Elon Musk may not be the world’s richest person anymore, but that could change. Tesla’s board is asking shareholders to approve a massive $56 billion pay package for Musk despite a judge previously blocking it. They’ve even launched a website called “Support Tesla Value” to convince shareholders it’s a good idea.
Layoffs Hit EV Industry:
It’s not a good week for jobs in the electric vehicle industry. Tesla just laid off 10% of its workforce, and Rivian is also letting go of some employees.
Mexico Rethinks Chinese EV Incentives:
Mexico is re-evaluating its policy of giving incentives to Chinese electric vehicle makers. This could be a big blow to those companies hoping to expand into the Mexican market.
Tesla Wants Shareholders to Approve Musk’s Payday:
There is a giant $56 billion pay package for Elon Musk that a judge blocked earlier this year. Well, Tesla’s board isn’t giving up. They’ve launched a website called “Support Tesla Value” that basically worships Musk and his achievements. The site urges shareholders to vote for the pay package.
The Backstory: Why This is Happening Now
This all started back in 2018 when an investor challenged how Tesla disclosed the pay package. After years of legal wrangling, a judge said “no way” to the package earlier in 2024. Musk got pretty mad about that and even threatened to move Tesla out of Delaware.
Tesla’s Strategy: Same Pay Package, New Vote
Here’s the surprising part: Tesla isn’t changing the pay package at all! They’re basically asking shareholders to vote again using a different legal loophole. They’re also asking shareholders to vote on moving Tesla’s headquarters to Texas.
Tesla Board Shows United Front
The website even features a letter from Robyn Denholm, who became Tesla’s board chair after Musk got in trouble with the SEC in 2018. This is supposed to show that the board is on Musk’s side.
So, will shareholders give Musk his big payday? We’ll have to wait and see!
