Italy moves to safeguard the reputation of the fashion sector after work scandals

Some illegal companies in the fashion supply chain have contaminated the image of 'Made in Italy', Italy's minister said Tuesday, adding that he is working on a certification scheme to remedy this after the last case of high profile.

The Loro Piana Kashmir Company, controlled by the French LVMH luxury group, was put under the judicial administration last week after prosecutors discovered evidence of workers' abuse in their supply chain.
The label was the fifth high -end brand to undergo such monitoring of the court in Italy since the beginning of 2024.

“We cannot allow the illicit behavior of a few to compromise the reputation of the entire sector, penalizing many virtuous companies and, consequently, our brand made in Italy, which is a symbol of excellence and quality,” said Minister Adolfo Urso, the fashion commercial bodies during a meeting, according to a source.

The Ministry is working to a measure to certify the sustainability and legality of companies in the supply chain in advance, he added, so that brands do not have to respond for the realization of their suppliers or subcontractors.

The units of the fashion brands Valentino, Dior, Armani and the company of Italian bags Alviero Martini were previously located in administration in Italy for an exploitation of matters of similar workers.
In the case of Loro Piana, the Milan Court considered that “falsely failed to” adequately supervise its suppliers to obtain greater profits, according to the ruling.

Prosecutors in that case said that the violation of the rules between fashion companies in Italy was “a generalized and consolidated manufacturing method.” Italy is home to thousands of small manufacturers representing 50% -55% of world production of luxury goods, Bain consulting has calculated.

The Italian legal and political authorities, the organizations of the fashion industry and the unions signed an action plan in May to combat the exploitation of workers in the clothing chain of clothing and accessories, after prosecutors discovered generalized abuse.