In a statement, the Italian police labour protection service said it had “executed a decree of judicial administration issued by the Milan court” against a company operating in the high fashion sector.
The police said the company had been deemed “incapable of preventing or curbing labour exploitation within the production cycle by failing to implement adequate measures to verify the actual working conditions or the technical capacities of its contractors”.
That firm outsourced the work to another company, which in turn used workshops employing Chinese workers to save costs.
The judges of the Milan court found that Loro Piana “negligently facilitated” the exploitation, according to the police statement.
The police carried out inspections in factories run by Chinese citizens in the area surrounding Milan, finding violations of workplace rules as well as illegally built dormitories and unsanitary conditions.
The court also imposed fines totalling over 181,000 euros ($211,000) and administrative penalties of around 60,000 euros.
Loro Piana was acquired by LVMH in 2013, and is currently led by Frederic Arnault, son of LVMH chairman Bernard Arnault.
The Italian justice system has already carried out similar proceedings against other fashion houses including Armani.
In May, the Italian competition authority cleared luxury brand Dior -- also owned by LVMH -- of violations in working conditions but required it to pay a two-million-euro fine towards “victims of exploitation”. – AFP
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