Latest news with #Folksam
Local Sweden
03-04-2025
- Automotive
- Local Sweden
Swedish insurer Folksam drops $160 million Tesla stake over labour rights
Folksam said that Tesla's approach to its employees' rights to unionise was "problematic" given its investment criteria, and that attempts to influence the company as a shareholder had been ineffective. "Unfortunately, no improvement has been seen and a decision has therefore been taken to divest the holding," Folksam said in a statement. Folksam told AFP in an email that the market value of the holdings was about 1.6 billion kronor ($160 million). The electric carmaker has been involved in a labour dispute with Swedish unions since 2023. In late October of that year, the metal workers union IF Metall launched a strike against Tesla over its refusal to sign a collective wage agreement, and some 130 mechanics at 10 Tesla repair shops in seven cities walked off the job. IF Metall then extended the strike to include work on Teslas at other repair shops which served multiple brands. The strike then grew into a larger conflict between Tesla and almost a dozen unions seeking to protect Sweden's labour model, including postal workers, dock workers and even spreading to neighbouring Nordic countries. Advertisement Negotiated sector by sector, collective agreements with unions are the basis of the Nordic labour market model. Guaranteeing wages and working conditions, they cover almost 90 percent of all employees in Sweden and 80 percent in Denmark. Tesla chief Elon Musk has long rejected calls to allow the company's employees worldwide to unionise. Musk's close cooperation with US President Donald Trump has also led to calls for boycotts against Tesla. Acts of vandalism against charging stations and the brand's dealerships has increased, while several protests were held on Saturday outside retail locations in North America and Europe. In Sweden, Tesla sales declined 63.9 percent in March and 55.2 percent in the first three months of the year, according to Mobility Sweden.
Yahoo
02-04-2025
- Automotive
- Yahoo
Sweden's $80B Giant Just Dumped Tesla -- Here's Why It Could Spark a Bigger Investor Revolt
Swedens largest insurer just dropped Tesla (NASDAQ:TSLA). The reason? A clash over workers' rights thats been quietly brewing for months. Folksam, managing more than $80 billion in assets, sold its $160 million stake after tryingtwiceto push Teslas leadership toward collective bargaining agreements for Swedish mechanics. No dice. Tesla, led by Elon Musk, insists its employee benefits are already competitive. But that wasnt enough for Folksam. No improvement has been seen, said Marcus Blomberg, the insurers head of asset management and sustainability. Translation: we tried engagement, it didnt work, were out. This isnt just about one Scandinavian fund selling a fraction of a percent. Its a warning shot. In ESG-heavy markets like the Nordics, labor standards are non-negotiableand investors are willing to walk. If others follow Folksams lead, Tesla could face more pressure in Europe, not just from unions, but from capital looking for companies that match their values. This article first appeared on GuruFocus.
Yahoo
02-04-2025
- Automotive
- Yahoo
Trending tickers: The latest investor updates on Tesla, Johnson & Johnson, CoreWeave, Newsmax and Raspberry Pi
Folksam, Sweden's largest insurer, announced on Wednesday that it had sold its holding in electric vehicle (EV) maker Tesla (TSLA), over concerns about workers' rights. "Tesla's (TSLA) approach to employee rights violates the Folksam Group's investment criteria," the company said, according to a translation. Tesla is embroiled in a dispute in Sweden over its refusal to sign a collective bargaining agreement, which would allow trade unions to negotiate on behalf of employees who are members. Folksam said it had tried to influence Tesla in "various ways", having submitted proposals to the company's annual general meeting two years in a row, but said "no improvement has been seen". Read more: FTSE 100 LIVE: Stocks slip as markets await Trump's 'liberation day' tariff announcement "This is not the result we had hoped for," said Marcus Blomberg, head of asset management and sustainability at Folksam. "Trying to influence our holdings through ownership control is important for the Folksam Group, but now we see no possibility of achieving a change and therefore we have divested the entire holding." It was not disclosed how big of a stake Folksam had in the company. Tesla had not responded to Yahoo