Dior Is In More Trouble...
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- เผยแพร่เมื่อ 9 ก.ย. 2024
- LVMH's second-largest fashion brand Dior was until last month behind on disclosures required by UK law about working conditions in its supply chain, and made outdated statements on its website of a third-party certification that it terminated more than a year ago, Reuters has found.
In Britain, the Modern Slavery Act, opens new tab of 2015 requires companies with UK turnover of 36 million pounds ($46 million) or above to publish annual statements on their websites detailing the steps they are taking to combat forced labour in their business and supply chains globally.
Until July 19, Dior's UK website showed an anti-slavery statement from 2020 and a sustainability certification that was no longer valid, a Reuters review of company filings showed.
Dior, part of $345-billion conglomerate LVMH that is getting a global marketing boost as major sponsor to the Paris Olympics, has come under the spotlight after Italy's competition authority on July 17 said it was probing whether it and Italian label Armani had misled consumers over their commitment to craftsmanship and social responsibility following a judicial investigation that exposed potential sweatshop-like conditions at some Italian contractors.
The investigation prompted Europe's top asset manager Amundi and other investors to ask LVMH to take more aggressive steps to monitor its suppliers' treatment of workers, these investors have told Reuters.
Dior has condemned the illegal practices uncovered at some suppliers, said it had stopped working with them and that it was cooperating with authorities. Armani has expressed confidence in a "positive result following the investigation."
Dior published a 2023 modern slavery statement after Reuters enquired on July 18 about its compliance with the UK regulation. The new document says it was approved by subsidiary Christian Dior UK's board on July 18.
In its updated modern slavery statement, which is longer and more detailed than its 2020 one, the French brand said Christian Dior UK plans a training course to raise employees' awareness of modern slavery and to encourage them to take action if they suspect wrongdoing.
"We have been preparing an up to date modern slavery statement, which...has now been published on our website," Dior said in a written statement on July 19 in reply to Reuters' inquiries about the anti-slavery disclosure.
As of Aug. 5, Dior also had not published statements for 2021 and 2022. The company did not directly address Reuters questions about its missing statements.
Although publishing the statements is mandatory by law, no company has been penalized for not complying, according to Sara Thornton, professor of modern slavery policy at the University of Nottingham's Rights Lab. Some lawmakers and rights groups are pushing for penalties to be introduced.
In 2020, Britain's Home Office estimated that 83% of eligible organizations complied with the Modern Slavery Act.
LVMH on July 19 said in an email to Reuters that its UK-based Dior subsidiary applies "group wide procedures concerning respect for human rights and addressing modern slavery risk in our business and supply chains."
Another subsidiary, Parfums Christian Dior UK, has published British modern slavery statements for 2021, 2022 and 2023.
LVMH Chief Financial Officer Jean-Jacques Guiony said in a call with analysts on July 23 the conglomerate was unaware of the alleged worker exploitation at the Dior suppliers in Italy, adding LVMH "accepted full responsibility for what happened."
Guiony said LVMH would "intensify" controls over its supply chain, adding that it planned to strengthen audits and controls of its subcontractors.
Until July 19, the sustainability page of Dior's website also featured the Butterfly Mark, a certification by luxury-focused sustainability audit firm Positive Luxury, which assesses companies on 23 environmental, social and governance issues.
Above the Butterfly Mark logo, a statement titled "A Certified Approach" said Christian Dior Couture obtained the certification in 2021 "following a rigorous audit", adding that it "attests to the authenticity of its sustainability strategy".
In June 2023 Dior, which was due to start its reassessment process, decided not to do so, CEO Amy Nelson-Bennett told Reuters on July 17. "Their Butterfly Mark certification and community membership was therefore terminated," she said.
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www.reuters.com/business/retail-consumer/lvmhs-dior-lagged-supply-chain-disclosure-made-outdated-esg-claim-2024-08-06/
Let me understand this. The Chinese workers are in PARIS working? And not the locals? Or are they working in China for Dior? Where are the factories located? And are you saying that the bags are worth $57 ONLY and not worth more?
I bet if you took a white glove to LVMH you would find so much dirt.
100%
It would come back smoke grey for sure...
Those white gloves would come out looking like if you did an oil change, let’s be real and clear lol
Negative affects of capitalism and this constant need for expansion, when your ultimate goal is to widen that profit margin things like employing unscrupulous factories because they’re cheap, to make worse quality products, begin to make more and more sense to you.
