Shareholders, would you vote to reinstate Elon's pay package

[Jhodgesatmb]

No longer a shareholder, but if I was this would be a hard no.

Not an Elon fan boi, not a hater, but from a pragmatic standpoint he's not the right CEO for this phase of Tesla. A startup solving novel engineering problems, his skill set is very valuable. A company that needs to take care of millions of customers to a high level of satisfaction just doesn't jive with his thinking and priorities. We have a Y and it's the first and likely last Tesla we'll be buying, primarily due to after sales support issues, which Elon has completely failed to guide the company into improving. I think after sales support issues are playing into the plateauing sales numbers as well.

I'm fine with him staying on in a product dev or engineering consulting role. But he's not worth millions as a CEO of this company at this phase in it's life, let alone double digit billions.

Agreed that the optics of begging for billions while laying off the front line workers that actually get the sausage made is ... Stomach turning.

I had to read your comment a couple of times to realize that it is about your disgruntlement with Tesla service and not about Elon's past performance and compensation. You are welcome to leave the BEV community over your disgruntlement - that is expected of anyone (put your money where your mouth is, so to speak). That said, since you will not find a better BEV in the world, it means you are out. That is fine. Go back to ICE cars. I do not mind, and that is your prerogative. Just don't try to shroud/rationalize your real motivations in Elon's compensation package.

 

[Jhodgesatmb]

Aren't the lawyers from that case getting paid a crazy sum for winning? Can Tesla afford to still pay Elon the stock?

The nice guy in me says, he did the work so pay him.

The greedy capitalist in me says, he did the work and we don't have to pay him? Sweet!

But I lean toward pay

I would like to see all greedy capitalists castrated. Capitalists are fine and can keep their balls.

 

[Gurule92]

I would like to see all greedy capitalists castrated. Capitalists are fine and can keep their balls.

Have to keep that dark side in check for sure lol

 

[CarMan ElecTruck]

…chair…popcorn…3d glasses

 

[Kahpernicus]

yall should really look up the facts of the case

 

[CyberTW]

Yes and yes!! And I am in before the thread lock… and this thread is stupid btw

 

[heems]

yall should really look up the facts of the case

Amen. Kathleen rescinded the pay package not because the board is messed up. Rather because it allegedly did not advertise to the shareholders who voted 73% in favor that the board was not independent. Ie the communication was inadequate not the make up itself. That’s it. So now Tesla board can put the vote up again and ensure it advertises enough (in proxy statement) that for example there are 2 musks on the board. That’s it. Good try Kathleen. We will right the ship as I wrote before.

 

[HaulingAss]

I don't think shareholder votes in favor of Elon will be able to overturn a court order.

This shareholder vote, if passed, would not overturn a court order. It would merely confirm that shareholders weren't dangling a carrot in front of Elon to get him to work his fingers to the bone towards making Tesla successful, only to yank that carrot away once he succeeded.

The odd thing here is that different shareholders will be voting on this vs. the shareholders who originally approved it. It's one of the screwiest court rulings I've seen in the corporate world. How would you like it if a billionaire told you they would give you $10 million dollars if you cut off one pinky finger or toe every year for four years in a row, you agreed, performed on schedule, and then a judge ruled the offer was unfair, that $10 million dollars is too much for loss of two toes and two pinky fingers? And then remanded the billionaire to come up with more appropriate compensation.

This doesn't happen to other companies, it's just another attack to try to slow Tesla down by creating turmoil within the company and seed doubts in investors and potential new car buyers.

Shareholders knew EXACTLY what they were voting for and said "if Elon can make that happen, he's worth every share". The only reason the compensation had such a high dollar value was because Elon made the right decisions to turn a struggling EV maker into the automaker with the highest profit margins of any high volume manufacturer.

The ironic thing is, shareholders are not even required to vote on CEO compensation plans, the only reason the BoD had a shareholder vote was because the compensation plan had such outrageous goals, few thought they could be met, some even said Elon will end up getting paid zero!

Moving HQ to another jurisdiction because you don't like the court's decision will probably not work either.

Of course it will work. Once shareholders approve the move, Tesla will no longer be subject to corrupt Delaware courts, going forward.

With stock down about $100 year to date and the CEO asking for an unprecedented $55B payout, i have a hard time believing any investor could give that a yes vote. Especially institutional investors.

