TOD'S

Italian prosecutors have placed Tod's and three executives under investigation for alleged labor exploitation of Chinese workers at subcontracted workshops, citing excessive hours, low pay, safety violations and degrading housing. Milan prosecutor Paolo Storari requested a six-month advertising ban and said Tod's showed a degree of "intentional blindness" despite conducting third-party audits. Tod's denied wrongdoing and said it will contest the allegations in court; a hearing is set for Dec. 3. » Altro su yahoo.com

The Milan public prosecutor's office is seeking a temporary receivership over alleged labor-law violations in Tod's supply chain; the accusations concern contracts awarded to firms that delegated work to Chinese-run workshops where net hourly wages of about €2.75 to just over €3 were paid. Tod's stresses the importance of "Made in Italy" but admits it cannot monitor the entire supply chain without gaps. The case is seen as an indicator of systemic problems in the Italian luxury sector and comes at an already weak time with declining exports and sales. A hearing before the Supreme Court is scheduled for 19 November; the government also plans a certification procedure for fashion companies. » Altro su capital.de