Final Back Pay Distribution at Style Avenue

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To:WRC Affiliate Universities and Colleges
From:Scott Nova, Tara Mathur, Ben Hensler
Date:March 18, 2025
Re:Final Back Pay Distribution at Style Avenue

We are pleased to report that the final installment of funds provided by Outerstuff has been delivered to the employees of Style Avenue in El Salvador. On average, workers have received back pay equivalent to 18 months of wages. Some workers were owed, and have now been paid, the equivalent of three years’ pay.

As previously reported, after the WRC documented the failure of Style Avenue to pay $1.8 million in legally mandated compensation, Outerstuff, which made university logo apparel there for many years, agreed to provide the funds necessary to remedy the violations. The WRC, working with a Salvadoran human rights group, distributed the first $1.2 million last year. In consultation with worker representatives, the WRC agreed that Outerstuff could pay the last tranche of funds at the outset of 2025, with interest. Outerstuff provided those funds in January, and we carried out the distribution to workers last month.

This completes the remediation process and fully resolves all university code of conduct issues at Style Avenue. We appreciate that Outerstuff met all of its remedial commitments in full and on schedule.

Workers have spoken to our team about what it meant to them and their families to receive their back pay last year—and, now, to get this final installment. Workers have been able to pay off crushing high-interest debt, stay in homes they were in danger of losing, and procure much better nutrition for their families. Some workers had been unable to keep their children in school, but those kids are now back in school and continuing their education. Many workers are able to take care of medical needs they had postponed. One worker, who received an oncological diagnosis at the time the factory closed, gave moving testimony about finally being able to receive vital cancer treatments. Some workers have used their funds to start small businesses.

So far this year, as a result of the WRC’s efforts, workers at three collegiate factories have received $5 million in legally mandated compensation they would otherwise not have been paid. We are working to finalize a commitment for $700,000 in back pay at a fourth factory, and we will be reporting to you on that new case soon.

As always, please let us know if you have any questions.