Six months after retail store American Apparel fired its chief executive and founder Dov Charney, the company has hired retail executive Paula Schneider as a replacement.
Schneider, who will become American Apparel’s first female chief executive, will take over the position as of January 5.
Charney had led American Apparel since 1998 and became well-known from American Apparel’s sexist advertising and from several sexual harassment lawsuits and sexual assault accusations against him by former employees. Charney was removed in June but was brought back on a month later as a “strategic consultant.” After an investigation by the company, a statement was released that did not bring up the harassment or assault accusations, but did state that “based on this investigation, the special committee determined that it would not be appropriate for Mr. Charney to be reinstated as CEO or an officer or employee of the Company.”
Earlier this year Charney said he would seek severance pay of between 23 and 25 million dollars. Schneider says she strives to make American Apparel a better company while “staying true to its core values of quality and creativity and preserving its sweatshop-free, Made in USA manufacturing philosophy.”
“This company needs a permanent C.E.O. who can bring stability and strong leadership in this time of transition, and we believe Ms. Schneider fits the bill perfectly,” said David Danziger, a co-chairman of the American Apparel board.
Media Resources: Think Progress 12/17/2014; The New York Times 12/16/2014, 6/19/2014; The Economic Times 6/25/2014; Feminist Newswire 6/19/2014; Reuters 3/25/2011