Dior Embroiled in Scandal Over Labor Violations
The well-known fashion brand Christian Dior, or more commonly known as Dior, has been involved in a major scandal over violations that allow and encourage labor exploitation. It was reported that the Italian subsidiary of the French luxury brand giant LVMH, which produces Dior brand bags, was taken to court over violations that violated workers’ rights.
According to a decision dated June 12, 2024, the Milan court has ordered Dior to be placed under judicial management for one year. While the company continues its activities, the situation of 32 workers has also been closely examined. It was stated that there were illegal immigrants among the workers and that their health conditions were inadequate.
Armani Also Faces Similar Allegations
Last April, it was revealed that the company owned by the Giorgio Armani fashion group was facing similar allegations. The Armani group said it was trying to minimise abuse in its supply chain, but faced accusations that manufacturers in China were violating workers’ rights.
Investigations Continue in Luxury Brands’ Supply Chains in Italy
Investigations into labour rights violations in luxury brands’ supply chains are ongoing in Italy. The country produces a significant portion of the world’s luxury goods, but low-cost Chinese companies are said to be negatively impacting the industry.
Such investigations in the fashion industry continue to capture the attention of consumers and investors, with court decisions in Italy causing luxury brands to reexamine their relationships and responsibilities with their suppliers.
