Italy probes US consulate contractor over alleged abuse of Indian workers

A contractor involved in the construction of the new US consulate in Milan has come under investigation in Italy over allegations of exploiting Indian migrant workers through abusive labour practices, prompting renewed scrutiny of labour conditions in Europe’s subcontracting networks.

Italian prosecutors and labour authorities have accused the contractor of subjecting Indian workers to exploitative conditions including excessive working hours, poor pay and coercive employment arrangements.

Court action has reportedly been launched as part of a wider probe into labour abuse and irregular recruitment practices tied to the high-profile diplomatic construction project.

According to Italian media reports and Reuters, investigators allege that several Indian labourers employed at the site were forced to work long shifts under conditions that violated labour protections guaranteed under Italian law.

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The workers were reportedly recruited through intermediaries and subcontracting channels, a system that has increasingly drawn criticism across Europe for enabling exploitation of migrant labourers, particularly in sectors such as construction, agriculture and logistics.

Italian authorities are examining whether workers faced wage withholding, unsafe accommodation conditions, and restrictions linked to their immigration or employment status. Prosecutors are also reportedly investigating possible links to labour trafficking networks.

The case has attracted significant attention because the project is connected to the construction of a US diplomatic facility in Milan, one of Italy’s most important commercial and financial centres.

While the allegations do not directly involve the US government, the controversy has raised questions about oversight mechanisms within large international infrastructure and diplomatic projects that rely heavily on layers of subcontractors.

Italy has in recent years intensified crackdowns on labour exploitation involving migrant workers, particularly after several investigations uncovered widespread abuse in agriculture, manufacturing and construction sectors. South Asian workers, including Indians, have frequently featured among vulnerable labour groups employed through informal or opaque recruitment systems.

Labour unions and migrant rights organisations say subcontracting structures often create gaps in accountability, allowing workers to remain hidden from direct oversight by principal contractors or project authorities.

The Milan investigation comes amid growing concern across Europe over modern forms of labour exploitation that stop short of formal human trafficking but involve economic coercion, excessive dependency on employers, and poor working conditions.

Italian courts have increasingly used preventive judicial measures against companies accused of labour abuses, including temporary administration orders aimed at forcing compliance with labour standards while investigations continue.

Authorities have not yet publicly disclosed the full number of workers affected in the Milan case. However, reports indicate that Indian nationals formed a significant part of the workforce involved in the disputed arrangements.

The contractor at the centre of the allegations has denied wrongdoing and is expected to challenge aspects of the investigation.

The episode may also draw attention in India, where concerns about overseas labour exploitation have periodically surfaced, particularly involving migrant workers employed in Europe and the Gulf through third-party recruitment agents.

Experts say the case underscores the growing global debate around ethical labour sourcing, migrant worker protections and corporate accountability in large international infrastructure projects.

With inputs from agencies