comes from. Cotton is linked to forced labour in Xinjiang and Turkmenistan, and child labour in several growing regions, so it can't be graded Good until it traces or certifies it. Source

Research notes Aerie's clothes are made by the same independent supplier base as the rest of American Eagle Outfitters: more than 300 factories in over 20 countries, mainly in Asia, including China, Vietnam, Cambodia, Bangladesh, India, Indonesia and Jordan. No factory list, Aerie-specific sourcing or country shares are published. AEO signed the Bangladesh and International Accords, bans Xinjiang, Uzbek and Turkmen cotton, and audits factories yearly, but has no living wage plan. Many Aerie lines (underwear, loungewear) are cotton; leggings and bras are largely synthetic.

What independent sources say

SourceResultDetails
Fashion Transparency Index (Fashion Revolution)ListedAmerican Eagle Outfitters, Aerie's owner, scored 53.5 out of 250 (about 21%) in the 2023 Fashion Transparency Index. View
KnowTheChainProblem foundAmerican Eagle Outfitters scored 15 out of 100 in the 2023 KnowTheChain apparel and footwear benchmark. View
Business & Human Rights Resource CentreListedAmerican Eagle Outfitters profile records 7 response requests with a 72% response rate, covering factory closures in Bangladesh and Indonesia and worker representation. View
Baptist World Aid Ethical Fashion ReportNot listedAmerican Eagle Outfitters is not rated in the 2026 Ethical Fashion Report, nor in earlier editions; its Good Shopping Guide page shows no Ethical Fashion Report score. View

Confirmed issues 1

Only confirmed problems are listed, and old ones drop off after 10 to 15 years. A problem the company has fully put right no longer counts against it, and nor does one it finds and is fixing itself. How problems are counted

Last recordedWhat happenedMade amends?
2021The Worker Rights Consortium found in 2021 that garment factories in Karnataka, India, supplying American Eagle Outfitters, Aerie's owner, had withheld a legally required wage increase from more than 400,000 workers since April 2020 (WRC, 2021). Source · search the archivePartlyIn late 2021 AEO was one of ten brands that agreed to tell its Karnataka suppliers to pay the arrears and the increase; no source confirms workers were paid in full.

Unconfirmed reports

Credible reports that haven't been confirmed by a regulator, completed investigation or the company. They're shown for your information and don't affect the grade.

  • A 2021 Sheffield Hallam University report, 'Laundering Cotton', linked American Eagle Outfitters among many brands to supply chains that may use cotton made with Uyghur forced labour; the company bans Xinjiang materials (ethical.org.au summary, 2021). Source

Sources and actions

Sources 7

Show all 7 sources
  1. Update on Massive Minimum Wage Violation in Karnataka, India (WRC) · search the archive · Dec 2021: American Eagle named among brands whose Karnataka suppliers withheld dearness allowance; agreed to direct suppliers to pay
  2. American Eagle Outfitters - Business & Human Rights Resource Centre · search the archive · FTI 2023 53.5/250; KnowTheChain 2023 15/100; 7 response requests, 72% response rate
  3. American Eagle Outfitters Inc - Good Shopping Guide (ethical.org.au) · search the archive · No published supplier list; Accord signatory; 2021 Sheffield Hallam Xinjiang cotton concern
  4. Myer strikes deal with US apparel companies (Ragtrader, 2022) · search the archive · American Eagle and Aerie launched online and in 40 Myer stores in Australia from October 2022
  5. Responsible Sourcing - AEO Inc. · search the archive · 300+ factories in 20+ countries; yearly internal or third-party audits; Accord signatory; Xinjiang, Uzbek and Turkmen cotton bans
  6. AEO ESG 2024 Progress Update · search the archive · 67% of AEO cotton from recycled, organic or Better Cotton programmes in 2024; cotton a main fibre across its brands
  7. AEO Q1 2026 Investor Presentation · search the archive · 335 Aerie and OFFLINE stores; Aerie a segment of American Eagle Outfitters

Company details

Headquarters
United States
Last researched
2 November 2026
Cite this page
Labour Lens, "Is Aerie ethical? Labour rating", https://www.labourlens.net/brand/aerie, last researched 2 November 2026, accessed [date].
Method
Researched with AI assistance against published rules. How we check · What Harm on record means

Better-graded underwear and sleepwear

Something missing or wrong?

Grades are opinions based on the evidence listed here. Send us evidence, or a right of reply if you represent Aerie.