
In response to government action to give refunds to make up for lost profits due to U.S. tariffs, the Clean Clothes Campaign (CCC) issued a statement calling on apparel brands importing to the U.S. to do three things.
First, the CCC said brands should “publicly disclose their tariff refunds received from the U.S. government.” Second, they are urging apparel brands to make sure that refunds from the government “reach garment workers and suppliers who have suffered the consequences of U.S. tariff increases.” And, lastly, they are calling on brands to provide details on “what actions they will take to ensure that garment workers are compensated for their share of the tariff burden.”
The Clean Clothes Campaign is a network of 220 organizations that is dedicated to improving working conditions as well as empowering workers in the global garment and sportswear industry. The network operates in more than 45 countries. “We hold brands accountable for their abuse and exploitation while pushing for long-term change in the industry,” the CCC noted on its website.
With this latest statement, the CCC said in the past few months, “many companies have received refunds from the U.S. government to compensate for reduced profits caused by the U.S. tariff hikes, which were struck down in February by the U.S. Supreme Court.”
The organization noted that big corporations that have received this compensation “include Target ($800 million), Amazon ($600 million), Nike ($300 million) and Columbia Sportswear ($78 million).” The CCC said none of these companies “have shared any information about how their refund will be used to compensate suppliers and workers upstream in their garment supply chain who had to absorb the added cost levied on the importers.”
Citing media reports and research from the Business and Human Rights Centre, the CCC said the introduction of the increased tariffs had sent shock waves through the apparel sector in 2025 and early 2026. “Millions of jobs were at risk as brands rapidly shifted their orders, seeking countries with lower rates and creating uncertainty among suppliers and garment workers globally,” the CCC stated. “While most brands have banked consistent profits and are now getting refunds for tariffs they paid, millions of workers have faced serious risks from the tariff turmoil.”
The CCC said the report from the Business and Human Rights Centre revealed how sourcing decisions by fashion apparel companies in response to tariff uncertainty “took a massive toll on a workforce that is already underpaid and stuck in precarious employment.” The CCC said many apparel brands put existing orders on hold and asked suppliers for price discounts, “or tried other approaches to push the negative impact of tariff increases up the supply chain.”
As a result, the CCC said thousands of workers lost their jobs when factories laid off workers. And they lost those jobs without severance pay or compensation.
“As with most crises, women and migrant workers were hit disproportionately hard: without work, many migrant workers did not have a place to live and, without any work available in garment factories, women were sometimes left with no choice but to engage in even more precarious work,” the CCC said in their statement.
The CCC also noted that exporters in Bangladesh said many U.S. brands pressured them to share the burden, “forcing suppliers to cut prices or agree to discounts to keep the orders flowing. They are now seeking a share of the refunds for the costs they were forced to absorb,” the CCC said, citing a report from The Business Standard.
Aside from tariff refunds, the CCC has several other ongoing campaigns. This includes solidarity with workers in Turkey who are unionizing in a factory that produces jeans for Levi Strauss & Co. and a manifesto called “Fashioning a Just Transition” for centering workers’ rights in climate action.
Another ongoing campaign calls for living wages for workers and alleges forced labor in the cotton industry.








