Armani company in judicial administration amid labour probe
An Italian court has placed an Armani-owned company under judicial administration, according to a Reuters report, for alleged indirect subcontracting to Chinese firms exploiting workers.
Milan judges ordered a one-year receivership for Giorgio Armani Operations, with the company continuing to operate under a court-appointed administrator.
Investigators have alleged labour abuses, including low wages and poor working conditions in the production of belts, bags and other leathergoods at workshops discovered in a suburb of Milan.
While Armani Operations itself is not currently under scrutiny, the owners of the contracting and subcontracting companies are being investigated for labour exploitation and employing workers off the record.
Armani Group denies wrongdoing and pledges cooperation.