On 14 July 2025, the Court of Milan placed Loro Piana Spa (Loro Piana), owned by LVMH, under court administration for one year. This is the fifth case involving a fashion brand placed under judicial oversight for labour abuses in Italy’s luxury supply chains.
The ruling follows a 2025 investigation by Carabinieri labour inspectors, who shut down a Chinese-run workshop in Milan producing Loro Piana jackets. Ten Chinese workers, including five undocumented migrants, were forced to work up to 90 hours a week for €4/hour and sleep in illegally converted rooms on-site. The case began after one worker was assaulted by the employer over unpaid wages.
The court found Loro Piana had subcontracted production through two intermediary firms with no manufacturing capacity, which passed orders to illegal workshops. While Loro Piana is not facing criminal charges, the owners of the intermediaries and workshop are under investigation for worker exploitation and unregistered employment.
The court concluded that Loro Piana “culpably failed” to oversee its supply chain in pursuit of profit. A court-appointed administrator will monitor the company’s remediation. The administration may be lifted early if Loro Piana strengthens oversight and compliance. In similar cases, restrictions on Dior and Armani were lifted after ten and nine months, following steps to sever ties with high-risk subcontractors and improve oversight.
This is part of a broader investigation into garment sector abuses in Milan and Bergamo. Previous rulings placed Dior, Armani, Alviero Martini, and Valentino Bags Lab under similar administration.
In ADA, Due Diligence Design’s global risk assessment database, Italy scores extremely high for migrant worker risks including forced labour, excessive hours, and informal employment. We expect continued legal actions against subcontractors and brands sourcing from Italy.