Elon Musk’s $56bn Tesla pay package is too much, judge rules
(www.theguardian.com)
from L4s@lemmy.world to technology@lemmy.world on 01 Feb 2024 14:00
https://lemmy.world/post/11445243
from L4s@lemmy.world to technology@lemmy.world on 01 Feb 2024 14:00
https://lemmy.world/post/11445243
Elon Musk’s $56bn Tesla pay package is too much, judge rules::Judge ruled his pay – six times larger than the combined pay of the 200 highest-paid executives in 2021 – was set inappropriately
threaded - newest
This is the best summary I could come up with:
A Delaware judge on Tuesday ruled in favor of the investors who challenged billionaire Elon Musk’s $56bn Tesla pay package as excessive, a court filing showed.
Tesla shareholder Richard Tornetta filed the lawsuit five years ago, accusing the company’s chief executive of improperly dictating negotiations around the compensation package and claimed that the board acted without independence.
Tesla directors argued during a weeklong trial that the company was paying to ensure that one of the world’s most dynamic entrepreneurs continued to dedicate his attention to the electric-vehicle maker.
Tornetta’s lawyers argued the Tesla board never told shareholders that the goals were easier to achieve than the company was acknowledging and that internal projections showed Musk was quickly going to qualify for large portions of the pay package.
The plaintiff’s legal team also argued the board had a duty to offer a smaller pay package or look for another CEO and that they should have required Musk to work full-time at Tesla instead of allowing him to focus on other projects.
In July, Tesla’s directors agreed to return $735m to the company to settle shareholder allegations brought in a separate lawsuit filed in 2020 that they overpaid themselves.
The original article contains 684 words, the summary contains 197 words. Saved 71%. I’m a bot and I’m open source!
How else is he supposed to get more money than Bezos? Poor little tacker.
Don’t forget he likely wants to pay off his Twitter debt
Oh he’ll settle with the bank that ends up buying his sub prime debt. If you owe the bank 13 thousand it’s your problem. If you owe the bank 13 billion, it’s their problem.
Has this dude lost his mind?!
I like the way he thinks. That you can string any words together and just say them and pretend they’re true. Imagination and creativity is important, people.
I like the way Snrub thinks!
A town with money is like a mule with a spinning wheel
Well, that’s certainly a creative opinion on it.
Anyone have any idea what this means for his affairs, e.g. Twitter funding?
Most likely nothing to do with Twitter. He asked for 25% of shares of Tesla so he can, along with his other buddies, be in control of it. Purchase of Twitter and various other failures made him sell almost all the stocks he had. He’s currently sitting at around 13%. But it is possible there’s some payment coming for his Twitter loan and he’s shit out of luck but doesn’t want to sell more stocks. We’ll know for sure if he starts pumping stocks again. Their annual report was just the other day and it was not one of a successful company, no matter how many times he said he’s confident next year this next big thing he came up with on the spot.
So now he has to give half of it back?
He never got it in the first place. Musk only has around 13% of Tesla shares. Combined with few other key players, he’s just below 50%. He tried to blackmail the company to give him 50B$ or 25% of shares, claiming he just wants to be influential and not to be able to rule the company. But in reality that’s not true and the judge knew that. Good for her.
I just read 1 article and didn’t dig too much deeper
Over the last 4 years Tesla has laid off about 13,000 workers. If each had a $100K salary the cost to pay them all would be $1.3B.
So his one pay package could’ve paid all of those 13,000 people for years.
Its not like it was cash, it was stocks. Ultimately tesla fanboys paid his check.
Well if it was cash, it would also be Tesla fanboys paying his check if you think about it.
Yeah but you’re not thinking of the BIG picture here, the very realistic goal of terraforming Mars and leaving all those poor sods behind.