Tod’s Probed For Labour Abuses; Prosecutors Seek Ad Ban

Luxury fashion house Tod’s has come under legal scrutiny as the Milan Public Prosecutor’s Office has placed the company and three senior executives under investigation for alleged labour exploitation within its supply chain, according to reports from Reuters.

In a move without precedent in Italy’s luxury sector, prosecutors are also seeking a six-month suspension of advertising for products linked to the subcontracted workshops under investigation.

This marks the first time an Italian luxury brand and members of its leadership have been formally targeted by prosecutors in a labour abuse case. Previous investigations into working conditions in Italy’s high-end manufacturing network had centred largely on workshops operated by Chinese business owners supplying major fashion labels.

While several of those firms had been placed under judicial administration, none had faced criminal proceedings involving top executives or the brands themselves.

Sources cited by Reuters claim that prosecutors believe Tod’s was fully aware of the exploitative working conditions and complicit in the situation. Investigators allege that the company received multiple third-party audit reports flagging irregularities in subcontracted facilities over several years, yet did not take sufficient action to address them.

As part of the provisional measures, prosecutors have requested a temporary ban on advertising for Tod’s luxury products made in the implicated workshops. It remains unclear what percentage of the brand’s total production is connected to these facilities.

A hearing has been scheduled for December 3, during which Tod’s representatives will have the opportunity to present written submissions or respond directly to the court’s questions. The company has so far declined to comment publicly and has not replied to requests for statements.

The investigation builds on earlier proceedings launched last month, when prosecutors initially sought judicial oversight of the company, a step similar to actions taken against other fashion manufacturers. Following that development, founder Diego Della Valle defended the group’s practices and cautioned that the growing wave of investigations risked damaging the reputation of “Made in Italy” craftsmanship.

According to the latest available financial data, Tod’s Group reported a 6.7% decline in sales in the first quarter of last year, bringing revenue to €252.3 million.