Investigations into exploitative working conditions in the Italian fashion and luxury industry appear to be continuing.
The Milan public prosecutor Paolo Storari, in collaboration with the responsible investigative authorities, has asked 13 other fashion suppliers to hand over documents. This applies in particular to the documentation of control systems in the supply chain as well as when awarding contracts and subcontracting in production.
Industry associations complain about “public exposure” of brands
On Thursday, Italian industry associations Confindustria Moda and Confindustria Accessori Moda released a statement on the Milan Public Prosecutor’s Office’s recent activities regarding illegal intermediation practices in the fashion supply chain. The industry organizations were “deeply concerned about the increasing media exposure”. This threatens to cause profound and unjustified damage to the image and thus the economy of the entire sector.
According to reports, the prosecution’s latest activities are due to the fashion houses in question appearing as clients in the files on illegal Chinese factories. They are said to have subcontracted production to contractors and subcontractors who violated labor and safety laws.
According to the Italian news agency Ansa, the Milan public prosecutor’s office has now demanded that documents be handed over. These are intended to investigate possible further cases of exploitation. The brands affected are Dolce & Gabbana, Versace, Prada, Gucci, Missoni, Ferragamo, Yves Saint Laurent, Givenchy, Pinko, Coccinelle, Adidas, Alexander McQueen Italia and Off-White.
In his applications, the public prosecutor pointed out that incidents of exploitation had become known during investigations against other well-known fashion companies. This involves the use of Chinese workers in workshops or dormitory factories. Products from luxury brands were also found there, from which documents have now been requested. For all 13 companies, the public prosecutor’s office seems to see suspicions of illegal practices in the production chain, which should now be investigated.
The fashion associations agree on the necessity. Every form of illegality along the sector’s value chain must be combated decisively. Protecting the dignity of workers as well as legality and transparency is an indispensable shared value. This applies to the defense of a strategic sector of “Made in Italy”. This is recognized worldwide for excellence, quality and creativity. Nevertheless, there is great concern about the media display. This could damage the image and business of the entire industry.
“Public naming of brands and companies in preliminary stages of investigations risks the reputation of the sector. This sector represents one of the pillars of the national economy, as well as exports and the country’s cultural identity. This also invites misunderstandings from the international media. It generates a negative response,” explained Confindustria Moda and Confindustria Accessori Moda.
“Disproportionate media reports” exacerbate “pre-existing difficulties”
The Italian fashion trade association Federazione Moda Italia-Confcommercio also pointed out the critical development. Since 2021, 23,000 sales outlets in the fashion sector have been closed in Italy. “In such a fragile environment, disproportionate media reports further exacerbate the existing difficulties. This creates mistrust among national and international consumers. Investors and the entire supply chain are also affected,” it said in a statement.
The associations have long been committed to the front line alongside the responsible authorities. You will work on the design and development of valid control, audit and monitoring systems for the supply chain. They have also taken part in the ongoing legislative process from the beginning. This concerns the regulation of the uniform certificate of conformity for fashion supply chains. The aim is to promote legality in the sector.
Associations demand “balance, responsibility and respect”
“It is essential, however, that this commitment takes place in a climate that does not unjustifiably jeopardize an industrial and cultural heritage. This heritage belongs to the entire country. The associations therefore ask for balance and responsibility. They demand respect for the work of thousands of companies and hundreds of thousands of employees. The necessary fight against illegality must not become a mere media spectacle. This would cause irreparable damage to a supply chain that characterizes the value of ‘Made in Italy’ in the world,” closes the message.
Confindustria Moda is one of the world’s largest advocacy groups for the textile and fashion industry in the Western world. The association represents a sector with almost 400,000 employees and more than 40,000 companies. It represents a fundamental component of the Italian and European economic and manufacturing fabric.
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