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LVMH's Loro Piana put under court administration in Italy over labour exploitation
MILAN, ITALY, JUL 14 – Loro Piana faces a one-year judicial administration after subcontracting to Chinese-owned workshops accused of worker exploitation despite a May 2025 anti-exploitation accord, Milan court ruled.
- On July 14, 2025, an Italian court placed LVMH's high-end cashmere brand Loro Piana under judicial administration following labor abuse allegations.
- This action followed investigations revealing Loro Piana subcontracted production to Chinese-owned workshops accused of worker exploitation within Italy's luxury sector.
- Since December 2023, Milan courts have investigated five fashion companies for labor-related issues, with Loro Piana becoming the latest to face scrutiny following earlier cases involving Dior, Armani, Valentino, and Alviero Martini.
- Prosecutors called these labor violations a "generalised and consolidated manufacturing method" and the court found Loro Piana failed to oversee suppliers to prioritize profits.
- The one-year administration will be lifted early if Loro Piana complies with legal standards, signaling ongoing pressure on Italy's luxury brands to improve supply chain oversight.
56 Articles
56 Articles
The Italian fashion house Loro Piana, owned by the French luxury giant LVMH, was placed under "judicial administration" in Italy for having "facilitated by negligence" the exploitation of workers at subcontractors, according to the verdict of the Milan court.
The Milan court blames the company for not having put in place the "adequate measures" to verify the working conditions in the workshops of its subcontractors in Italy. According to the investigators, they operated workers in an irregular situation without complying with the legislation on health and safety at the workplace.
Cashmere jackets cost 3000 euros were sewn into forced labour by Chinese subcontractors on the outskirts of Milan. This cost only 80 euros.
The Avery Journal-Times
LVMH Italian fashion house Loro Piana put under court administration
Italian fashion house Loro Piana, owned by French giant LVMH, has been placed under court administration for allegedly facilitating the exploitation of workers by subcontractors, police and a company source said Monday.
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