What: A Profit Sharing Program to "spread the wealth" with its Peruvian employees.
When: Twice a year
Where: Between the USA and Peru.
Why: To set an example of good working conditions and more than fair wages in the ready-to-wear apparel industry.
Verdette sets an ethical example by offering profit share to factory workers in its Peruvian facility. The thought leader in mens Tribal Artisan designer apparel, Verdette, have seen great expansion in boutqiues accross the USA in 2012.
Each employee's profit share may reach up to 10% of their accrued wages of the previous 6 months. The profit share is distributed up to twice a year depending on the success of the previous 6 months, aligning with the delivery and payment cycle of the Winter and Summer apparel seasons in the USA. This plan will include all full-time employees who are dedicated to the work of; design/ development, programming, pattern-making, marketing, embroidery, purchasing, and even sewing the garments day-to-day.
The corporate practices of profit share are less abundant in large firms throughout Central and South America. Verdette Brand Manager Nathan Myer states, "As the textile industry in Peru grows, we must compete more and more to retain employees with advanced skill sets. We see it as a no-brainer to set an ethical example in the form of a Profit Share Program in our Peruvian Verdette facilities."
Head designer Jean Pozzi Escot says,"It is important that management and employees all see the same goal and feel the same excitement to reach it, whether it be in completeing the design or building the product." When Jean was annoncing the initiative to the employees he described it as, "When it rains, everyone needs to get wet."
In Peru it is already written in the law for employees to be paid time and a half during the months of July and December, respectively the months of the Peruvian Independence Day and Christmas. The Verdette Profit Share Program will further increase the amount their employees stand to make in a year.