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LVMH's Dior Maker Under Investigation for Labor Exploitation in Italy

Milan court places LVMH subsidiary under administration amid allegations of worker mistreatment by subcontractors.

Overview

  • The probe revealed Dior's Italian unit subcontracted work to Chinese-owned firms exploiting workers.
  • Investigations found workers lived in the factories and lacked proper documentation.
  • Safety devices were removed from machinery to cut costs, compromising worker safety.
  • This is the third such case in Milan this year, following similar rulings against Giorgio Armani.
  • Luxury firms face increasing scrutiny over supply chain practices and labor conditions.