Tesla Factory

Trade unions across Europe mobilise in protest against working conditions at Tesla

Musk forced to push back after collective bargaining snub in Sweden
Trade
Image: Bigstock

11 December 2023

It has now been a month-and-a-half since Tesla took on the Swedish social model by rejecting the a proposed collective bargaining agreement. However, the action has done Elon Musk’s company more harm than good: An entire country has turned against the automaker, triggering solidarity movements across Europe and even attracting the attention of the European Union.

It all started on 27 October at seven Tesla dealerships in Sweden, which employ 120 people. There unions, rather than the government, negotiate collective agreements with the employer. BA strike was called when Tesla refused to engage in negotiations.

That strike caused a huge wave of solidarity in Swedish society, which sees the action as a fight to defend its social model.

 

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Transporters and dock workers have refused to load or unload Tesla cars, electricians refused to perform maintenance or repairs in the company’s workshops or offices, and even the postal service refused to distribute license plates for these cars for a time.

“This is absurd!” said Musk, who has never hidden his disdain for unions. But what followed will not please him either: the movement is spreading to other countries, from northern Europe. And it could even disrupt his business model on the other side of the Atlantic.

It was the Danish drivers and dockers of the powerful national union 3F who led the way. Since the beginning of December, they have refused to transport cars from the American manufacturer. As they are not employed by Tesla this severely limits the company’s ability to respond.

It doesn’t stop there. The Finnish transport union AKT joined the movement last week. The day before, the Norwegian union Fellesforbundet announced it would no longer transport any Tesla products. The various Scandinavian unions have given the company until 20 December to respect the Swedish labour model.

The mobilisation is already affecting the stock markets. Politico reported that Danish pension fund PensionDenmark is boycotting Tesla shares and will sell those already owned as soon as possible.

As this movement spreads to more countries, it is gaining visibility outside the Nordic sphere and appears to be becoming a wave of European opposition.

“It is time for the European Union to take action and stand firmer against Musk,” Claes-Mikael Ståhl, deputy secretary general of the European Trade Union Confederation, told Politico.

In Germany, where Tesla has located one of its famous gigafactories, IG Metall, the nation’s largest union, has already seen an increase in the number of registrations of workers worried about working conditions.

The situation has not been helped by Musk, who has made no secret of his disgust for the labour movement. “I think unions naturally try to create negativity in a company,” he said last week, still believing they promote a view of labour relations that is “between gentlemen and peasants” – exactly what unions are fighting against, by definition.

Even in the US, unions are making a comeback. Public support has been growing steadily since 2009, after a long absence of social movements. Currently, 67% of Americans support unions, Gallup notes. Yet only 8% of them are actually union members.

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