In a surprising turn of events, it has been uncovered that 3F, one of Denmark’s major labor unions currently engaged in a sympathy strike against Tesla Inc. TSLA, reportedly holds a substantial investment in the electric vehicle (EV) giant through its pension company.
What Happened: The ongoing conflict between Tesla and Swedish union IF Metall, leading to the sympathy strike, has been intensifying, with 3F expressing strong opposition to Tesla’s alleged disregard for a collective agreement in Sweden.
Jan Villadsen, head of 3F Transport, emphasized the importance of complying with labor agreements in the Nordics, stating in an interview with the Financial Times, “Even if you [Elon Musk] are one of the richest people in the world, you can’t just make your own rules.”
A report by Frihedsbrevet revealed the irony in 3F’s stance, highlighting that the union’s pension company, PensionDanmark, currently holds approximately DKK 400 million ($57.8 million) worth of Tesla shares. Despite this substantial investment, Villadsen expressed no immediate plans to discontinue the union’s stake in Tesla, citing the need for a careful and gradual approach.
The news was first reported by Teslarati.
In response to inquiries about 3F’s investment in Tesla, Villadsen indicated that he does not consider it necessary to cease the investment abruptly, emphasizing the obligation to pension fund contributors.
Why It Matters: Tesla CEO Musk remains firm in not reaching a deal with IF Metall in Sweden, and described the situation as “insane.”
The sympathy strikes initiated by IF Metall have started to spread across various industries in the country, signaling the widening impact of the labor dispute.
Price Action: Despite all that drama, and concerns over narrowing margins, Tesla shares are up over 120% this year. The stock closed flat in the previous session but was up 1.16% at $239.37 in Thursday’s pre-market, according to data from Benzinga Pro.
Disclaimer: This content was partially produced with the help of Benzinga Neuro and was reviewed and published by Benzinga editors.
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