Four Norwegian pension funds revealed Monday that a group of funds from the Nordic region will, later this week, send a letter to U.S. electric carmaker, Tesla (NASDAQ:TSLA) urging the EV company to respect collective bargaining for its employees.
Tesla has attracted criticism from unions and several pension funds in the area due to its rejection of the Swedish mechanics' request for collective bargaining rights.
The pension funds, which include Sweden's Folksam, Denmark's PFA and PensionDanmark, and Norway's largest pension fund KLP in the letter plan to ask for a meeting with Tesla.
"This isn't just about the labor model in the Nordic but about fundamental human rights," said Kiran Aziz, head of responsible investments at KLP.
KLP holds shares in Tesla worth roughly $210 million.
Tesla has successfully sidestepped collective bargaining agreements with its approximately 127,000 employees, and CEO Elon Musk has been openly vocal about his stance against unions.
A labor disagreement between Tesla and a Swedish trade union has triggered “sympathy strikes” throughout the region. These strikes have resulted in halts in dockworkers unloading Tesla products, undelivered license plates, and have also compelled certain pension funds to divest their shares in the company.
"As investors in Tesla, we recognize the company's great contribution to the electrification of the transport sector, but at the same time call on the management to seek a resolution to the conflict," analysts at PFA told Reuters.
PFA held shares in Tesla worth around $275 million as of the end of June.
Shares of TSLA are down 1.57% near end of day trading on Monday.