This is just the beginning of the investigation I predict. LVMH is huge. A Chanel investigation would be interesting considering the drastic quality decline and their recent financial growth statements
When first I heard about a luxury brand being under criticism I though it was Chanel, I was surprised at these being Dior and Armani. I'm not surpised they don't give a fck about people and safe working conditions, I was just flabbergasted that they were the 1st ones to get caught.
@@vivienkoles1880 I am personally not surprised but your shock is fair.
LVMH is dodgy, yes I buy from them, but dodgy at the top tells you its dodgy all the way down. I try to be mindful when shopping but I will be even more so now ....
This! Tell me why the bag I looked at in March in a legit Chanel boutique had both uneven stitching as well as scratched hardware? Another had a loose thread. The last one I bought 8 years ago didn't have any of that and cost over 30% less?
Than they should invest also completw swiss watxh industry too. There is no swiss watch movement that cost more than 15% of the actual watch price. Its all about branding.
Those brands WERE Luxury… At the moment they enter the Financial Conglomerate system, they loose their fondamental identity, they become mass market to make them bankable and profitable as fast as possible.
If there was any profit interest into toilet paper, LVMH would buy all the toilet paper companies !
The law should be that if your company is worth a certain amount of money
You can't use 3rd party factories and the company and CEO is responsible for the workers conditions and right regardless of the factory location.
The penalties should be huge fines like with GDPR which is €20 millions or 4 % of their total global turnover and the CEO can be jailed for gross negligence that resulted in death.
That will simply never happen it is rare that fashion companies own factories
@@blackvirgo09 read my comment again.
Interesting point but very unlikely to be implemented.
Modern luxury is a now primarily an idea being marketed to consumers. The lack of basic integrity and ethics that these companies show towards the people who make these objects is deplorable. It’s not a surprise to me - because I read How Luxury Lost its Lustre years ago and I only shop vintage/second hand and always have but for those who have believed that they were purchasing high quality goods made by artisans - I can understand the outrage. It is all smoke and mirrors.
exactly this - an idea marketed to mass consumers. I think the smoke and mirrors was more magical decades ago - now it's just a cheap trick.
Get the vintage luxury. I don't trust the modern luxury.
I'm based in HR, and enrolled onto an accredited course. A whistleblower (or whoever) must've hated Dior's bs then called them out on their dodgy working practices and continued misconduct. And I appreciate that. Shame it wasn't reported sooner
I will add on what you said that, at least in Italy, is common knowledge that often this kind of factories that abuse workers (not only immigrants but also Italians from very poor areas), are often controlled and managed by organised crime (Mafia, Camorra, N'drangheta etc.) So there is also collusion with organised crime that adds to the already unlawful behaviour.
It is rarely a case of a malpractice of one, it is in the majority of the case part of a wider network.
Thanks for sharing! I didn't realize that organized crime is connected straight to the factories producing authentic goods as well, not only counterfeits.
Yeah, Roberto Saviano talks about mafia and fashion in Italy in his book Gomorra.
I read “Deluxe: How Luxury Lost its Luster” years ago and it was very eye opening. It’s amazing that people just keep buying more and more despite all of these horrid controversies.
It's suspicious that Arnaults daughter, who is in charge at dior, got sidelined with this " revelation" just when it was thought to be inline to head the LVMH group, then he announces that the son would infact be named chairman?
It's also interesting that rumors started flying about a change at Creative Director just after this story broke..
when did he announced his son would be chairman?
Luxury is dead when it is sold in masses . How can it be luxury if there are so many products.
And how can it be luxury when its cheaply made.....
Exactly! I don't believe true artisanal luxury can be mass produced.
@@gunmetal2445 no
@@gunmetal2445 the company would have to pay so many artisans to be trained and then they would have to pay them a livable wage and they're not doing that.
“Behind every great fortune there is a crime”
- Honoré de Balzac
How is anyone surprised that these bags don’t cost much to make? Hermes probably has the biggest mark up of every brand. All brands have huge markups.
It's time for this to be exposed. So glad that's it's starting from the top brands, too.
In the United States, multiple big name car manufacturers have been employing children as young as 11. Child slave labor in the US is very real and growing.
What?!!
