Germany's most prominent union has leveled serious accusations against Tesla Inc., claiming the electric vehicle manufacturer is cultivating a toxic working environment at its factory near Berlin. These allegations emerge as tensions escalate in anticipation of a highly contested works council election scheduled for next month.
Union Alleges Systemic Issues at Tesla Plant
IG Metall, Germany's largest industrial union, formally accused Tesla on Wednesday of overworking employees and applying undue pressure on staff members who have fallen ill. The union has taken legal action by applying for an injunction at a labor court regarding what it describes as false allegations against one of its members. Specifically, Tesla management allegedly claimed the union member recorded a works council meeting on a laptop, a charge IG Metall vehemently denies.
Legal Actions and Defamation Claims
In addition to the injunction request, IG Metall has asked prosecutors to investigate a local Tesla manager for defamation related to the laptop recording allegations. Jan Otto, a regional leader for IG Metall, stated that Tesla's management is attacking unions in Germany with what he called "unprecedented aggression." Otto emphasized, "The company must not be allowed to get away with this," highlighting the union's determination to confront what they perceive as hostile labor practices.
Escalating Tensions Ahead of Critical Election
The conflict between Tesla and German labor representatives comes at a pivotal moment, with a works council election at the Grünheide factory scheduled for March. IG Metall hopes to secure a majority in this vote to implement wage agreements that are standard throughout Germany's automotive industry. Such agreements typically include collective bargaining arrangements that Tesla has historically resisted under CEO Elon Musk's leadership.
Musk has repeatedly expressed hostility toward unions and collective bargaining deals, creating a fundamental clash with Germany's established labor practices. In the German industrial landscape, labor leaders traditionally hold half the seats on supervisory boards at major corporations, granting them significant influence over strategic decisions, including potential veto power.
Broader Context of German Automotive Industry
The Tesla election coincides with similar works council votes occurring in March at other major German automakers, including Mercedes-Benz Group AG, Porsche AG, and Volkswagen AG. These elections unfold during a particularly tense period for Europe's automotive sector, as companies increasingly shift research and production to lower-cost countries while consumer demand remains below pre-pandemic levels.
The German automotive industry has eliminated tens of thousands of jobs in recent years, forcing IG Metall to confront existential questions about its relevance during this era of rapid technological and economic transformation. For Tesla specifically, the situation appears especially critical as the company experiences declining European sales despite overall growth in the electric vehicle market.
Specific Complaints and Demands
At Tesla's Grünheide facility, where the company manufactures the Model Y, new vehicle registrations in Germany plummeted by 48 percent in 2025. Employees have long voiced complaints about unfair working conditions, which IG Metall now seeks to address through specific demands. The union is calling for substantial changes at the factory, including increased personnel, more frequent shift breaks, and more flexible vacation time arrangements.
Philipp Schwartz, an IG Metall member who is running in the Tesla works council election, articulated the workers' perspective: "Employees are right to demand that they be treated with respect. They no longer want to be looked down upon as if they were machines that can be replaced when they no longer function as desired."
Cooperation with Investigations
Regarding the laptop recording dispute, IG Metall has stated it is fully cooperating with the investigation. The union member at the center of the controversy has offered authorities access to the device to expedite the probe and refute Tesla's claims. This move demonstrates the union's confidence in their position and their commitment to resolving the matter transparently.
Tesla did not immediately respond to requests for comment on these allegations. The company's silence leaves unanswered questions about how it will address the union's claims and navigate the upcoming works council election, which could significantly impact labor relations at its German operations.
