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LVMH’s Dior, Giorgio Armani, other luxury brands in spotlight over workshop conditions

LVMH’s Dior and Giorgio Armani are among luxury brands exposed over sweatshop-like conditions for migrant workers in Italian workshops

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A guest carries a Dior Saddle bag at the Dior spring/summer 2019 show in Paris, France. The LVMH-owned label is under the spotlight, together with other luxury brands including Giorgio Armani and Alviero Martini, over the working conditions of migrant workers in their Italian workshops.

“Made in Italy: shame in Italy,” chanted a handful of migrant labourers last week in Geneva, Switzerland, outside the flagship store of luxury accessory maker Montblanc, having travelled from Italy’s famed leatherwear region Tuscany.

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Standing about 3km (two miles) from where Montblanc’s US$76 billion parent company Richemont was meeting shareholders, the workers – flanked by more than a dozen Italian and Swiss union officials – accused the pen and watch maker of dropping its supplier Z Production in 2023 because of rising costs.

The Chinese-owned contractor, based in Tuscany, had improved its working conditions in October 2022 after years of irregular contracts and long shifts, workers and union officials said.

“Montblanc ended the contract because we wanted to work eight hours a day, five days a week as legal workers,” said 23-year-old Zain Ali, from Pakistan. He worked for Z Production for two-and-a-half years, applying metal Montblanc logos to leather accessories. “They just wanted slaves.”

Migrant workers and union members demonstrate in favour of fair working conditions in the “Made in Italy” supply chain, in Geneva, Switzerland, on September 11. Photo: Reuters
Migrant workers and union members demonstrate in favour of fair working conditions in the “Made in Italy” supply chain, in Geneva, Switzerland, on September 11. Photo: Reuters

Z Production did not respond to a request for comment for this story. Montblanc said in a statement it had decided to terminate Z Production’s contract in early 2023 because its audits showed the contractor had failed to meet its standards as outlined in Richemont’s code of conduct for suppliers.

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This year, investigations by prosecutors exposed sweatshop-like conditions at 16 workshops near Italy’s fashion capital Milan that manufactured products for luxury brands Dior, Giorgio Armani and Alviero Martini, according to court documents.

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