Not surprised but we see this exploitation and slave labor everywhere in the world. Wherever there is prosperity, there is poverty and slavery - it never disappears, it just moves and takes new forms
@@johndeere3486 also a Nestle chocolate factory in America was secretly employing kids between the ages of 10 to 15 year olds and the reason they got in trouble was because those kids were in the factory in the dawn of the morning between 10:00 p.m. to 5:00 a.m. to make chocolate look it up.
Source?
@@vivimaria7243states like Arkansas are laying on the age restrictions
It's so fascinating. I think the major fashion houses are in crisis mode. Why else would LVMH sponsor the Olympics for 150m euros? They really need to be seen more by the masses and up their profit margins to survive - so this cutting corners behaviour makes (terrible) sense.
Absolutey horrified and heartbroken that more is coming to light with this. Dior has been a big love of mine for years and this is just absolutely crushing to the point where I have to question anything I don't DIRECTLY know the maker of.
Well you're not going to be invited to the next Dior couture show with this type of investigation reporting that's for sure😂😂😂😂 anyways great reporting.
Haha I value my ability to be an independent journalist over a show invite. It’s nice but not the end of the world
@@FashionRoadman good keep up the good work
He wasnt being invited anway so to hell with it, lol.
Hahaha..
Well, if he ever gets an invite and we don’t hear from him again… 🫢
@@FashionRoadman Dior is trash anyway
Yes they did send representatives. To make sure the price was right and they could keep up with demand. They did not care about the workers really. Make sure the quality was passable, not high. 😂
😂 🤦🏿♂️
i couldnt afford any of these luxury brands all i could afford was alexander wang bag.... but that still put me in debt, learned that in my 20's. i still have interest in that fashion field, yet there are so many followers chasing for the illusion and not appreciate the craftsmanship. i hate that about fashion industry.
The funny thing about these brands is, its not just about pursuing profits and selling shoulder bags for $10,000. Brands like LVMH, Supreme, is degrading quickly. I threw out 3 supreme jackets in the last 10 months. You will know how some brands are only profit driven and low quality sadly. I like fashion, its a social status or expression. The marketers don't understand not everyone breaks their bank to buy luxury bags. Truth is you can't get a bag just as good with $1,000 from other brand.
I think people need to stop looking at europe so highly when this exploitation can be anywhere.. same to robberies. I heard many story from luxury ytbers saying that they didn't expect they would get robbed in (insert europe country) bcos it is /safe/ where you can carry your expensive handbag. of course it's true to some extent but doesn't mean you don't have to be wary of your surroundings. and asia always get the bad rep for everything heh
True but I think that sentiment/worldview is slowly changing
Italy, Greece, France are notorious for thieves especially pickpockets…
Agreed, luxury brands definitely don’t care.
We assume luxury products are handmade or hand finished by craftsman. I’m not paying to provide free advertising by sporting high ticket pieces with someone’s name or logo. Not my money.
Holy shit, Dior isn’t even making their own stuff anymore!? They’re just buying from a third party and slapping their logo on it? Daaaang, that’s bad. I quit buying luxury years ago when it became “luxury” and everyone and their housekeeper started lining up like cattle to buy it. It was cooler back in the day when it wasn’t so damn common and mass produced.
People were willing to boycott Gucci because of a beautiful design on a sweater . Dior is literally running a plantation and no one says anything. Sensationalist almost won that one .
Also Daniel Lee has a career, despite the alleged reason he was fired be public ally known lol
If the brands don't care then do the people care ? I think it all boils down to the actual customer they don't care they want the dream that is being being sold to them
Brands should follow the law of the countries they are registered and don’t be opaque about their working conditions when they sistematically use third part companies that a use their workers. It is not the consumers the ones exploiting workers and using slave labour.
@@PilarNarvaezalvarez so interesting take! let's talk about different brands. food perhaps Chipotle had the biggest number and almost went out of business because of salmonella but a certain portion of of their customers went anyway they did not care they wanted what they wanted. McDonald's and Chick-fil-A both use an extensive amount of fillers in their meat but there's a long line every single day. Their consumers do not care. The question I'm asking is do the Dior consumers care in this day and age who makes their products? I think for a lot of these brands the dream overpowers the quality of what their consumers are getting. Absolutely everyone in England America knows that Sheen fashion Nova Zara use slave work but the people simply don't care they want those good deals and fast clothing. The Dior customer wants that lady di bag a multiple colors. They want the status they want the dream. And the workers take it back seat. 🪑
Dior's allegation reminds me of Dave Chappelle's MTV Cribs skit, when Dave open his own sweatshop with chinese workers😂😂😂
Love Dana Thomas she goes way back
I read that book and it's an eye-opener.
