"On Thursday, Tesla shareholders will vote on whether to grant Elon Musk an enormous pay package, the largest ever awarded to a chief executive by orders of magnitude, or risk him leaving the company in a huff. If this sounds weirdly familiar, it's because the same thing unfolded nearly a year ago. At the 2024 meeting, Tesla shareholders were urged to vote in favor of a $50 billion payday for Musk, in order to keep him on the job as CEO."
"Under the proposed pay package, Musk would need to meet certain milestones, such as producing 1 million robotaxis and 1 million humanoid robots, as well as increase Tesla's valuation by trillions of dollars. Each milestone unlocks tens of billions of dollars in compensation for Musk. It would increase his stake over a decade from about 15 percent to around 25 percent."
"But Tesla's claims that Musk will get nothing if he fails to hit these benchmarks isn't exactly true. He could collect $50 billion - the original proposal from last year that was struck down by a Delaware judge - even while missing most of the targets set out in the proposal. Even hitting just two of the easiest targets, along with modest stock growth, would net Musk $26 billion, according to Reuters."
Tesla shareholders face a vote on a proposed compensation package that could be worth roughly $1 trillion if Elon Musk meets aggressive production and valuation goals. The board's proposal ties payouts to milestones including producing millions of humanoid robots and 1 million robotaxis and boosting Tesla's valuation by trillions. Each milestone would unlock tens of billions in stock awards and raise Musk's stake from about 15 percent to roughly 25 percent over a decade. Despite claims of zero payout on failure, Musk could still collect large sums, potentially $50 billion or about $26 billion by meeting a few easier targets and modest stock growth.
Read at The Verge
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