Dior is honouring its pledges by contributing €2 million ($2.3 million) over five years to support initiatives aimed at helping victims of labour exploitation.
The antitrust body also announced on Wednesday that Dior had committed to revising its ethical and social responsibility messaging. It has also implemented stricter processes for selecting and monitoring suppliers.
The pledges were made to remedy possible unlawfulness, and it was decided to close the investigation without “establishing any infringement”.
This comes after investigators uncovered workshops where underpaid workers, often immigrants in the country illegally, produced leather bags sold to Dior and Amini for a fraction of their retail price.
Italy’s antitrust investigation then investigated whether luxury brands misled consumers. It focused on discrepancies between what was uncovered and brands' messaging to consumers in terms of craftsmanship and corporate social responsibility.
In a statement, Dior said it welcomed the changes and aimed to work with the antitrust body.
“Dior partnered closely with the Authority to define a robust set of commitments that increase transparency and strengthen oversight throughout its supply chain,” the statement said.
Italian consumer group Codacons said the investigation outcome was too lenient, given no fine handed down and a small financial commitment.
More recently, an Italian court placed a Valentino factory under judicial administration after uncovering similar labour abuses.
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