Tesla seeks Sweden court order in protracted labour union conflict

STOCKHOLM (Reuters) – Tesla (NASDAQ:) has asked a court in Sweden to ensure that the country’s Transport Agency provides access to licence plates that are currently blocked by postal workers in a wider labour conflict, a court official said on Tuesday.

The U.S. electric vehicle maker headed by billionaire Elon Musk is at the centre of a dispute in Sweden over its refusal to sign a collective bargaining agreement and thus allow a labour union to negotiate on behalf of workers.

The conflict began when a group of Tesla mechanics went on strike in October of 2023, and more than a dozen unions have since announced solidarity actions, including dockworkers, electricians, maintenance crews, postal workers and cleaners.

After losing several appeals in other courts, Tesla has now turned to the Karlstad administrative court to force the Transport Agency to provide licence plates for buyers of its vehicles by other means than postal delivery, an official at the court said.

Tesla did not immediately respond to a request for comment.

While the postal blockade makes access to licence plates more difficult, Swedish media has reported that Tesla has found ways to circumvent the unions by asking car buyers to order plates themselves.

The Transport Agency said it would await the outcome of the case.

Sweden’s ST labour union said Tesla should adapt to Sweden’s labour market practices.

“We do not believe it is too much to ask for large international companies to make certain adjustments to the systems of different countries,” it said.

Tesla has said it offers as good, or better, terms than those demanded by the union, and the company has found ways to stay in operation, including by employing non-union staff.