Tesla may have picked an unwinnable fight with Sweden’s powerful unions — The first ever strikes and a solidarity blockade against the US carmaker could force it to rethink its entire anti-union model
The first ever strikes and a solidarity blockade against the US carmaker could force it to rethink its entire anti-union model, says journalist Martin Gelin
Tesla may have picked an unwinnable fight with Sweden’s powerful unions — The first ever strikes and a solidarity blockade against the US carmaker could force it to rethink its entire anti-union model::The first ever strikes and a solidarity blockade against the US carmaker could force it to rethink its entire anti-union model, says journalist Martin Gelin
The further you go, the harder it becomes to question why something is wrong, because if this small thing is wrong, is that other thing also wrong, and then this other thing, and before you realize it, it's all been wrong, and that's too hard to even begin to explore.
For you outside Sweden:
There is no such thing as minimum wage. It's perfectly legal to hire someone for 0 SEK / month.
The whole idea is that a collective agreement should be negotiated and agreed upon by the employers and employees in each business area (like telecom, healthcare, factory workers, electricians etc etc).
The idea is that the employers and employees, not the politicians, knows more about what their market/business area requires and is able to deliver in the form of minimum wage, yearly salary increase, vacation and overtime (among other things) .
Here's the thing that often is different in discusions like the one about Tesla refusing to sign a collective agreement:
Collective agreements only limits the minimums. So the only reason to refuse to sign is if you intend to keep some thing below the levels that are the norm in your business area.
Essentially, you're trying to get unfair competitive advantage.
That’s broadly not how the labour market works in Europe - but it does in Scandinavia, where the unions “won” (and long may they reign). Almost EVERYONE is in a union, most unions have negotiated a seat on the board of the business and as a result, the union-employer relationship is SO different to elsewhere. This includes the need for state interventions like minimum wage or work time maximums (except the EU directives on work time maximums, which the Nordic countries felt very uncomfortable adopting as it felt like an unnecessary intervention).
Consequently, the unions have “grown up” and don’t reflexively reject any labour market adjustments required. They act as a mature partner, even through redundancies, working to minimise and help people move on.
Partnered with the Scandinavian “flexicurity” model, where it’s very easy to hire and very easy to fire people, but the state has strong support for unemployed people in between jobs (education, financial support), the labour market is probably the most efficient in the world.
Kudos to them for figuring this out. One worker might be convinced that they should only get a small amount of pay for their working hours. But gather a large group of workers in the same field of work, and the group is harder to manipulate into a low pay situation. Nice.
that would be great of course but you know who's very ready to double down and lose billions instead of saying 'uhmm you know what I think I was wrong and I need to correct course'?
Scandinavia is pretty hooked on EVs. If Norway and Denmark pick up on this, it will not only harm Tesla but give the competition a really strong advantage to establish a competition that already is threatening Tesla's market shares
A US business rethink an anti-union model? Even businesses with unions would be happy to get rid of them here. They’re not going to rethink anything, they’ll expend every possible effort to avoid bending a knee to a union, especially a foreign one.
They literally can't sell cars any more in Sweden, on account of the postal service having a sympathy strike and no longer delivering registration plates to them. Using the postal service is the only legal means of obtaining registration plates, and without them it's not permitted to sell a car.
So either they rethink or they leave the Swedish market entirely.
Billionaires like to talk a lot about different kinds of ideologies, but at the end of the day, they all have the same ideology - Money. Put them in a situation where they clearly are going to make less without signing, and the signature will all of a sudden not be an impossibility any more.
the postal service having a sympathy strike and no longer delivering registration plates to them. Using the postal service is the only legal means of obtaining registration plates, and without them it's not permitted to sell a car.
They literally can't sell cars any more in Sweden, on account of the postal service having a sympathy strike and no longer delivering registration plates to them. Using the postal service is the only legal means of obtaining registration plates, and without them it's not permitted to sell a car.
How does that work? Do the postal workers see the return address of (the local equivalent of) the DMV and refuse to deliver if they see a Tesla in the driveway? If not, how do they not block other brands?
This is actually the one part of this whole strike I disagree with.
The government signed an agreement that prevents license plates from being delivered other than via this postal union. You can't pick them up or get them any other way (that I'm aware of today)
It is a de-facto ban on car sales if you don't sign a collective agreement, and there's no way this was intended by the government.
IMO this is going to be challenged. The government should not have been able to make an agreement like this. It's just some unintended consequence that has never surfaced before.
What if something else happened that prevented the mail from this one union from being delivered indefinitely? ALL auto manufacture sales would halt if that happens.
I think there's a fair chance of this successfully being challenged, OR, the agreement being altered prior to being challenged to provide another way to get plates directly from the government, or to allow the citizens themselves to pick up the plates.
Edit: And in case it wasn't clear, I don't see a problem with this as long as citizens can get a plate, even if that makes Tesla and their lives more difficult.
Plenty of US businesses play ball with the European norms when they function in Europe. The big US car manufacturers (Ford, and GM back before they sold Opel/Vauxhall) are unionised in Europe.
They recognise that the game they play at home in the States is very different to the game in Europe.
That Tesla isn't smart enough to figure out the same thing is not an enormous surprise.
I'm honestly surprised, that there are not more Americans loudly calling the Scandinavian countries communist. Being some of the most socialist countries in the world.
If memory serves, I don't think there were any actual damages in this case. They left a truck with a bunch of wet concrete and told someone, and the company had to haul ass so the concrete wouldn't solidify and break the truck. They did just that. It's ridiculous to ask for damages for that.
If they had left a fire or volatile process unattended, that would be different. Or if they created a gigantic mess for their coworkers to handle. But this isn't either of those.
What started as a minor local disagreement has grown to the point that it could have global implications, with potential ripple effects for labour movements and auto workers across Europe and the US.
The financial tech company Klarna recently had to give way after several years of attempting to resist collective bargaining agreements, and settled with employees in a victory for white-collar unions.
In the US, Tesla has been involved in a number of scandals over the past decade, with allegations relating to workplace safety, racial discrimination, sexual harassment, labour violations and unlawful practices to curb unionisation efforts.
When United Auto Workers organised strikes at the “big three” car companies – General Motors, Ford and Stellantis – in Michigan this summer, three-quarters of Americans said they supported it.
(Donald Trump also showed up in Michigan, but gave a speech at a non-unionised car parts maker, which was equally characteristic of his signature working-class cosplay without policy substance.)
For Musk, there are reasons to worry that his business model could be challenged, as the fight in Sweden reverberates with the strengthening power of labour organisers across American unions.
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Even if Tesla capitulates here, they won't change their domestic policies. This will only benefit those who are actually willing to stand up for themselves.
As it always been. The democrats are right-wing in Europe and the republicans are more on the right.
In Europe, you can't dissociate the economic agenda of a party. The right is pro-capitalist and neoliberalism. The center too. The left is different. They are for a regulate capitalism and the more on the left, the heaviest on regulations.