Armani, Subsidiary Fined for Misleading Ethical Claims

Italy's antitrust authority has fined Giorgio Armani and its subsidiary €3.5 million for misleading consumers with ethical and sustainability claims that were contradicted by labor abuses in its supply chain. Investigations found that Armani outsourced leather goods production to third parties, some of which engaged in illegal labor practices, poor health and safety standards, and off-the-books employment. The regulator criticized Armani for using sustainability messaging as a marketing tool without ensuring compliance in practice. Armani has expressed disappointment with the ruling and plans to appeal, maintaining its commitment to fairness and transparency. The penalty is part of a broader crackdown on labor conditions in Italy's luxury fashion sector, with brands like Dior and Valentino also under scrutiny. Consumer rights groups argue that the case highlights the urgent need for greater transparency and accountability in the fashion industry.