Illegal recruitment, Antitrust launches investigation into claims by Armani and Dior

Corporations, Antitrust launches investigation into claims by Armani and Dior

Italy’s Antitrust Authority is launching investigations into Armani and Dior for allegations that the two groups made untrue ethical and social responsibility claims. Giorgio Armani Operations and Manufactures Dior, which have already been placed in receivership by the Court of Milan, allegedly emphasized “craftsmanship and excellence of workmanship”, but the Milan Public Prosecutor’s Office is focusing on challenging the gangmaster system (or illegal employment) in the production chain.

Antitrust also launches investigation

A new chapter opens within the investigation into the production chains of Giorgio Armani Operations and Manufactures Dior. Allegations of using supplies from companies that employed workers with “inadequate” wages and in poor health and safety conditions, are at odds with the production excellence boasted by the companies. The Competition and Market Authority wants to see this through and verify whether the claims were merely superficial, or mendacious.

The investigation

For this reason, the Antitrust Authority has launched an investigation for illegal conduct through the promotion and sale activities of clothing items and accessories. Not only that: according to Corriere della Sera, the two companies allegedly disseminated “untrue” information with respect to labor standards and safety along the supply chain. The two luxury groups may thus have violated the Consumption Regulations. The companies involved are Giorgio Armani and G.A. Operations, Christian Dior Couture Sa, Christian Dior Italia and Manufactures Dior. The locations were inspected on Tuesday, July 16, by officials from the Authority, with the help of the Guardia di Finanza’s Nucleo Speciale Antitrust Unit.

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