
Amid widespread reports of worker exploitation, Italian legal and political authorities, fashion industry bodies, and trade unions have come together to sign an action plan aimed at combating abuse in the apparel and accessories supply chain.
The plan targets what’s described as “a generalised manufacturing method” that sacrifices worker safety for profit. Though not legally binding, the initiative follows investigations by prosecutors in Milan, who uncovered workshops where mostly immigrant workers were making leather bags without pay. These bags were then sold to major luxury brands such as Dior and Armani for a tiny fraction of their retail price.
Similarly, this month, one of the units of Valentino has also come under scrutiny and placed under judicial administration for a year over the issue of workers’ abuse in its supply chain. According to Fabio Roia, the president of Milan’s court system, the goal of this signed memorandum is to have no interference from the court.
This memorandum will focus on the creation of a database of brands’ suppliers and their workforces. The supply chain firms will be required to voluntarily enter the data on the platform including information regarding tax compliance, social security contributions, and labour law compliance. This data will have to be updated every six months.
With Italy contributing to half the world’s production in the luxury fashion segment, this agreement seeks commitment from the fashion brands to raise awareness about this new platform among their suppliers and encourage them to enter their data, in a bid to tackle exploitation at workplaces.