Tesla initiated legal action against Sweden's transportation agency and postal service due to a union strike impeding the delivery of the company's license plates in the country. Despite being a non-unionized entity worldwide, Tesla faces demands from Swedish workers to negotiate a collective bargaining agreement.
(Photo : JESSICA GOW/TT/TT NEWS AGENCY/AFP via Getty Images)
A photograph taken on October 27, 2023 shows a view of the electric car company Tesla's Service Center in Segeltorp, south of Stockholm, where workers strike for the signing of a collective agreement.
Suing Swedish Agency
Tesla workers involved in the strike are pushing for the automaker to enter into a collective bargaining agreement, a standard practice viewed as fundamental to the Swedish model by the mechanics' union IF Metall.
Although Tesla lacks manufacturing facilities in Sweden, Engadget reported that it operates several service centers. The lawsuit asserts that the denial of registration plates amounts to an "unlawful discriminatory attack" against Tesla.
Despite the strike, the Swedish Transport Agency received an interim decision from a district court instructing it to approve Tesla's request to collect license plates within seven days or face substantial fines. The implications of this decision on the ongoing dispute remain uncertain, according to the agency.
Attack on a Company
Mikael Andersson, a spokesperson for the agency, clarified through The Associated Press that the Swedish Transport Agency disputes the claim of hindering license plate distribution. Andersson mentioned Tesla's decision to bring the matter to court, asserting it as their right.
He explained that the agency hasn't yet seen the lawsuit, making it difficult to offer direct comments without a thorough examination of both the lawsuit and Tesla's argument.
Tesla is requesting the district court to levy a 1 million kronor ($95,383) fine on the agency, compelling it to allow Tesla to "retrieve license plates" within three days of the court's decision notification.
The company argues that the agency has a constitutional obligation to provide license plates to vehicle owners" and deems the withholding of plates as a "unique attack on a company operating in Sweden.
The legal action contends that if the agency fails to meet its "constitutional obligation," it hinders the rights of the applicant.
Also Read: Tesla Introduces Congestion Fees at Supercharger Stations to Alleviate High Demand
The ST trade union, representing members employed by the postal and delivery service PostNord, stated that they were adhering to Swedish labor market regulations by halting the delivery of mail and packages to Tesla.
Tesla's decision to pursue legal action is interpreted by Åsa Erba Stenhammar of the ST trade union as a refusal to accept the prevailing rules in Sweden.
On October 27, Reuters reported that IF Metall, Sweden's leading manufacturing union, initiated a strike. Despite the absence of a Tesla manufacturing plant in the country, several service centers ceased operations on Tesla vehicles in solidarity with the strike.
In a show of unity, other unions in Sweden, including dockworkers, cleaners, and electricians, have joined the strike. Additionally, a component maker joined the unions on Friday in a sympathy action.
Related Article: Elon Musk Says Strike in Tesla Sweden Is 'Insane'
