Tesla Chair Urges Shareholders to Approve Elon Musk's $1 Trillion Pay Package to Secure Company's Future

Tesla Board Chair Robyn Denholm has urged shareholders to approve a historic $1 trillion compensation package for CEO Elon Musk, warning that without it, Musk may resign and Tesla could lose significant value. The package, which requires shareholder approval at the November 6 meeting, is composed of 12 tranches of stock awards tied to ambitious milestones, including growing Tesla's market capitalization to $8.5 trillion and deploying millions of robotaxis and AI robots. Musk's stake in Tesla would increase from about 13% to up to 29%, bolstering his influence over the company's future, particularly its AI and robotics projects. Denholm framed the compensation plan as essential to retaining Musk's leadership and vision, which she credits for Tesla’s extraordinary growth, rather than a mere financial reward. However, the proposal has faced opposition from proxy advisory firms, activist groups, and some shareholders, who cite concerns over the package's size and Musk's political activities. Musk himself has emphasized that maintaining voting control to oversee long-term projects, such as building a 'robot army,' is more important than the monetary value of the package.