You can add Gucci from Kerring group, LV from LVMH...
Loved everything you’ve showed here! I was really surprised about the MoMcoco crossbody. Love it!
Its same in the watch industry. The most important and most expensive part of the watch, movement, does not cost more than 15% of the actual price of complete watch.
My best friend’s sibling makes fursuits, all handmade by a single person, they go for about 3k each and completely customized, they send photos of the fursuit in the process of being made to their clients. The moral of the story is if I want a luxury product I’ll buy a fursuit before LVMH 😭😭
Doesn’t surprise me at all. Look at all the big brands. Especially the company that makes the swoosh.
Excellent coverage.
he variety of textures in the MOMCOCO pack is impressive. From smooth leather to textured suede, there's something for everyone.
I hope they fix this issue but they most likely not going to in order to make and retain more money
More trouble maybe, but not as f*cked as GUCCI! 😂 💸
This was a good video! Thank you for sharing your knowledge and the news of Dior.
We got a small glimpse of this issue when the LV Air Forces came out. The insane price, and the promo video of some European in a clean factory setting was supposed to sell them...
Lots of people called this out, because the same process could/would be followed in an Asian factory.
This is why I dont bother with authentic bags anymore, who gives a fuck if its going to be made by slave labor anyway
I think lots of people are shocked that abused labour is happening because they never worked at the bottom and moved up or can’t move up due to nepotism. Most are already wealthy and related to a Boss, not caring how they got the money, only to feel entitled it through the people being abused.
This British Guy is fine!!!😍
Hello from the 🇺🇸
People are silly to think these things cost a lot to make…
When the executive do hard time it will stop.
sound, especially the ending request
Very informative!
Governments always put corporate profit above human well-being.
Hey Fashion Rodman! I would apreciate if you included your patreon on the top of the video description since it was hard to find. Awesome job reporting this news. Love all your videos.
Very good journalism!!!
👏🏻👏🏻👏🏻👏🏻👏🏻👏🏻👏🏻👏🏻👏🏻
they still have to deal with ysl for what happened at the olympics
What happened to the live debate on Lanvin and Peter Copping?
I'm sure this is going on in ALL luxury houses. But UK talking about slavery is rich!! 😂
I've spent a considerable amount of time walking across places like New Bond St, Bond St, Oxford Circus, Regent St and Knightsbridge recently and realised that not only do most ''luxury'' brands lack adequate visual merchandising standards, but also, the actual product quality is deplorable for the most part. It's a shame what these big capitalist conglomerates have done to this and other creative industries.
The reality of the manufacturing process doesn't seem to match the advertising and overall impression of the Brand. Where's the TRUTH in advertising? The perception and the reality of the entire process should be EXPOSED.
The cash grab is real, hopefully this pushes more people to consider cheaper but good quality brands, Im tired of the same old brands being pushed.
News and scandals don’t define trouble. Dripping profits does, and AFAIK, the likes of Dior and Chanel are still defying the slowdown.
The MOMCOCO neutral bag is so pretty!!! the smaller brown bag is so versatile. love the simple black bag. the curated bag is SO cute! the coach bag is pretty cute. the last bag is so cute for the beach. great collection !! ♡
The people you are talking about are not workers but soldiers .
All I have to say it whatever.
Everyone knew all this years ago; Made in China and finished in Europe, and then label it "Made in Italy/France/Spain".
There was a movie about it years ago.
I made a TikTok video in a similar vein about this issue but in terms of fast fashion and counterfeits, it got quite a lot of views where I did argue that buying authentic items (most of the brands I mentioned were luxury) was better because at least these brands can be held accountable, that with counterfeits and hyper fast fashion, a lot of these factories or businesses are ran by crime syndicates to use to generate funds but specifically as one of the many businesses in money laundering schemes that help clean the money. What is your opinion on this ?
My video has been private’d since the Dior discovery because I initially got a lot of backlash for it first and I did not want to experience that again in light of this investigation 😭
I think they "care", they just use consultancy companies to "audit" their suppliers. If those companies failed they blame it on those companies and find another one, basically rinse and repeat. Mr Arnault and Pinault are not stupid, they just using the law. It will be very different if they law did change where companies will be fined when they get caught selling products and services that goes against these rules and they will have to pursue their suppliers to redeem their fines, this will ensure a lot of accountability than just say sorry or is not our fault.
