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Swedish Court Upholds Ruling Against Tesla in Labor Dispute

Swedish Court Upholds Ruling Against Tesla in Labor Dispute

COPENHAGEN – On Friday, a Swedish district court upheld a preliminary ruling that allows Sweden’s postal service, Postnord, to refrain from delivering license plates to Tesla (NASDAQ: TSLA), which postal workers are blocking as part of a wider labor union sympathy strike.

The U.S. carmaker faces pressure in the Nordic countries from powerful employee unions backing mechanics from Sweden’s IF Metall union, who went on strike in October of 2023 demanding a collective bargaining agreement with the company.

But while the postal blockade makes access to license plates more difficult, Swedish media has reported that the company found ways to circumvent the unions by asking car buyers to order plates themselves.

The Nordic region is a key market for Tesla, which has a policy of not agreeing to collective bargaining and has said its staff have as good or better terms than those IF Metall is demanding.

The electric vehicle maker has increased its sales and boosted its share of the Swedish car market in 2024 despite the labor boycott, car sales data showed earlier this month.

Tesla did not immediately respond to a request for comment.

(Source: ReutersReuters)