Italian police search Chanel offices in luxury labour probe

Chanel flagship store covid-19 acquisition
FashionHuman ResourcesLuxury goodsNewsSupply Chain

Italian police allegedly recently searched Chanel’s offices as prosecutors widen an investigation into alleged worker exploitation in the luxury fashion supply chain.

The French fashion house is one of nine brands ordered to provide documents on corporate governance and supply chain controls.

Authorities also visited the offices of Moncler, Brunello Cucinelli, Bulgari, Jacob Cohen, Etro, Stefano Ricci, Goyard Italie and Owenscorp Italia.

None of the nine companies is under formal investigation and prosecutors are not seeking to place them under court-appointed administration.

Chanel says it is “fully co-operating” with the Italian authorities and has already moved to end its connection with the subcontractor at the centre of the inquiry.

The group says it received an alert about possible labour abuse on May 18. It instructed its packaging supplier to terminate the relationship two days later and says the process began immediately.

Chanel added that its suppliers and subcontractors face regular assessments, audits and controls, while the sites concerned have undergone further checks.

The operation has expanded after investigators found products and subcontracting documents connected to the brands during searches of two Chinese-owned workshops.

Police accused the workshops of exploiting undocumented Chinese workers while producing garment bags, shopping bags and pouches for two companies supplying the luxury houses.

The searches follow a similar operation in December involving 13 fashion companies including Gucci, Prada and Dolce & Gabbana.

Seven other fashion groups have faced court-appointed administration during Italy’s wider investigation into working practices in luxury supply chains. Courts later lifted those measures after the companies brought their controls into line with judicial requirements.

Click here to sign up to Retail Gazette‘s free daily email newsletter

FashionHuman ResourcesLuxury goodsNewsSupply Chain

Leave a Reply

Your email address will not be published. Required fields are marked *

Fill out this field
Fill out this field
Please enter a valid email address.

Italian police search Chanel offices in luxury labour probe

Chanel flagship store covid-19 acquisition

Italian police allegedly recently searched Chanel’s offices as prosecutors widen an investigation into alleged worker exploitation in the luxury fashion supply chain.

The French fashion house is one of nine brands ordered to provide documents on corporate governance and supply chain controls.

Authorities also visited the offices of Moncler, Brunello Cucinelli, Bulgari, Jacob Cohen, Etro, Stefano Ricci, Goyard Italie and Owenscorp Italia.

None of the nine companies is under formal investigation and prosecutors are not seeking to place them under court-appointed administration.

Chanel says it is “fully co-operating” with the Italian authorities and has already moved to end its connection with the subcontractor at the centre of the inquiry.

The group says it received an alert about possible labour abuse on May 18. It instructed its packaging supplier to terminate the relationship two days later and says the process began immediately.

Chanel added that its suppliers and subcontractors face regular assessments, audits and controls, while the sites concerned have undergone further checks.

The operation has expanded after investigators found products and subcontracting documents connected to the brands during searches of two Chinese-owned workshops.

Police accused the workshops of exploiting undocumented Chinese workers while producing garment bags, shopping bags and pouches for two companies supplying the luxury houses.

The searches follow a similar operation in December involving 13 fashion companies including Gucci, Prada and Dolce & Gabbana.

Seven other fashion groups have faced court-appointed administration during Italy’s wider investigation into working practices in luxury supply chains. Courts later lifted those measures after the companies brought their controls into line with judicial requirements.

Click here to sign up to Retail Gazette‘s free daily email newsletter

Social


SUBSCRIBE TO OUR DAILY NEWSLETTER

  • This field is for validation purposes and should be left unchanged.
FashionHuman ResourcesLuxury goodsNewsSupply Chain

Leave a Reply

Your email address will not be published. Required fields are marked *

Fill out this field
Fill out this field
Please enter a valid email address.

RELATED STORIES

Latest Feature

Interview: How Palmer’s 20-year logistics partnership is fuelling its European expansion

Palmer’s may be one of the most familiar names on the bathroom shelf, but behind the cocoa butter bottles is a surprisingly small UK operation. ET Browne UK, which distributes the American family-owned skincare brand, has grown its sales while keeping its core team to fewer than 20 people. Now, as a new Tahitian Vanilla range brings younger shoppers to the brand and the company looks to expand further into Europe, the pressure is falling on the supply chain to keep up.

Palmer’s may be one of the most familiar names on the bathroom shelf, but behind the cocoa butter bottles is a surprisingly small UK operation.

ET Browne UK, which distributes the American family-owned skincare brand, has grown its sales while keeping its core team to fewer than 20 people.

Now, as a new Tahitian Vanilla range brings younger shoppers to the brand and the company looks to expand further into Europe, the pressure is falling on the supply chain to keep up.

Read More


Menu

Get Inside Matalan

A supply chain case study delivered to your inbox in three emails. The 3 elements Matalan changed to impact its bottom line..

Matalan Supply Chain Programme Form

  • This field is for validation purposes and should be left unchanged.



Please enter the verification code sent to your email: