Italian Court Places Valentino Bags Lab Under Judicial Administration Over Worker Exploitation

The logo of fashion house Valentino is seen outside a shop in Milan

A Milan court has placed Valentino Bags Lab Srl, a unit of the iconic fashion brand Valentino, under judicial administration for one year after uncovering systemic labour exploitation within its supply chain. The ruling marks the fourth such case involving major fashion brands in Italy since 2023.

According to a 30-page court document, Valentino Bags Lab subcontracted the production of its handbags and travel items to Chinese-owned firms operating in Italy. These firms were found to have exploited workers, violating labour and safety regulations. The court ruled that Valentino Bags Lab "culpably failed" to monitor its subcontractors in a bid to maximize profits.

An external administrator will now be appointed to ensure the company implements robust systems to monitor and control its supply chain in compliance with Italian labour laws. The judicial administration may be lifted earlier if Valentino Bags Lab aligns its operations with legal standards, as has been the case with Dior, Armani, and Alviero Martini—other fashion houses previously targeted by the same court.

Valentino responded by stating its willingness to fully cooperate with authorities and affirmed that it has strengthened its supplier oversight in recent years. The company noted that certified third-party audits have led it to terminate relationships with non-compliant producers.

Valentino is majority-owned by Mayhoola, a Qatari investment fund. French luxury conglomerate Kering acquired a 30% stake in Valentino in 2023, with an option to acquire the entire share capital by 2028. Kering has yet to comment on the court ruling, while Mayhoola could not be immediately reached.

Despite growing scrutiny in the fashion industry, the Milan judges noted that Valentino Bags Lab continued working with suppliers who flouted safety and labour standards, showing no significant improvement in its compliance controls. Prosecutors called the exploitation “a generalised and consolidated manufacturing method” across Italy’s fashion sector.

Italy remains a global hub for luxury goods, with small manufacturers accounting for more than 50% of the world’s high-end fashion production, according to consultancy firm Bain.