Overview

• The Tribunal of Milan imposed a one-year judicial administration on Loro Piana under Italy’s preventive justice framework to address caporalato in its cashmere supply chain.
• A court-appointed administrator has begun drafting a remediation plan to overhaul subcontracting practices and strengthen oversight.
• Investigators documented 21 exploited workers—including 10 employed off-the-books and seven without proper visas—and arrested one Chinese factory owner.
• Carabinieri labor inspectors suspended clandestine workshops, imposed over €240,000 in fines and shut two production sites for serious safety violations.
• Loro Piana stated it severed ties with the illicit subcontractors within 24 hours of discovering their operations in May 2025.