Elon Musk could step down as CEO of Tesla if his proposed $1 trillion pay package is not approved

[Augusta]

Elon Musk could step down as CEO of Tesla if his proposed $1 trillion pay package is not approved, according to a recent warning from Tesla Board Chair Robyn Denholm.

The urgent appeal was sent in a letter to shareholders of the electric car giant on Monday, October 27, ahead of the November 6 annual meeting where investors are scheduled to vote on the massive, unprecedented pay proposal.
The warning comes as two major proxy advisory firms, Glass Lewis and Institutional Shareholder Services, have strongly urged shareholders to vote against the proposed compensation.

Proxy advisers hold significant sway, particularly with large institutional and passive fund investors who own substantial stakes in Tesla.

 

[Kross]

He is the brain behind most of their innovations. But that pay demand? Is it not really too much? If Tesla can afford it, they should pay up.

 

[kit_hung]

Elon Musk is playing a tough card—if told no to that $1 trillion package, he could exit as Tesla CEO. The board chair has written a warning to shareholders ahead of the vote.

But proxy advisers have said the deal is too much, they want it rejected. If investors make the wrong decision, Tesla could face a serious shake-up. Stay tuned, the corporate game is hot. Hope is for the company's stability.