Having entered the world of fashion as a fresh-faced postgraduate Law student, I can’t help but pick holes in the way that the majority of fashion houses operate. Yes it’s a business, and yes, they’re moneymaking machines, but where’s the CSR?
Corporate Social Responsibility is a buzzword for any law firm worth their salt, and it doesn’t stop there. Any company making the big bucks, legal or not, tends to have a programme dedicated to making their local community a better place, whether that be by helping underprivileged school children learn to read, providing free legal advice to a suffering town or a death-row inmate, or simply paying their ‘employees’ (yes, I’m talking about internships)…
Tod’s, the luxury Italian footwear company, made strides towards the CSR-conundrum with the announcement that they would provide the funding for the long-overdue restoration of Italy’s most famous historical monument. Diego Della Valle, the company’s owner, signed an accord with Rome city council last year to foot the bill to spruce up and restore the facade of the Colosseum. The project, amounting to a hefty £21million, was the first of it’s kind for a government that previously regarded sponsorship of the arts as an anathema, and marked the first step towards the restoration and protection of Italy’s wealth of historical treasures.
However, all is not as rosy as it seems, after Della Valle threatened to pull out of the project, due to start in March, after allegations of impropriety, favoritism and a lack of transparency. It has been alleged that proper procedures were not followed when the project went to public tender, with some saying that the subsequent result stinks of blatant commercial opportunism on the part of Tod’s. In exchange for the investment, Tod’s have the right to use the Colosseum logo for 15 years, in addition to putting it’s own logo on tickets bought by the six million tourists who visit the heritage site every year. Unsurprisingly, Gianni Alemanno, the Mayor of Rome, has labeled the wrangling over the deal by anti-trust bodies and prosecutors in the city as ‘madness’. “Let’s restore the Colosseum. Do you want it to fall to pieces? … It’s madness having to be stalled for a year when there’s a private businessman giving us 25 million euro for the Colosseum’s restoration and in exchange asking nothing but the privilege of talking about it.”
Italy’s political strife, not to mention its 1.9 trillion euro debt, means that unless a private investor funds the restoration it will not go ahead. Italian trade unions are up in arms about the deal, but how is it going to help? And has the deal really caused that much of a problem?
Whilst I’m not in a position to comment about whether public tender procedures have been sidelined, I can give the basics on the deal. The two-year long restoration project would provide additional employment opportunities for the Italians during their economic woes; it would also preserve one of the most treasured Italian emblems (surprisingly the Colosseum isn’t a UNESCO World Heritage Site, I’m at a loss as to why), dating back from 80AD. Lastly, and by no means least, this first step by a major player on the fashion radar has set a precedent worldwide as to how a fashion house should manage it’s CSR. Yes, we’re all in it because we love the shoes and the glamour, but there’s a whole other side to the fashion world, which deserves more recognition than it’s currently getting. Diego Della Valle and Tod’s deserve a pat on the back for setting what will hopefully be a worldwide precedent.
The current predicament presents two problems. Firstly, will the pressure from the anti-trust bodies and Italian prosecutors prove to be too much? If Della Valle pulls out we’re left with yet another wait for a private investor to come forward, and considering chunks of the Colosseum’s infrastructure have been crumbling away for years, how much longer can the monument wait? Italy is rich in culture and history, which should be protected and preserved no matter what. The Colosseum and all that it stands for is an important part of Italian ancestry, it would be a travesty if it was lost altogether over such a squabble. Let’s not forget than Della Valle is a dedicated philanthropist, already having funded Milan’s La Scala opera house. If Italy finds itself losing the support of a man who has put time, effort and money into protecting it’s heritage, especially at a time when private investment is crucial for the country, it could find itself in an altogether sticky situation.
Secondly, will the public backlash against Tod’s prove to be nothing but off-putting for other brands, who may have been persuaded to embrace the CSR bandwagon it if weren’t for the commercial worries and attack son their reputation? CSR is important, giving back to the community, in addition to it’s obvious advantages, can transform public perception of a brand and build a reputation in an industry that is already overly saturated.
There is currently no speculation as to how long the investigation will continue, but it is thought that it will mean the delay of the start of the project, which was initially scheduled to begin in March. Similarly, other sites of historical interest, including Pompeii, have suffered due to the lack of funds. Tod’s emerged last year as the only private sponsor willing to fund the Colosseum project, and current reports suggest that there is no alternative investor waiting in the wings. Whether this is continued stalling on the part of the Italian government remains to be seen, and we can only hope the issue is resolved before the amphitheatre falls beyond repair.