Tesla Is Fighting With Sweden’s Unions. Here’s What to Know.
Summary
The strike in Sweden, by 120 mechanics represented by the trade union IF Metall, was the first labor action against Tesla, the U.S. maker of electric vehicles founded 20 years ago and run by Elon Musk. But the widening support from unions including dockworkers, electrical and postal workers has pressured the automaker to take legal action to compel delivery of license plates. But organized labor is not so strong in emerging green industries, and union leaders in Sweden are concerned that if those jobs remain nonunion, they will have lower wages and fewer benefits. “We see that it is an unfortunate situation which, in the event of a protracted conflict, risks threatening Swedish jobs,” said Hanna Alsen, head of negotiations at the Motor Industry Employers’ Association. “It’s about a cultural clash between two distinct systems: the Scandinavian labor market model, which emphasizes collective negotiation, and the Silicon Valley ethos of agility in pivoting, coupled with Elon’s focus on vertical integration,” he said.