Dior Italy Unit Put Under Court Control on Alleged Labor Issues
The Dior case followed an investigation into Giorgio Armani SpA for the similar labor issues.
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A Milan court put a unit of the French fashion house Christian Dior under judicial control citing alleged labor violations, an Italian official said.
Manufactures Dior Srl, which produces in Italy luxury bags and accessories for LVMH’s Dior, didn’t “prevent and stem labor exploitation within its production cycle,” the Italian police said in a statement. Subcontractors exploited undocumented and illegal workers and failed to comply with labor, health and safety rules to slash production costs, according to the statement.