Luxury label Loro Piana faces probe over sweatshop conditions

The frontage of a shop of Italian exclusive ready-to-wear fashion group Loro Piana in Paris / AFP

Loro Piana, the Italian fashion brand led by Frederic Arnault — the rumored boyfriend of BLACKPINK member Lisa — has come under legal scrutiny following allegations of labor exploitation at its subcontractors, according to reports.

On Monday (local time), Italian daily Corriere della Sera reported that a Milan court had placed Loro Piana under judicial supervision for one year. The brand is a subsidiary of French luxury conglomerate LVMH (Louis Vuitton Moet Hennessy).

According to the court’s findings, Loro Piana outsourced production of luxury cashmere clothing to a subcontractor, which then subcontracted the work to a Chinese company near Milan. This second-tier contractor allegedly employed undocumented Asian workers, forcing them to work nights and holidays.

The working conditions were reportedly dire, including unsafe machinery, illegal dormitories and unsanitary environments.

One Loro Piana cashmere jacket, which retails for 3,000 euros ($3,484), was produced by workers for just 80 euros, according to the court.

The court said Loro Piana knowingly failed to oversee illegal practices by its subcontractors and profited as a result.

In response, Loro Piana issued a statement saying the supplier did not disclose the existence of its subcontractor and violated its legal and contractual obligations, adding that the company only became aware of the situation on May 20, when it immediately ended its relationship with the supplier. The brand said it strongly condemns all illegal practices and will uphold human rights and compliance across its entire supply chain.

LVMH, the world’s largest luxury group, acquired 80 percent of Loro Piana’s shares in July 2013. The remaining 20 percent is still owned by the Italian founding family.

Frederic Arnault, CEO of Loro Piana, is the fourth son of LVMH chairman Bernard Arnault. He has been repeatedly linked to Lisa since July 2023, when dating rumors between the two first surfaced.

This article from Xportsnews is translated by a generative AI system and edited by The Korea Times.