Latest news with #labour exploitation


France 24
14-07-2025
- Business
- France 24
LVMH Italian fashion house Loro Piana put under court administration
In a statement, the Italian police labour protection service said it had "executed a decree of judicial administration issued by the Milan court" against a company operating in the high fashion sector. A source inside Loro Piana, which is known for its cashmere, confirmed to AFP the proceedings against it, but the company did not provide any official comment. The police said the company had been deemed "incapable of preventing or curbing labour exploitation within the production cycle by failing to implement adequate measures to verify the actual working conditions or the technical capacities of its contractors". An investigation found the fashion house entrusted the production of its clothing, including cashmere jackets, to a company without production facilities. That firm outsourced the work to another company, which in turn used workshops employing Chinese workers to save costs. In these workshops, irregular workers were exploited without respecting health and safety rules, particularly regarding wages, working hours, breaks and holidays, investigators found. The judges of the Milan court found that Loro Piana "negligently facilitated" the exploitation, according to the police statement. The investigation began in May following a complaint from a Chinese worker who claimed he was beaten by his boss after demanding payment of back wages. The police carried out inspections in factories run by Chinese citizens in the area surrounding Milan, finding violations of workplace rules as well as illegally built dormitories and unsanitary conditions. Proceedings were brought against two Chinese nationals who owned workshops, two Italians for violations of workplace health and safety standards, and seven workers without residence permits. The court also imposed fines totalling over 181,000 euros ($211,000) and administrative penalties of around 60,000 euros. The operations of two Chinese workshops were also suspended "for serious safety violations and the use of undeclared labour", the police statement said. Loro Piana was acquired by LVMH in 2013, and is currently led by Frederic Arnault, son of LVMH chairman Bernard Arnault. The company did not comment on the proceedings in Milan. The Italian justice system has already carried out similar proceedings against other fashion houses including Armani. In May, the Italian competition authority cleared luxury brand Dior -- also owned by LVMH -- of violations in working conditions but required it to pay a two-million-euro fine towards "victims of exploitation".


CBC
11-07-2025
- CBC
2 charged with exploiting foreign workers with 90-hour weeks at Alberta motel, gas station
Alberta RCMP say a father and his son are facing multiple charges after they allegedly coerced four foreign workers to clock up to 90 hours per week at two businesses without proper pay. RCMP say they began investigating the Edmonton men last summer, after receiving a complaint about exploitative working conditions at the gas station and motel they owned. The motel is located in Fox Creek, Alta., about 235 kilometres northwest of Edmonton, and the gas station is in Calmar, southwest of Edmonton. Police allege the men also overcharged workers for rent and harassed their employees. The investigation found the workers, who are from various countries, accrued more than $160,000 in unpaid earnings and that there may be more victims. A 55-year-old man and his 26-year-old son are facing a total of five trafficking in persons charges, and investigators say they are also looking into money laundering allegations connected with the men. "Human trafficking is the act of recruiting, transporting, holding individuals by means of force, fraud or coercion for the purpose of sexual or labour exploitation," said Insp. Breanne Brown, of the Alberta RCMP's serious crimes branch. "In this case, the RCMP determined that the suspects took action to harbour and recruit foreign workers by using threats, abuse of power, fraud and deception, all for the purpose of exploiting the labour of these workers." RCMP Sgt. Roland Misik, provincial coordinator of the human trafficking unit, said labour trafficking is on the rise. "Not to say that labour trafficking didn't exist before, but we're certainly seeing more of it," Misik told a news conference Thursday. He said just before Alberta RCMP created its unit that investigates human trafficking in 2022, there were approximately 37 cases involving both sex trafficking and labour trafficking. "In 2024, we reviewed over 180 investigations, with 21 of those being related to labour trafficking. This year, we have reviewed 65 investigations, with seven of those being focused on labour trafficking." He said most traffickers have been able to successfully coerce vulnerable workers by withholding access to bank accounts and pay. "When people are tied to their trafficker, they are held in debt bondage, including relying on their trafficker for things [such] as housing, food [and] financial support." Misik encouraged Albertans to look out for signs of labour trafficking, such as workers with bruises or malnourishment from not being able to eat meals or get proper sleep.