Ah, Italy. Such a romantic place to visit. Under the Tuscan Sun and all that. When you’re strolling trying not to fall down in your Jimmy Choos you might be thinking the fine straps of leather were carefully handled by an old school Italian shoemaker or possibly his apprentice son.
These days, the “Made in Italy” label so coveted on luxury brands like Prada and Gucci portrays a different picture. Thousands of Tuscan factories producing leather goods now employ Chinese labor. The scenery isn’t much better in Tuscany than in China considering they work the same long hours, toiling away in poorly lit sheds and sleep in small rooms right there in the factories.
The Chinese have found their niche laboring in the garment industry. It seems this tactic has been tried here but eventually the sweatshops are discovered and shut down because we have laws to protect our people. Florence is now dotted with Chinatowns and in nearby Prato, 25 percent of the population is Chinese.
All this production certainly brings down the cost and increases profits for companies like LVMH. But what happened to the Italian craftsmen and women who have been making these luxury goods for generations?
“You can’t compete” says Andrea Calistri, whose family business has been making handbags for top designers from buttery leather for more than half a century. This family and other 3rd generation businesses have to endure triple threats to their livelihood.
First, the fakes and counterfeits are everywhere. Italian police conduct raids that produce literally tons of of cheap bags and shoes bearing fraudulent Gucci, Fendi and Nike labels. Lots of this stuff ended up on Ebay until Ebay lost a $61 million lawsuit brought on by LVMH for selling counterfeit goods. Ironically, the counterfeit goods came from the same factories that LVMH owns!
Then there are the partially assembled goods manufactured in China, India and Malaysia that are brought to Italy for finishing that might include a buckle or a strap. They also get a “Made in Italy” label.
Lastly, the products that are entirely made in Italy are often made by illegal immigrants without documentation and under squalid conditions. Italy does have labor laws but like in China, they easily start up again after being shut down.
So, you’re shopping at Nordstroms or Saks or Barneys and looking at designer bags for a thousand bucks all “Made in Italy” how can you tell which ones were made in sweatshops? You can’t. Some cost $30 to produce and others cost $365 which would justify the retail price tag. The only way you can be sure that you’re not buying slave labor is to buy an American made product or do your research.
Calistri has forged with other companies (about 65 of them) to guarantee that their goods are not only made by Italians but made in the Italian way. In his workshop, women in crisp white lab coats assemble clutches for Roberto Cavalli and computer guided lasers slice sheets of soft leather. Other women are hand sewing pockets on Bulgari and Donna Karan bags.
Today your bag or shoes may be made in one of Italy’s finest workshops but as you know, we live in a global society where corporations and controlling interests change frequently. New ownership may have a different sensibility and profit structure.
Two years ago the number of Chinese factories, workshops and related businesses in Prato and Florence soared to 5,300 compared to fewer than 100 in the 1990s. Police shut them down for failure to pay taxes, poor living conditions and for not having resident permits. Some Chinese who have settled there legally have improved their situation, speak Italian and follow the rules. Still, they are met with prejudice and blame for undermining the Italian economy by dumping cheap products into the market. Sound familiar?
Driving through Chinatown in Prato, there are racks and racks of blouses and jackets hanging outside, among shiny black BMWs and bicycles. The retail landscape has changed with Chinese bridal shops, real estate agencies and restaurants replacing Tuscan trattorias.
Most of what goes on is kept on the down low except a television documentary called “Luxury Slaves,” broadcast by “Report,” a “60 Minutes”-style program on RAI-3, an Italian state channel, exposed the practices.
Prada supposedly ended it’s dealings with one sweatshop when made aware of it’s work. Prada’s spokesperson claims the company “controls directly each phase of the production process” at 14 Italian factories. Every supplier must comply with quality standards and sign a pledge of ethical conduct. Oh yeah, a signed pledge is really important.
Most of the top fashion houses declined to comment after the airing of the documentary. A few said they thought the claims were exaggerated and, besides, they could not be expected to be on top of all their suppliers.



