Summary
Tesla is facing pressure regarding a proposed $1 trillion pay package for CEO Elon Musk. The advisory firm ISS suggested that investors vote against this large compensation plan. This proposal will be discussed at a Tesla shareholder meeting on November 6.
Key Facts
- Tesla proposed a $1 trillion pay package for CEO Elon Musk.
- The advisory firm ISS recommended that investors vote against Musk’s compensation plan.
- This is the second year ISS has advised against the pay plan for Musk.
- The compensation plan could still give Musk significant financial rewards due to the structure of the plan.
- Tesla's board aims to retain Musk because of his track record and leadership vision.
- Musk will have a say in the vote, owning about 13.5% of Tesla's voting power.
- Tesla's shares rose after the compensation plan was announced.
- ISS valued the stock-based award at $104 billion, while Tesla estimated it at $87.8 billion.
