Swedish Car Mechanics Participate in Prolonged Industrial Action With Automotive Giant Tesla

Strike action at Tesla facility
The conflict focuses on the right of the main labor organization to negotiate pay & employment terms for its members

Across Sweden, approximately 70 automotive technicians persist to confront among the globe's richest companies – Tesla. The labor strike at the US carmaker's ten Scandinavian service centers has now entered two years of duration, and there is minimal indication for a settlement.

Janis Kuzma has been at the electric car company's picket line since October 2023.

"It's a tough period," remarks the 39-year-old. And as Sweden's chilly seasonal conditions sets in, it's likely to become even tougher.

The mechanic spends each Monday with a fellow worker, standing near a Tesla service center on a business district located in southern Sweden. His union, the Swedish metalworkers' union, supplies accommodation in the form of a portable builders' van, plus coffee and sandwiches.

But it remains business as usual across the road, at which the service facility seems to operate in full swing.

This industrial action concerns a matter that goes to the heart of Scandinavia's industrial culture – the authority of trade unions to bargain for pay & working terms representing their workforce. This principle of negotiated labor contracts has supported labor dynamics across the nation for almost a century.

Janis Kuzma on strike
The striking worker comments that the ongoing industrial action has not been easy

Today approximately seventy percent of Scandinavia's employees are members to labor organizations, while ninety percent are covered under negotiated labor contracts. Labor stoppages across the nation occur infrequently.

It's a system supported by all parties. "We favor the right to negotiate directly with worker representatives and sign labor contracts," says Mattias Dahl from the Association of Swedish Enterprise business organization.

But Tesla has upset established practices. Outspoken chief executive Elon Musk has said he "opposes" with the concept of unions. "I simply don't like any arrangement which creates a sort of lords and peasants situation," he told listeners at an event in 2023. "I think labor groups try to create conflict within businesses."

Tesla came to Sweden back in 2014, and IF Metall has for years sought to establish a labor contract with the automaker.

"Yet they wouldn't reply," says Marie Nilsson, the union's president. "And we got the belief that they attempted to avoid or not discuss the matter with our representatives."

She says the organization ultimately saw no other option except to call a strike, beginning in late October, 2023. "Usually it's enough to issue the threat," comments the union leader. "Employers typically signs the agreement."

However this did not happen on this occasion.

Marie Nilsson union leader
Union boss the union president states how the industrial action was the last option

Janis Kuzma, originally of Latvian origin, started working for Tesla in 2021. He claims that pay and conditions frequently dependent on the discretion of managers.

He recalls a performance review where he says he was refused a salary increase because that he "not reaching company targets". Meanwhile, a colleague was reported to be rejected for increased compensation due to having the "wrong attitude".

Nevertheless, some workers participated in the industrial action. The company had approximately 130 technicians working at the time the industrial action was called. IF Metall says that today around seventy of their represented workers are participating in the action.

The automaker has long since replaced these with replacement staff, a situation there is not occurred since the 1930s.

"Tesla has done it [found replacement staff] publicly & systematically," states German Bender, an analyst at Arena Idé, a policy organization supported by Swedish trade unions.

"It is not against the law, which is crucial to understand. However it goes against all established practices. But the company shows no concern for conventions.

"They want to become convention challengers. So if somebody informs them, hey, you are breaking a norm, they see that as praise."

The automaker's local division declined requests for interview via correspondence citing "all-time high deliveries".

Indeed, the automaker has granted only one press discussion during the entire period since the industrial action began.

In March 2024, the Swedish subsidiary's "country lead", the executive, told a financial publication that it suited the company better not to have a collective agreement, and rather "to work closely with employees and provide them optimal conditions".

Mr Stark denied that the decision not to enter a labor contract was one made by US leadership in the US. "Our division possesses authorization to take our own such decisions," he said.

The union is not completely isolated in this conflict. The strike has been supported from several of labor organizations.

Dockworkers in neighbouring Denmark, Norway & neighboring states, decline to handle Teslas; waste is not collected from the automaker's Scandinavian locations; while newly built charging stations are not being linked to power networks across the nation.

Exists one such facility near Stockholm Arlanda Airport, where 20 charging units stand idle. But Tibor Blomhäll, the president of enthusiasts group Tesla Club Sweden, says vehicle owners are unaffected by the labor dispute.

"There exists another charging station 10km from here," he comments. "And we can still buy our cars, we can service our cars, we can power our electric cars."

Tesla vehicles in Sweden
Despite the industrial action the company's vehicles continue to be popular across Scandinavia

With stakes high on both sides, it is difficult to envision a resolution to the stand-off. IF Metall risks establishing a pattern if it concedes the fundamental concept of collective agreement.

"The worry is that that would spread," says Mr Bender, "and ultimately {erode

Joyce Evans
Joyce Evans

A tech-savvy entertainment critic with a passion for dissecting the latest in streaming media and digital content trends.

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