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Posted: July 23, 2025
Following scandals in the luxury sector, Italy is considering a certification scheme to protect its fashion industry. The move aims to ensure ethical practices and maintain the global reputation of ‘Made in Italy’ craftsmanship after allegations of labor exploitation surfaced at LVMH’s Loro Piana.
In the wake of a major controversy involving LVMH’s Loro Piana brand, Italy is weighing the introduction of a certification system to ensure ethical and legal practices across its fashion supply chain. Industry Minister Adolfo Urso addressed fashion trade groups, stating that recent scandals involving worker exploitation risk damaging the hard-earned prestige of the Made in Italy fashion label. The goal, he emphasized, is to shield responsible businesses from the fallout caused by a few bad actors.
Last week, a Milan court placed Loro Piana under judicial administration for one year after reports surfaced that the brand had subcontracted work to suppliers accused of exploiting labor. Loro Piana said it had not been informed of the subcontractors, and after discovering the breach on May 20, it swiftly cut ties with the supplier. The brand reiterated its firm stance against illegal labor practices and affirmed its commitment to human rights and full regulatory compliance.
According to Reuters, this is the fifth case of a luxury fashion brand being placed under court supervision in Italy this year alone. To address this systemic issue, Urso shared that the government is working on a preemptive certification measure. This system would verify the legal and sustainable standing of companies before issues arise, helping ensure that top-tier brands are not held accountable for misconduct further down their production line.
