Scandinavian Car Mechanics Participate in Prolonged Industrial Action With Carmaker Tesla

Strike action at Tesla facility
The conflict centers on the right for the main labor organization to negotiate pay and employment terms for their membership

Across Sweden, approximately seventy car technicians persist to confront among the globe's wealthiest corporations – the electric vehicle manufacturer. This labor strike at the American automaker's ten Scandinavian service centers has currently entered two years of duration, and there is little indication of a resolution.

One striking worker has remained on the electric car company's protest line starting from October 2023.

"It's a tough time," remarks the 39-year-old. With the nation's chilly seasonal conditions arrives, it is expected to grow even tougher.

Janis devotes every start of the week alongside a colleague, standing outside a Tesla service center on an industrial park located in southern Sweden. The labor organization, the Swedish metalworkers' union, provides shelter via a mobile builders' van, as well as coffee and light meals.

But it remains operations continue normally nearby, at which the workshop seems to operate in full swing.

This industrial action involves a matter that reaches to the heart of Swedish labor traditions – the right of trade unions to bargain for wages & working terms on behalf of their workforce. This principle of negotiated labor contracts has underpinned industrial relations across the nation for nearly one hundred years.

Janis Kuzma on strike
The striking worker comments that the continuing industrial action has proven straightforward

Currently approximately 70% of Swedish employees are members to labor organizations, while ninety percent fall under by a collective agreement. Labor stoppages in Sweden occur infrequently.

This is a system supported across the board. "We favor the ability to negotiate directly with the unions and establish labor contracts," states a business representative of the Confederation of Swedish Enterprise business organization.

However the electric car company has upset established practices. Vocal CEO the company leader has said he "opposes" with the concept of unions. "I simply disapprove of any arrangement that establishes a sort of lords and peasants sort of thing," he told listeners at an event in 2023. "I think labor groups try to generate conflict in a company."

The automaker came to the Scandinavian market back in the mid-2010s, while the metalworkers' union has long sought to establish a labor contract with the company.

"But they did not respond," says Marie Nilsson, the union's leader. "We formed the impression that they tried to avoid or not discuss the matter with our representatives."

She states the organization ultimately saw no alternative than to announce a strike, which started on 27 October, last year. "Usually the threat suffices to issue a warning," comments the union leader. "The company typically signs the agreement."

However not on this occasion.

Marie Nilsson union leader
Union boss the union president explains that the strike was the final recourse

Janis Kuzma, originally from Latvia, began employment for Tesla in 2021. He asserts that pay & conditions frequently dependent on the discretion of managers.

He remembers an evaluation meeting where he states he was denied a salary increase on grounds he was "not reaching Tesla's goals". At the same time, a colleague was reported to be rejected for a pay rise due to he had the "wrong attitude".

However, some workers participated on strike. Tesla employed approximately 130 mechanics working when the strike was initiated. The union states that today around seventy of its members are on strike.

Tesla has since substituted the striking workers with new workers, for which there is no precedent since the era of the Great Depression.

"The company has accomplished this [found replacement staff] publicly and systematically," states a labor researcher, a researcher at a research institute, a policy organization supported by Swedish trade unions.

"It is not illegal, which is important to recognize. However it violates all traditional practices. Yet the company shows no concern for conventions.

"They aim to be norm breakers. Thus when somebody tells them, hey, you are breaking a standard, they see that as a compliment."

The company's local division declined requests for comment in an email citing "all-time high deliveries".

In fact, the company has granted just a single media interview in the two years since the industrial action started.

Earlier this year, the Swedish subsidiary's "national manager, Jens Stark, told a business paper that it suited the company better to avoid a union contract, and instead "to work closely with employees and provide workers optimal conditions".

Mr Stark denied that the decision not to enter a collective agreement was determined by US leadership overseas. "Our division possesses a mandate to take independent such choices," he said.

IF Metall is not completely isolated in its fight. The strike has been supported from several of other unions.

Port workers in neighbouring Scandinavian nations, Norway & neighboring states, decline to handle Teslas; waste is not removed from Tesla's Scandinavian locations; and recently constructed charging stations remain connected to the grid in the country.

Exists one such facility close to Stockholm Arlanda Airport, at which twenty chargers stand idle. However Tibor Blomhäll, the leader of an owner's club Tesla Club Sweden, says Tesla owners are unaffected by the strike.

"There's an alternative power point six miles from this location," he comments. "Plus we are able to still purchase vehicles, we can maintain our vehicles, we can power our cars."

Tesla vehicles in Sweden
Notwithstanding the strike Tesla's cars continue to be popular across Scandinavia

With stakes significant for all parties, it's hard to envision a resolution to the deadlock. The union faces the danger of setting a precedent should it surrender the principle of negotiated labor contracts.

"The worry is how this could expand," says the researcher, "and ultimately {erode

Michael Stephens
Michael Stephens

Real estate expert with over 10 years of experience in Italian property markets, specializing in investment strategies and market analysis.

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