Dior supplier in Italy under fire for labour exploitation
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I wanted to add that the 53 Euro/$57 price does not include the cost of the materials. It is just the labour cost.
www.businessinsider.com
Now we know how much it costs to make a $2,800 Dior bag
In recent months, Italian authorities raided Dior subcontractor workshops where people were working around the clock, they said.
www.businessinsider.com
I’m not a frequent luxury shopper, but i like to splurge on something for myself every now and then. This ruins a big part of the appeal for me.
The amount paid to factory workers is significantly less than standard. And although the wsj article highlights the costs listed are just labour, and does not include material costs, design costs, marketing, etc, they also rightfully point out that these luxury companies pitch themselves to customers as companies that use artisan workers with decades of history in Italy to make the products we buy.
Although it’s technically still made in Italy, what’s the difference between this and buying from a brand that makes things in China at this point? The contract Chinese workers are paid exploitative wages. Isn’t that one of the main reasons why some luxury buyers snub fake items? Am I a sucker for paying 10x the price for a Dior product vs something made in China, like Coach or a fake product?
Dior was one of the brands caught in this, but I have no doubt this happens with other luxury brands, including the others under the LVMH umbrella. Not that they’ll miss me as an individual customer, but until they implement a solution that makes sense, I’m going to refrain from buying from them. I expect much more from a company that charges so much and continues to jack up prices year after year.
The amount paid to factory workers is significantly less than standard. And although the wsj article highlights the costs listed are just labour, and does not include material costs, design costs, marketing, etc, they also rightfully point out that these luxury companies pitch themselves to customers as companies that use artisan workers with decades of history in Italy to make the products we buy.
Although it’s technically still made in Italy, what’s the difference between this and buying from a brand that makes things in China at this point? The contract Chinese workers are paid exploitative wages. Isn’t that one of the main reasons why some luxury buyers snub fake items? Am I a sucker for paying 10x the price for a Dior product vs something made in China, like Coach or a fake product?
Dior was one of the brands caught in this, but I have no doubt this happens with other luxury brands, including the others under the LVMH umbrella. Not that they’ll miss me as an individual customer, but until they implement a solution that makes sense, I’m going to refrain from buying from them. I expect much more from a company that charges so much and continues to jack up prices year after year.
I was also wondering about Bvlgari!! I am very into their bags and jewellery and was wondering of their bags are then also produced under these circumstances. I asked the Bvlgari sales associate about this and according to her their items are not produced under these curcumstances. But she can’t know for certain and if she did she would not say so as she works for Bvlgari.
This is what it says on Wikipedia:
“The creation of Bulgari accessories and leather goods is handled in the Bulgari atelier in Florence, and twice a year presents its collections at Milan Fashion Week.[wikipedia]”
“The company's Swiss subsidiary, Bulgari Haute Horlogerie SA, is responsible for Bulgari's watch production. It was founded in 1980 and is headquartered in Neuchâtel. Bulgari Haute Horlogerie SA employs about 500 people.[wikipedia]”
I could not find where their jewellery is produced. Only watches and leather goods. But it doesn’t necessarily mean that their items are ethically produced. Companies can say anything they want to the public and we can’t double check this information unless something like this comes to light. Another side note: it really gave me the creeps when I was checking some Tom Ford clothing last week (a dress and some silk/satin shirts) and they looked so RAGGEDY!! I was really horrified to see the quality of these expensive Tom Ford items. Loose threads, asymmetrical stitching etc like zara clothing quality. The dress costed €1950 and the shirts between €1200 and €1400 (I don’t remember the exact price of the satin/silk shirts). By the way I am not looking down upon Zara. I just wanted to point out that Zara does not have the best quality and stitching but also does not cost €2000 like these Tom Ford pieces can. I feel the quality of Tom Ford pieces in general ( and all brand items in general) has gone downhill now because I don’t remember Tom Ford clothing looking like this 10 years ago. I was also looking at lady Dior bags in the boutique a few months ago and the leather looked less shiny and beautiful that the ones I have at home. Does anybody else feel like this regarding the bag quality of Dior or is it just me? But it could also be that it just depends on the leather batch 🤷🏻♀️.
Dior, Armani’s pricey handbags made by migrant workers who make $2 an hour, cost $57 to make: prosecutors
Brands hired contractors who used cheap labor to assemble products that cost pennies on the dollar to manufacture — only to be sold at a high markup.
nypost.com
Luxury goods makers behind iconic brands including Dior and Armani hired contractors that pay workers as little as $2 an hour to make handbags that they then sell for thousands of dollars apiece, according to European law enforcement officials.
Dior, the French multinational luxury fashion house chaired by mogul Bernard Arnault and his family, charges a supplier around $57 to manufacture a handbag that it sells in stores for around $2,780, according to The Wall Street Journal.
do you really think clients will boycott? Some will but imo the vast majority probably don’t care or don’t want to know or are more into flexing than human rights issues.If this was a mainstream company like target Starbucks Budweiser maybe but we’re talking luxury brands.
Sadly I think there won’t be a boycott and I also agree that people don’t care/don’t want to know. I posted a comment on a YouTuber video about this wherein I stated that I’m an LV person, but I’m sure they all do this and it’s disgusting. She basically said to me that LV quality doesn’t justify pricing, Dior quality is wonderful but this issue was something like maybe unforgivable or something which gave me the vibe that people won’t boycott.
My guess is most consumers have no clue about this to even boycott. A friend of mine texted me asking for my thoughts on a pair of dior sandals. I said after the scandal, I would not buy any of those if I were her. She asked 'What scandal'?
Yep. I was thinking this as well.
I’m an LV girl through and through, but have noticed the quality issues over the years. Have considered selling all of my LV and buying Goyard or Chanel instead, but even that sounds dumb now.
Nothing will change until the CEO’s and board members of the companies doing this are hauled off for violation of labor laws, endangerment, fraud, etc.
I’m very disillusioned with the “luxury” market at this point.
Nothing will change until the CEO’s and board members of the companies doing this are hauled off for violation of labor laws, endangerment, fraud, etc.
I’m very disillusioned with the “luxury” market at this point.
The claim that "[we] didn't hear anything from major fashion publications" is not entirely true:
Dior Unit Put Under Court Administration in Italy Over Labour Exploitation
An inquiry alleged it had sub-contracted work to Chinese companies that exploited workers. The company will be placed under judicial administration for one year.
Italian Sweatshop Probe Is a Wake Up Call for Luxury Brands
An investigation into labour exploitation in fashion’s Italian supply chains has already entangled Armani and LVMH, accusing the companies of failing to adequately oversee their suppliers. Incoming EU regulation means such lapses in oversight could soon come with penalties of up to five percent...
At the end of the second article, this disclaimer is provided:
I have not seen any articles from WWD regarding this issue, though.