Finance UK's request for comment at the time of writing. This comes as Tesla CEO Elon Musk faces a backlash over his political activities, as a close adviser to US president Donald Trump and heading up his so-called Department of Government Efficiency (DOGE), overseeing cuts to government agencies. Shares in Tesla were down 1.5% in pre-market trading on Wednesday, with the stock down more than 33% year-to-date. Shares in Johnson & Johnson (JNJ) slid nearly 8% in Tuesday's session, after a US judge rejected the company's attempt to resolve lawsuits linking baby powder to ovarian cancer with a bankruptcy deal. Johnson & Johnson said on Monday that the US Bankruptcy Court for the Southern District of Texas denied the request by its subsidiary Red River Talc to confirm its proposed prepackaged bankruptcy plan. Rather than appeal the decision, Johnson & Johnson said it would return to the tort system – an area of civil law – to litigate and "defeat these meritless talc claims". Read more: Gold climbs as investors await 'liberation day' tariff announcement Erik Haas, worldwide vice-president of litigation at Johnson & Johnson, said: "The court has unfortunately allowed a couple of law firms with financially conflicted motives, who have conceded they have not recovered a dime for their clients in a decade of litigation, to defeat the overwhelming desire of claimants. "In view of the learnings from the bankruptcy case, we are more confident than ever in our position in the tort system. We prevailed in 16 of 17 ovarian cases tried in the last 11 years and will devote our efforts to defeating these fake claims." Nvidia-backed artificial intelligence (AI) start-up CoreWeave (CRWV) surged 42% on Tuesday, its third day of trading. The jump in shares saw CoreWeave (CRWV) close on $52.57 (£40.65) per share, with a market valuation of $24.39bn. Read more: Stocks that are trending todayStocks: Create your watchlist and portfolio The company had a lacklustre start to trading after it debuted on the Nasdaq (^IXIC) on Friday. CoreWeave (CRWV) started out as an Ethereum-focused crypto mining firm in 2017 but has since shifted into AI. It uses Nvidia's (NVDA) graphics chips for data centres, renting out the space and processing capacity to third parties. Shares in conservative media outlet Newsmax (NMAX) soared another 179% on Tuesday, after skyrocketing 735% on Monday following its initial public offering (IPO). Newsmax (NMAX) raised $75m in its IPO on Friday, with the surge in shares in its first couple of days of trading giving the company a market valuation of $20.8bn. Stocks: Create your watchlist and portfolio "This incredibly successful offering, combined with our previous Preferred Offering, provides us with the capital and financial freedom to accelerate our growth initiatives, expand our programming, and further enhance our digital presence," said CEO Christopher Ruddy, a media mogul and friend of president Trump. Newsmax (NMAX) was founded as a news website in 1998 by Ruddy, with the company launching its cable news channel in 2014. On the UK market, shares in Raspberry Pi (RPI.L) jumped more than 8%, despite the company reporting a drop in profits in its first set of annual results since listing last year. The company makes small, more affordable computers for businesses, as well as for home use, having been originally developed to help with teaching coding. Full-year revenue for 2024 came in at $259.5m, down 2% from last year, though profit before tax plunged 57% to $16.3m and adjusted earnings per share fell 47% to 10.7 cents. Read more: Trump's tariffs could wipe out UK budget headroom, warns OBR Dan Lane, lead analyst at Robinhood (HOOD) UK, said: "A wall of negative results today is a world away from the upbeat half-year update but the big jump in products released could be the saving grace. With 22 new products launched during 2024, of which RPI (RPI.L) said it would feel the full benefit in 2025, investors might be willing to look past big drops in profits and earnings per share. "Whether numbers like today's are teething issues or not could have a real impact on the firm's trajectory from here – it will need to get back to growth quickly. That said, with its new product set that could be an exciting prospect." Rivian (RIVN) Pfizer (PFE) Greencore (GNC.L) Bakkavor (BAKK.L) Gattaca (GATC.L) Read more: How will UK carmakers be hit by Trump import tariffs? Eurozone inflation falls to 2.2%, bolstering case for interest rate cuts UK economy records modest growth in final quarter of 2024
