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Economy

Economy

Swedish court rules against Tesla in dispute with postal service over deliveries

Emma Hansson, chairman of IF Metall Stockholms lan, stands on strike outside Tesla's Service Center in Segeltorp, as workshop workers at the electric car company Tesla have gone on strike demanding that the company sign a collective agreement, in Stockholm, Sweden, October 27, 2023. Jessica Gow/TT News Agency/via REUTERS/File Photo
Emma Hansson, chairman of IF Metall Stockholms lan, stands on strike outside Tesla's Service Ce... Emma Hansson, chairman of IF Metall Stockholms lan, stands on strike outside Tesla's Service Center in Segeltorp, as workshop workers at the electric car company Tesla have gone on strike demanding that the company sign a collective agreement, in Stockholm, Sweden, October 27, 2023. Jessica Gow/TT News Agency/via REUTERS/File Photo
Emma Hansson, chairman of IF Metall Stockholms lan, stands on strike outside Tesla's Service Center in Segeltorp, as workshop workers at the electric car company Tesla have gone on strike demanding that the company sign a collective agreement, in Stockholm, Sweden, October 27, 2023. Jessica Gow/TT News Agency/via REUTERS/File Photo
Emma Hansson, chairman of IF Metall Stockholms lan, stands on strike outside Tesla's Service Ce... Emma Hansson, chairman of IF Metall Stockholms lan, stands on strike outside Tesla's Service Center in Segeltorp, as workshop workers at the electric car company Tesla have gone on strike demanding that the company sign a collective agreement, in Stockholm, Sweden, October 27, 2023. Jessica Gow/TT News Agency/via REUTERS/File Photo

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A Swedish court rules against Tesla in a dispute with postal service over deliveries. On Thursday, Tesla (TSLA.O) was unsuccessful in a court struggle with Sweden’s postal service, which came at a time when a conflict with Nordic trade unions was ramping up.

In the most recent development in a dispute on collective bargaining agreements, a Swedish court has ruled that PostNord is not obligated to supply license plates to Tesla at this time. Employees of the postal service are blocking these plates.

A rising number of unions in Sweden, Norway, and Denmark are supporting mechanics working at Swedish IF Metall. These mechanics went on strike on October 27 and sought a collective agreement with Tesla. Tesla is under increasing pressure in Scandinavia.

On Wednesday, a significant Danish pension fund said it would liquidate its investment in Tesla due to the company’s refusal to enter into financial transactions.

The court’s decision on Thursday is an interim ruling before its final judgment. The decision was made after Tesla filed a lawsuit against PostNord, a sympathy strike that caused workers to cease delivering plates for Tesla’s new cars.

“The district court has decided that PostNord should not be forced to make deliveries to Tesla before the case is closed,” the Solna district court stated. “The case is closed.”

Workers who refuse to provide service to Tesla, including dockworkers, truckers, electricians, and cleaners, are expressing their solidarity with IF Metall by refusing or threatening to do so.

One of Tesla’s most important markets is the Nordic region. Tesla has a policy of not consenting to collective bargaining and has stated that its employees have conditions comparable to or even superior to those that IF Metall is requesting.

Regarding the number of new car sales, Norway was Tesla’s fourth-largest market in the previous year. This year, Tesla’s Model Y was the most popular automobile in Sweden, and Sweden was the fifth-largest market for the company.

On November 27, a judge declared that the Swedish transport authorities must find a mechanism to provide Tesla with license plates. This decision was made in a case connected to the PostNord dispute. The institution has appealed the ruling.

Several Swedish pension funds have pressed Tesla to sign the deal with the union; nevertheless, until now, the company has refrained from selling its shares.


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