Tesla faces union opposition in Denmark

Published 12/05/2023, 08:21 AM
Updated 12/05/2023, 08:22 AM
© Reuters.  Tesla (TSLA) faces union opposition in Denmark
TSLA
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The largest union in Denmark has pledged its backing to Swedish mechanics engaged in a strike against Tesla (NASDAQ:TSLA).

Members of the Danish 3F union, including harbor workers and drivers, intend to halt the unloading of vehicles bound for Sweden at Danish ports and cease transporting them to Sweden for approximately two weeks. This move aims to impede Tesla from bypassing a blockade in Sweden that has persisted for several weeks.

"IF Metall and the Swedish workers are fighting an incredibly important battle right now.” said 3F’s transport division chairman, Jan Villadsen. “When they ask for our support, we are of course behind them. Just like the companies, the trade union movement is global in the fight to protect workers."

Swedish labor associations have been taking industrial actions against Tesla since October, aiming to force the electric vehicle manufacturer into signing collective bargaining agreements with mechanics.

The strike has expanded through acts of solidarity, such as ceasing the delivery of mail to Tesla. Elon Musk, the CEO of Tesla, has criticized the labor actions in Sweden, calling them "insane."

In what appeared to be direct criticism of Musk, Villadsen added: “Even if you are one of the richest in the world, you can’t just make your own rules. We have some labour market agreements in the Nordic region, and you have to comply with them if you want to run a business here.”

Tesla has consistently resisted unionization efforts in various countries.

However, in Sweden, collective bargaining agreements are a standard practice, covering around 90% of the country's workforce.

Shares of TSLA are down 0.84% in pre-market trading on Tuesday.

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