Overview
- The board’s proposal would award Elon Musk up to $1 trillion in performance-based compensation to retain him as chief executive.
- If milestones are met, Musk’s ownership could rise from roughly 13% to 25% through about 423 million additional shares.
- Key conditions require Musk to remain in the role for around seven and a half years and to lift Tesla’s valuation from about $1.4 trillion to $7.5 trillion.
- Chair Robyn Denholm urged investors to support the plan, warning that Tesla could forfeit Musk’s time, talent and vision without an equitable package.
- Proxy advisers recommend a no vote, while unions and watchdogs launched the Take Back Tesla campaign opposing the plan over pay scale, governance and brand-risk concerns.