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Geek Room > Blog > Cars > Elon Musk deems strikes ‘ludicrous’ amidst Swedish labor action against Tesla
Cars

Elon Musk deems strikes ‘ludicrous’ amidst Swedish labor action against Tesla

Last updated: 2023/11/24 at 7:45 PM
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3 Min Read

In a historic showdown between Swedish workers and Tesla, Elon Musk has voiced strong disapproval of what he calls “insane” strikes orchestrated by the influential trade union IF Metall. The dispute centres around the demand for collective bargaining rights, marking the first-ever strike by Tesla employees.

A Tesla supercharger station in Jönköping, Sweden

For five weeks, IF Metall has led strikes across eight Tesla workplaces in Sweden, emphasizing the significance of collective agreements, a cornerstone of Sweden’s labour market model. These agreements cover crucial aspects such as salary, pension, working hours, and holidays, allowing unions and employers to regulate the labour market jointly.

The conflict intensified when Tesla reportedly refused to sign a collective agreement with IF Metall, prompting the union to take action. IF Metall, boasting over 300,000 members in Swedish industry, has vowed to persist with the strikes until an agreement is reached.

The ship Malacca Highway at shore as port workers block the loading of Tesla vehicles in Malmö

The strike has garnered support from various sectors, with eight other unions joining in and the possibility of spreading to neighbouring Norway. IF Metall Chair Marie Nilsson stressed that the battle transcends Tesla employees, representing a fight to safeguard the Swedish union model. Nilsson warned that allowing companies like Tesla to operate without collective agreements could set a precedent for other international companies and industries.

Sympathy strikes have erupted, affecting Tesla beyond the immediate workforce. Transport and harbour workers have refused to handle Tesla cars in Swedish ports, electricians have declined service or repair at Tesla workshops, and various other unions have joined in solidarity. The strike has already influenced other businesses; the global payment firm Klarna signed a collective agreement shortly after the Tesla strike began, averting a planned strike at its Stockholm headquarters.

Rattled by Swedish strikes, Tesla now faces union pressure in Berlin

The impact might extend beyond Tesla, with speculation arising about potential conversations at other companies, such as Spotify’s Swedish division. In Norway, where approximately 500 Tesla employees are organized, the largest private sector union, Fellesförbundet, has pledged to block Swedish Teslas from entering the country until collective agreements are honoured.

As the conflict unfolds, observers are drawing parallels to past labour disputes, suggesting that the Tesla strike is not just about workplace conditions but a broader defence of the Scandinavian labour model against American practices. Despite the challenges, IF Metall remains resolute, emphasizing the importance of the collective bargaining fight and its potential long-term implications for the labour landscape in Sweden and beyond.

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