{"id":34232,"date":"2025-07-14T11:05:14","date_gmt":"2025-07-14T11:05:14","guid":{"rendered":"https:\/\/financialrush.com\/?p=34232"},"modified":"2025-07-14T11:05:14","modified_gmt":"2025-07-14T11:05:14","slug":"lvmhs-loro-piana-placed-under-court-administration-over-worker-exploitation","status":"publish","type":"post","link":"https:\/\/financialrush.com\/?p=34232","title":{"rendered":"LVMH\u2019s Loro Piana placed under court administration over worker exploitation"},"content":{"rendered":"<p> \n<\/p>\n<div>\n<p>Unlock the Editor\u2019s Digest for free<\/p>\n<p class=\"article__content-sign-up-topic-description o3-type-body-base\"><span>Roula Khalaf, Editor of the FT, selects her favourite stories in this weekly newsletter.<\/span><\/p>\n<p><iframe class=\"article__content-sign-up-iframe close\" scrolling=\"no\" id=\"signUpIframe\" data-prev-url=\"\/register\/in-article-sign-up?ft-content-uuid=e9970f24-8e0e-4cd6-a35d-eb13c9b8f657\"><\/iframe><\/div>\n<div id=\"article-body\">\n<p>A Milanese court placed Loro Piana under judicial administration for subcontracting production to suppliers that allegedly exploited workers, making the LVMH-owned cashmere brand the latest fashion house to be caught up in a series of investigations into labour rights violations. <\/p>\n<p>The court said Loro Piana had handed the production of apparel, including jackets, to Evergreen Fashion Group, which is owned by a Chinese company.<\/p>\n<p>\u201cThe production of such apparel had been carried out in a context of labour exploitation,\u201d according to the ruling seen by the Financial Times.\u00a0\u00a0<\/p>\n<p><a href=\"https:\/\/www.ft.com\/stream\/69108a9c-22ad-4823-b1ca-2c883266df19\" data-trackable=\"link\">Loro Piana<\/a> has been placed into a one-year court administration to address the shortfalls in its supply chain, the ruling shows. The sanction means a court-appointed administrator will oversee the brand\u2019s operations. <\/p>\n<p>The brand is not under criminal investigation and the order will be lifted if the company complies with legal requirements before the 12-month deadline given by the court.\u00a0Loro Piana declined to comment on the ruling.\u00a0<\/p>\n<p>Loro Piana was bought by LVMH, the world\u2019s largest luxury conglomerate, in 2013. Fr\u00e9d\u00e9ric Arnault, son of LVMH founder Bernard Arnault, was <a href=\"https:\/\/www.ft.com\/content\/3ae97d1b-59c7-4838-92ac-fd84039fb90c\" data-trackable=\"link\">appointed chief executive<\/a> of the Milan-based fashion house in March.\u00a0<\/p>\n<p>It is the fifth fashion company to have been placed under court administration over labour issues in Italy in the past 18 months, in a scandal that has tarnished the image of the country\u2019s luxury industry. <\/p>\n<p>Milanese prosecutors have been investigating the industry\u2019s supply chain for several years after media investigations uncovered multiple cases of labour malpractice across several companies that have Chinese owners based in Lombardy and Tuscany. <\/p>\n<p>Luxury brands subcontracted production to meet heightened demand during the pandemic-era luxury boom.<\/p>\n<p>LVMH\u2019s Dior, Italy\u2019s Armani and Alviero Martini have had the restrictions placed on them lifted before the 12-month deadline. Valentino, part-owned by France\u2019s other luxury conglomerate Kering, was also subjected to a similar order in May.<\/p>\n<\/div>\n\n<br \/><a href=\"https:\/\/www.ft.com\/content\/e9970f24-8e0e-4cd6-a35d-eb13c9b8f657\">Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"Unlock the Editor\u2019s Digest for free Roula Khalaf, Editor of the FT, selects her favourite stories in this&hellip;\n","protected":false},"author":6,"featured_media":34233,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[23],"tags":[],"class_list":["post-34232","post","type-post","status-publish","format-standard","has-post-thumbnail","category-us","cs-entry","cs-video-wrap"],"_links":{"self":[{"href":"https:\/\/financialrush.com\/index.php?rest_route=\/wp\/v2\/posts\/34232","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/financialrush.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/financialrush.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/financialrush.com\/index.php?rest_route=\/wp\/v2\/users\/6"}],"replies":[{"embeddable":true,"href":"https:\/\/financialrush.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=34232"}],"version-history":[{"count":0,"href":"https:\/\/financialrush.com\/index.php?rest_route=\/wp\/v2\/posts\/34232\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/financialrush.com\/index.php?rest_route=\/wp\/v2\/media\/34233"}],"wp:attachment":[{"href":"https:\/\/financialrush.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=34232"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/financialrush.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=34232"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/financialrush.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=34232"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}