Musk’s Tesla Pay Package and Texas Transition Gets Green Light - The Average Joe

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    Musk’s Tesla Pay Package and Texas Transition Gets Green Light

    Noah Weidner

    June 13, 2024

    Where there’s a will, Musk finds a way. On Thursday, Tesla ($TSLA) shareholders re-approved Musk’s $56B pay package — despite facing challenges from a Delaware judge who overturned the record pay package last month, alleging Musk had a disproportionate role in creating the comp package.

    • Retail investors helped hand Musk his package, outvoting influential proxy firms like Glass Lewis and institutional shareholders such as CalPERS, who opposed the “excessive” package.
    • Musk celebrated the approval on social media platform X, noting it passed by “wide margins,”which sent $TSLA soaring over 3%.

    Everything’s bigger in Texas: Elon scored two additional victories alongside his comp package. Shareholders also approved the company’s move to reincorporate in Texas, shifting from business-centric Delaware. This strategic move could help blunt future challenges to Musk’s pay package. Furthermore, retail investors retained boardroom allies like Kimbal Musk, cementing Musk’s continued influence over the firm. It’s safe to say, he (and retail investors) ran away with this one.

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