The issue centers on the widespread practice among brands of outsourcing to subcontractors who then delegate tasks further, frequently resulting in companies employing Chinese workers under harsh conditions.

On Thursday, Italian law enforcement conducted raids at several luxury brand offices, including Bulgari and Chanel, following accusations of subcontractor use involving Chinese laborers.

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These operations form part of a broader probe led by Milan prosecutors into alleged labor abuses within the supply networks of luxury names like Prada, Givenchy, and Dolce & Gabbana.

Additional brands involved include Brunello Cucinelli, Etro, Goyard Italie, Jacob Cohen Company, Moncler, and Stefano Ricci, as stated to AFP by Milan prosecutor Paolo Storari, who verified reports originally shared by the business daily Il Sole 24 Ore.

Previously, firms such as Loro Piana have been temporarily placed under judicial administration due to worries about working conditions in their supply chains.

These restrictions were lifted once the companies committed to enhancing supervision of their supplier networks.

Italy’s government has earlier defended luxury brands, with Industry Minister Adolfo Urso declaring last year that Italian brand reputations were facing an «attack».