labourexploitation

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Challenging the B.O.F. narrative around labour exploitation in fashion

Recently, The Business of Fashion (B.O.F.) raised a critical topic: the so-called “Italian sweatshop” problem within luxury brands. However, their statement suggested that this issue is uniquely Italian, framing it as a problem specific to the country. But is that really the case? Let’s dissect the nuances of this claim.

We’ve previously touched on the death of luxury – most notably in our post “Luxury is Dead”, where we discussed the April 2024 news of Giorgio Armani Operations being placed into receivership after allegations of labour exploitation. Just a few months later, in June, Dior found itself in court administration over similar accusations. These high-profile cases highlight a much broader issue that plagues the fashion industry: labour exploitation.

Fashion industry & the “Italian” sweatshop problem: is that really the case?

This problem is no secret. Exploitation is a widespread practice across the global fashion landscape, yet CEOs and corporate leadership often downplay it, pretending it’s an anomaly rather than a systemic issue. The focus on outsourcing production to far-off locations to maximise profits by replicating the fast-fashion model has been an intentional choice.

Also, a new challenge has emerged: international buyers, drawn to the quality and tradition of Italian craftsmanship, began demanding prices too low for authentic Made in Italy. As a result, to stay competitive, many manufacturers have turned to sweatshop practices to meet buyers’ growing demands.

International buyers (if they care) should ask themselves: is it realistic to purchase a Made in Italy handbag for around €40 wholesale?

So, when B.O.F. discusses the “Italian sweatshop problem,” we must ask: is this truly an Italian problem, or a global fashion issue? Yes, the investigation is Italian, but is Dior an Italian brand? Even if the manufacturer is Italian, where does the directive come from?

Conclusion

The conversation about labour exploitation in the fashion industry needs to break out of nationalistic confines. Most importantly, it needs to acknowledge that this is an industry-wide practice, regardless of the geographical location of the production.

In conclusion, focusing on Italy alone conveniently overlooks the real source of the problem: the profit-driven machinery of the entire fashion system. What’s being framed as an “Italian sweatshop” problem is, in fact, a reflection of how the fashion industry operates globally.

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