Labour Lens

American Eagle

Harm on record

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

Last researched 2 November 2026 · 7 sources

US casual clothing brand best known for jeans.

In 2021, Indian garment factories supplying American Eagle and other brands withheld a legally required pay rise from over 400,000 workers.

Also worth knowing

American Eagle has only partly put this right.

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Why it's graded Harm on record

  • Not met: Meets 1 of 6 Good requirements.
  • Holds the grade back: It has 2 red flags: no evidence of a living wage and a hidden, unaudited supply chain in high-risk countries. 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 Bangladesh, 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 and leather) traced or certified, or not a major part of its rangeNot traced or certified: cotton

Red flags 2

  • Red flag: No evidence it pays a living wage
  • Red flag: Hidden supply chain, mostly in countries with poor worker rights

Stars it would earn as Good

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

Where it's made

American Eagle names some of the countries it makes in: China, Vietnam, Cambodia, Bangladesh, India, Indonesia and Jordan. The rest is shown as where clothes and shoes are usually made.

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

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
  • Uses leather in only a few products and doesn't show where it comes from. That doesn't count against it for Good, but the "Open supply chain" star needs all of it traced, certified or upcycled.

Research notes American Eagle's clothes are made by independent suppliers running more than 300 factories in over 20 countries, mainly in Asia; it names China, Vietnam, Cambodia, Bangladesh, India, Indonesia and Jordan but publishes no factory list or country shares. It signed the Bangladesh and International Accords, bans Xinjiang, Uzbek and Turkmen cotton, and has factories audited yearly by its own staff or third parties. Its code mentions promoting a living wage, but there is no living wage plan. 67% of its cotton came through Better Cotton, organic or recycled programmes in 2024.

What independent sources say

SourceResultDetails
Fashion Transparency Index (Fashion Revolution)ListedAmerican Eagle Outfitters scored 53.5 out of 250 (about 21%) in the 2023 Fashion Transparency Index. View
Business & Human Rights Resource CentreListedCompany profile records 7 response requests with a 72% response rate, covering factory closures in Bangladesh and Indonesia and worker representation; KnowTheChain 2023 score 15/100. 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 brands including American Eagle 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 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
  • iNews reported in 2024 that a Bangladeshi migrant worker at Fine Apparel, a Jordan factory run by AEO supplier Needle Craft, died by suicide in 2023 after alleged supervisor abuse, with withheld passports also alleged; AEO said it worked with the supplier on remedial actions (BHRRC, 2024). 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 scores 2019-2023 (53.5/250 in 2023); 7 response requests, 72% response rate; KnowTheChain 15/100
  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. Jordan: abuse at Under Armour, Columbia and American Eagle supplier factory (BHRRC) · search the archive · iNews 2024: worker death at Needle Craft's Fine Apparel, Jordan, after alleged abuse; AEO says it worked with supplier on remedial actions
  5. American Eagle Outfitters Form 10-K, fiscal 2025 · search the archive · Merchandise bought mainly from vendors in Asia; about 45,000 associates as of February 2026
  6. Responsible Sourcing - AEO Inc. · search the archive · 300+ factories in 20+ countries; China, India, Jordan, Bangladesh, Indonesia, Vietnam, Cambodia named; yearly audits; Accord; Xinjiang ban
  7. AEO ESG 2024 Progress Update · search the archive · 67% of cotton from recycled, organic or Better Cotton programmes in 2024; cotton is the main fibre in its jeans and basics

Company details

Headquarters
United States
Employees
About 45,000
Last researched
2 November 2026
Cite this page
Labour Lens, "Is American Eagle ethical? Labour rating", https://www.labourlens.net/brand/american-eagle, last researched 2 November 2026, accessed [date].
Method
Researched with AI assistance against published rules. How we check · What Harm on record means

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