The labor dispute between Tesla and its Swedish workers over the refusal to sign a collective wage agreement has intensified, leading to a dramatic battle. IF Metall, the trade union representing Tesla mechanics, initiated a walkout in late October, which has now gained support from other unions representing dockworkers, cleaners, and postal service workers. These unions have announced their solidarity with IF Metall through a strike.
The backbone of the Swedish model, collective agreements involving unions and employers, covers about 90% of employees in Sweden. IF Metall has been attempting to negotiate a collective agreement with Tesla for the past five years, pointing out that Tesla’s wages are below industry average and seeking better pensions and insurance guarantees for its members.
As talks between Tesla and IF Metall have stalled, dockworkers have extended their blockade to all ports in Sweden, cleaners have ceased work at Tesla-owned locations, and postal workers have announced their intention to join the strikes. This coordinated labor action is the largest the company has faced worldwide.
Despite the limited number of staff employed by Tesla in Sweden, these strikes increase pressure on the company to adhere to European labor norms. In a show of support, the largest labor union in Germany recently secured a 4% pay rise for workers at Tesla’s Berlin Gigafactory and sent a message of solidarity to Swedish workers.
As of now, neither Tesla nor IF Metall has commented on the situation. The situation remains tense as the standoff between the company and its workers persists.
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