Criticisms
In 1991, Edizone Holding International, a Benetton subsidiary, bought Compañía de Tierras del Sud Argentino S. A. and became the largest private landowner in Argentina after taking over the land the company had inherited from the 19th century Conquest of the Desert. Benetton has faced criticism, particularly from Mapuche organizations, over its ownership and management of traditional Mapuche lands in Patagonia. In 1997, Benetton invested in a museum in Leleque which presented the Mapuche as migrants from Chile, which was interpreted as an attempt to diminish the Mapuche's traditional claims. The Curiñanco-Nahuelquir family was evicted from their land in 2002 following Benetton's claim to it, but the land was restored in 2007. The company published a position statement regarding the Mapuche in Patagonia in 2012. Protests and occupations began again in 2015. Activist Santiago Maldonado was last seen being evicted by the Argentine National Gendarmerie from the disputed area in August 2017. His body was found two months later.
Benetton aroused suspicion when they considered using RFID tracking chips on clothes to monitor inventory. A boycott site alleges the tracking chips "can be read from a distance and used to monitor the people wearing them." Issues of consumer privacy were raised, and the plan was shelved. Benetton's position on RFID technology is also available on their website.
PETA launched a boycott campaign against Benetton for buying wool from farmers who practiced mulesing. Benetton has since agreed to buy nonmulesed wool and has further urged the wool industry to adopt the PETA and Australian Wool Growers Association agreement to end mulesing. Benetton's position statement on the mulesing controversy is available on their website.
Building collapse at Savar
On 24 April 2013, the eight-storey Rana Plaza commercial building collapsed outside Dhaka. It housed one of the factories in which Benetton clothing was made. At least 1,130 people died. Benetton first denied reports linking production of their clothing at the factory, but clothes and documents linked to Benetton were discovered at the disaster site. Of the 29 brands identified as having sourced products from the Rana Plaza factories, only nine attended meetings held in November 2013 to agree a proposal on compensation to the victims. Several companies refused to sign including Walmart, Carrefour, Bonmarché, Mango, Auchan and Kik. The agreement was signed by Primark, Loblaw, Bonmarche and El Corte Ingles. A year after the collapse, Benetton faced international protests after failing to pay any compensation to the Rana Plaza Donors Trust Fund. Protests included shutting down Benetton's flagship Oxford Street store in London.
In April 2015, Benetton Group announced that it has doubled compensation for Rana Plaza victims recommended by independent assessors (PWC AND WRAP) and applied the principles of the Accord on Fire and Building Safety to global suppliers. Benetton's engagement for Bangladesh is available on their website.
Position on the Russian invasion of Ukraine
According to a study by Yale University, which analyzes the exit of foreign companies from the Russian market, Benetton group received the worst grade "F", which indicates that the company has not taken any steps to exit the Russian market and operates there with "business as usual". Meanwhile, the Changing Markets Foundation found evidence that the Benetton group uses Russian oil for its polyester products and is the only company investigated that does both: uses Russian oil for its products and remains on the Russian market.