In November 2025, Tesla's shareholders are set to cast their votes on a 10 - year, $1 trillion compensation package. This package is specifically crafted to encourage CEO Elon Musk to accomplish the company's lofty objectives over the next ten years.
In an interview with The New York Times, Robyn Denholm, the chair of Tesla's board, came to the defense of this package. Once approved, it is on track to become the largest compensation deal in the annals of corporate history.
The compensation package encompasses 12 targets related to market capitalization and operational performance, with a cumulative value that could reach up to $1 trillion. Should Tesla's market value soar to $8.5 trillion, Musk stands to gain up to 12% of the company's shares. This would elevate his ownership stake in the company to at least 25%.
Denholm stressed that the primary purpose of this compensation package is to spur Musk on to achieve exceedingly ambitious goals and, in turn, generate substantial value for shareholders.