A new documentary from Netflix chronicles the dramatic implosion of one of the 2000s’ most recognizable retail empires. Trainwreck: The Cult of American Apparel, directed by Sally Rose Griffiths, presents a cautionary tale of corporate culture gone wrong. The film is the latest installment in the Trainwreck anthology series, which examines major public scandals and meltdowns. Through the perspectives of the former employees who witnessed it all, the documentary charts the company’s meteoric rise and its chaotic, spectacular fall under the leadership of its founder, Dov Charney. The film explores how a brand that once seemed to be revolutionizing the fashion industry with its progressive ideals ultimately became a textbook case of corporate collapse.
The Allure of an American Original
The documentary first establishes what made American Apparel a cultural phenomenon in the mid-2000s. A core element of its appeal was a radical commitment to ethical, sweatshop-free manufacturing. At a time when the fashion industry was moving production overseas, American Apparel built its identity on being Made in the USA. Its vertically integrated model, with a massive factory in Los Angeles, allowed for direct control over quality and a rapid response to changing trends. The film highlights that the company paid its workers, many of whom were immigrants, fair wages and provided benefits like subsidized meals and medical insurance—a cornerstone of its socially responsible reputation and a stark contrast to its fast-fashion competitors. This ethical branding was paired with an iconic and controversial advertising strategy. The campaigns were known for a sexually provocative, un-retouched, and minimalist aesthetic. Rejecting airbrushed supermodels, the brand featured real people—employees, friends, and sometimes adult film stars—often photographed by Charney himself. This created a raw, snapshot-like authenticity that resonated deeply with a young, urban, creative demographic. The combination of high-quality basics like colorful t-shirts and disco pants, edgy marketing, and an ethical production story created a powerful, cult-like allure. For idealistic young people, working at American Apparel was not just a retail job; it was a chance to be part of a movement, the antithesis of mainstream corporate brands.
Inside the Fashion Cult
The documentary then pivots from the brand’s shiny public image to the dark internal reality, detailing the cult-like atmosphere that flourished behind the scenes. At the center was Dov Charney, portrayed as a charismatic, visionary, and volatile leader who inspired intense devotion. To his young staff, working for him was seen as a unique opportunity to learn from a fashion revolutionary. However, the film uses harrowing employee testimonials to chart the devolution of this dream. What began as an exciting and creative environment gradually revealed itself as a toxic workplace where professional and personal boundaries were systematically erased. This blurring of lines was a feature, not a bug, of the company’s authentic ethos; the same employees who were used as models in sexually suggestive ads found those dynamics replicated in the office culture. One former employee’s sentiment, that it was a fashion cult they loved until they didn’t, encapsulates the narrative arc for many. The film details Charney’s chaotic and abusive management style. Testimonials recount him yelling at workers, throwing items, and making late-night phone calls just to tell an employee that he hated them. This behavior is presented as a regular part of the job, creating an atmosphere of fear where employees were told to win or submit. The psychological toll of this environment is underscored by one former staffer who states they will likely be in therapy for the rest of their life as a result of their time at the company.
A Pattern of Scandal and Misconduct
Trainwreck delves deep into the most serious allegations that defined the company’s later years: a persistent pattern of sexual harassment and misconduct surrounding Dov Charney. The film presents the idea that it was an open secret within the company that the CEO was sleeping with employees. This normalization of inappropriate relationships is shown as a key feature of the toxic environment, where the power dynamics between a powerful founder and young staff were exploited. The documentary recounts the multiple sexual harassment and assault lawsuits filed against Charney over the years. An attorney featured in the film describes the claims that landed on their desk as enraging and part of a clear pattern of behavior that happened over and over again. While detailing these allegations, the film is careful to provide the legal context. It notes that Charney has consistently and vehemently denied all accusations of misconduct. It also clarifies that he was never found guilty of or liable for any crimes. The lawsuits were either settled out of court or handled through private arbitration, a process that required non-disclosure agreements and effectively kept the specific details of the allegations from becoming public record. Regardless of the legal outcomes, the documentary positions these recurring scandals as a deeply corrosive force that shattered the brand’s ethical image, fueled the internal chaos, and ultimately set the stage for its demise.
The Financial Unraveling
The film’s final act connects the cultural and ethical rot to the company’s inevitable business failure. It establishes a direct link between Charney’s chaotic management, the endless scandals, and the company’s financial decline. The internal turmoil began to impact the bottom line as sales fell and debt mounted; the company had not turned a profit for years leading up to its collapse. The documentary details the boardroom coup that led to Charney’s suspension and eventual termination. This move was prompted not just by the long history of misconduct allegations, but by growing anxiety from creditors after an arbitrator found Charney guilty of defamation in a case involving a former employee. Charney’s subsequent, and ultimately failed, fight to regain control of the company by partnering with a hedge fund is also covered. From there, the collapse accelerated. The documentary chronicles the first Chapter 11 bankruptcy filing, a brief and tumultuous emergence as a private company, and a second, final bankruptcy. The narrative concludes with the sale of American Apparel’s intellectual property and some assets to Canadian manufacturer Gildan Activewear for approximately $88 million. That deal did not include the brand’s retail stores, which were all shuttered, nor its Los Angeles factory. The acquisition by Gildan marked the definitive end of an era, as the new owners abandoned the core Made in USA principle that had once defined the brand, moving manufacturing overseas.
Trainwreck: The Cult of American Apparel premiered on Netflix on July 1, 2025.