The vote will pass with a much smaller margin than the overwhelming majority it was originally approved with because some shareholders are greedy, especially those who missed out on the latest 15X increase in TSLA valuation, and if they think they can pay a man less than originally promised, for work already completed successfully, well, some people will vote to do exactly that. But it's distasteful in the extreme. For some people money is more important than honesty and keeping your promises.

No one is worth that much money and elon already owns a substantial stake in the company.

That's the same dumb sort of thinking that led to this disgraceful judge's ruling in the first place.

A pay package doesn't define a person's worth, it's simply an agreement between the two parties. In this case, shareholders and the Board of Directors agreed that if Elon could successfully carry out the outrageous goals laid out, that he would own a larger percentage of the company. Because everyone would be a winner. Now some woke judge has decided that he created too much value and shareholders didn't understand that Elon Musk's brother might be biased. Where was the complaining shareholder and the woke judge when the pay package was originally approved over 6 years ago? It would have looked ridiculous to complain about his compensation package in 2018 because the talking heads on CNBC were saying there is no way Elon could reach his most audacious goals, let alone the initial ones. People said he was going to end up working for free!

Yes, I will be voting to approve his pay package, not only because I believe Elon deserves it, but also because I am a man of my word. I don't dangle a carrot in front of someone and then jerk it away after I get them to do what I wanted.

 

[Bkent100]

I don't think shareholder votes in favor of Elon will be able to overturn a court order. Moving HQ to another jurisdiction because you don't like the court's decision will probably not work either.

With stock down about $100 year to date and the CEO asking for an unprecedented $55B payout, i have a hard time believing any investor could give that a yes vote. Especially institutional investors.

No one is worth that much money and elon already owns a substantial stake in the company.

Yes… anything to get his focus back on Tesla and making sound decisions. He needs to be quiet on political issues and do what is best for company!!!!!!

 

[HaulingAss]

Yes… anything to get his focus back on Tesla and making sound decisions. He needs to be quiet on political issues and do what is best for company!!!!!!

I support Elon's right to make his true self known to the millions of people his vision is helping. In America we have freedom of expression and tackiling the toughest jobs facing humanity shouldn't negatively impact that right.

Besides, while I don't agree with everything Elon says, I don't find any of it distasteful, even if I think he's not always right. Adults should be able to agree to disagree, Elon isn't a terrible person, and means no ill will towards anyone. He's just another human. The narrative that it's a problem because it impacts sales isn't supported by the fact that the best-selling car globally in 2023 was a Tesla.

If we are going to attribute sales to the CEO, then Elon should do MORE of what he's already doing!

 

[BannedByTMC]

Not an Elon fan boi, not a hater, but from a pragmatic standpoint he's not the right CEO for this phase of Tesla. A startup solving novel engineering problems, his skill set is very valuable. A company that needs to take care of millions of customers to a high level of satisfaction just doesn't jive with his thinking and priorities. We have a Y and it's the first and likely last Tesla we'll be buying, primarily due to after sales support issues, which Elon has completely failed to guide the company into improving. I think after sales support issues are playing into the plateauing sales numbers as well.

I'm fine with him staying on in a product dev or engineering consulting role. But he's not worth millions as a CEO of this company at this phase in it's life, let alone double digit billions.

Agreed that the optics of begging for billions while laying off the front line workers that actually get the sausage made is ... Stomach turning.

Agree with most of your thoughts here though I'm not sure how I'll vote, there are good arguments on both sides.

 

[BannedByTMC]

If we are going to attribute sales to the CEO, then Elon should do MORE of what he's already doing!

Q1 was ugly, if we attribute those sales to the CEO then he should do LESS of what he's already doing. If we attribute the stock price to the CEO it's even worse.

 

[EvilNuff]

As a shareholder I fall in the camp that its past time to replace Elon. By all accounts he is the push behind AI and FSD and that is, IMO, Teslas biggest weakness and will be the biggest problem this company faces going forward. Anything to cancel that idiocy.

 

[Kahpernicus]

https://www.reuters.com/business/au...lders-vote-musks-compensation-plan-2024-04-17

For more details

 

[tingmo13]

I hope the OP is in a neutral state of mind; I hope not he has less than 10 T$LA shares; I hope he understand the company's fundamental; I hope he knows Elon was not paid a cent in the last 6 years.