Judul : Italy Investigates Tod's Leaders for Labor Abuse
link : Italy Investigates Tod's Leaders for Labor Abuse
Italy Investigates Tod's Leaders for Labor Abuse
Italian prosecutors are examining three executives from the high-end fashion brand Tod's, along with the company itself, over claims of labor exploitation, as revealed in a court document obtained by AFP on Thursday.
The Milan prosecutor, Paolo Storari, had previously asked for a six-month suspension of the company's advertisements, with Judge Domenico Santoro setting a hearing on December 3, as stated in his decree dated November 14, which was reviewed by AFP.
The prosecution claims that Tod's — famous for its fashionable leather moccasins — was fully aware of the mistreatment of Chinese subcontractors, including issues related to working hours, pay, cleanliness, and safety, as well as "humiliating" living conditions.
The court document stated that, as per the prosecutors, the company lacked any organizational structures to stop the misuse of subcontracted employees.
"Specifically, it contracted audit services from vendors and then barely considered the findings from these evaluations, which highlighted multiple signs of exploitation," it stated.
The executives from Tod's who are being investigated are in charge of managing operations, addressing supply chain problems, and ensuring adherence to regulations.
The document revealed that executives allegedly took advantage of 53 workers, mostly Chinese, who were employed by six different subcontractors of Tod's.
In the prosecutors' request submitted on October 29 for the court to halt Tod's advertising, they claimed that "the illegal system outlined has led to significant profits due to the use of (severely underpaid) Chinese workers and was enabled by major organizational flaws."
A 144-page legal filing contains claims from a Chinese employee of a subcontractor who alleged that his supervisor struck him with his hands and a lengthy plastic and aluminum pipe after he raised concerns about 10,000 euros (approximately $11,500) in unpaid wages.
Even though there was an agreement for four hours of work each day, the employee claimed he worked from 9 in the morning until 10 at night, taking two half-hour breaks for lunch and dinner, and had no days off.
Beyond negligence
The inquiry found "a situation where two worlds... one of luxury and the other of Chinese laboratories, merge for a common goal: reducing costs and increasing profits by bypassing labor law regulations," stated the document.
The prosecutors stated that the cobbler's "organizational shortcomings and absence of controls" exceeded mere carelessness, characterizing it as a "deliberate" approach.
They had earlier requested that Tod's be temporarily placed under judicial oversight due to not performing necessary inspections in the production process.
In a statement released on Thursday, Tod's mentioned that Italy's highest court had turned down the request on Wednesday. The company provided no specifics, although media outlets report that the application for judicial administration has been delayed due to a disagreement regarding legal authority.
"Concerning the new claims about the same issue, the company is currently examining, with the same calmness, the extra information, released at an unsettling time, by Dr. Storari," the company stated.
The founder and chairman of Tod's, Diego Della Valle, is among Italy's richest people. He recently stood by his company, stating to reporters that Tod's is highly regarded globally and maintains "ethical values."
He also cautioned that these inquiries could harm the "Made in Italy" brand.
Several premium fashion houses have been put under court supervision in Italy as part of ongoing inquiries into the handling of subcontracted employees, with the latest being the high-end brand Loro Piana.
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