This is such dumb way of reasoning..how much is the rent and fees of the shops worldwide
When I wear H Q D U P S fakes or replicas, I just wear them with pride, knowing I didn’t spend unnecessary cash and I can look good while being able to proudly feed my family. As for the designer brand owners, they have enough. There’s no need to support them.
People forget Salo is native to Italy qwq
Won't slavery ever die??
Tansy Hoskins tried to warn us...
I never ever liked Dior I guess I saw once one pretty dress on Rosie Huntington and that was it but I love Dior beauty. The sad part is that all those groups Kerring, LVMH they don’t care about the picture about the legacy (like Balenciaga literally closed his house and his will was not to reopen it people should respect this it is only graceful and dignifying thing to do) they don’t care about the reputation, they just have the influencers and the poor middle class ppl buying this mess.
I actually only trust Celine and Hermes and form Italy, Bottega Veneta. Not sure for Fendi but Armani and Dior doesn’t come as surprise neither would come Valentino (that I used to like a lot) Prada or Gucci, and I am looking at Chanel and their mess and poor quality lately. And they have Chanel group and other brands like Eres so I guess things are wild there as well.
Celine is also owned by LMVH. I wouldn’t be so sure on them either any longer
@@SpirithunterBOMB
Yes but so far they don’t sell beside their stores the big stuff I mean some you can find from previous seasons but I you might be right that they are trying to replace Michele’s Gucci in the future. We’ll see. But Dior has been so messy and Chanel as well for those prices and that low quality it is insane. LV is in this group but hey they produce the finest plastic lol 🤣 so I have never ever taken LV seriously.
This will all play simply blow over. That's what they're betting on And they're right
Pure water 😂 if you know you know 🇳🇬
Is there going to be a sale? I hope so. Time to shop!!!
LOL....and NO!!!, you're going to pay full price for that migrant bag and like it.
@@monsieurgolem3392 LOL!!! 😂
Amazing video !
That’s good,
about the lack of penalties - what comes to my mind is that people who make these laws are probably their customers as well. They probably don't want to charge those brands that they love themselves
Don't forget the people who are good buddies with the people who write the laws. Maybe they are shareholders?
Ja mein Gott, diese Geschichte ist nun schon alt, jeder TH-camr hat schon damit Geld verdient. Vielleicht hat Dior das ja gemacht, damit die armen TH-camr mehr Geld mit den Videos verdienen können. Die brauchen doch etwas reisserisches. Dior kann das verkraften. Dior ist sehr sozial, wenn es diese Verdienstmöglichkeit bietet, völlig selbstlos. Ich habe großen Respekt davor.
This will blow over snd no one will care…. Look at Balenciaga
I would be like a little kid in this place. So much fabulousness! You looked like you were having a lot of fun there, Jesus. I hope you got the small Dior wicker bag. It was so cute. You're right, too. MOMCOCO is handbag heaven.
Grifting like everything else.
😊
Omg.
❤️
What of shoes? I've never seen anyone cover if shoes are created fairly and are worth it and it'll be interesting to know.
At the end of the day, even though so many things no longer worth the investment, these companies/brands are already so deeply entrenched into the status hierarchies in society that I doubt people would even care. After the bag fiasco I had assumed some outrage would follow but no. Nothing.
That's why they don't care.
🌹🌹🌹🌹🌹
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😢
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😱
🥺😩😫😖😣
Lovely collection! I bought my first LV when I was 25 and I only used that bag a few times, haha. Also, love your clutch! I have an Eva clutch in the DE print and love the little chain. But I don’t want to spend so much money on it now, I have been MOMCOCO buying the bag I want, it is as good as LV and is one of my favorite things. Durability
I absolutely love watches, the high end watch brands are out of my budget but the amzwatch has literally an almost duplicate of every single watch on the market . Always a great but no matter your budget.
i have been to dior's job interview, the interviewer were very cocky and arrogant and acted like he is in the utmost superior state unlike other luxury brands. shame on you
Glad to see quality bags in reasonable prices.Thank you MOMCOCO
This was a good video! Thank you for sharing your knowledge and the news of Dior.