Italian competition authorities have launched an investigation into fashion producers Giorgio Armani and Christian Dior. A dawn raid was carried out on Tuesday.
The fashion brands are suspected of violating competition rules by employing suppliers with underpaid employees who worked excessively long hours, contrary to labor laws.
The working conditions are also suspected to have been directly hazardous from a health and safety perspective.
As recently as June, a court in Milan placed a unit within the Dior group under administration for violating labor laws in its production apparatus. According to the court, Dior – a leading manufacturer of luxury handbags – did not do enough to prevent and stop the illegal exploitation of labor.
A manufacturing unit within Armani was placed under administration for similar rule violations in April.