In Italy, Dior and Armani luxury bags made by exploited workers

At Alviero Martini, an Italian brand known for adorning its handbags with maps, a model made for €20 was sold for €350. At Armani, the profits were even greater: a bag produced for €93 cost €1,800 in stores. But it was at Dior that the margin was most impressive: the Po312yky bag model was sold for up to €2,600 in some stores. Original production cost: €56.

All this information has been revealed in recent months by the Milan Carabinieri, whose investigations have uncovered a system of illegal subcontracting for the production of handbags for three high-end brands: Dior, Armani and Alviero Martini.

According to the Italian media Fanpage, “the aim of these companies was to reduce production costs by using the same system: entrusting the manufacture of handbags to external companies, which in turn subcontracted the work to hidden workshops somewhere in the Milan area, employing workers of Chinese origin.”

Widespread black market work

If the cost of production was kept at such a low level, it was because the rules of labor law were only very limited.

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