Musk's $29B pay package sparks Nasdaq probe request
Tesla's board recently approved a $29 billion equity award for CEO Elon Musk, contingent on the outcome of ongoing litigation and subject to vesting conditions.
Now, the SOC Investment Group is asking Nasdaq to investigate. They say this "2025 CEO Interim Award" skipped shareholder approval, which is required for big changes in executive pay.
In their letter, they pointed out most shareholders probably didn't expect to be signing off on such a massive package for Musk.
SOC Investment Group represents pension funds for over 2 million union members
SOC Investment Group represents pension funds for over two million union members—including plenty of Tesla shareholders.
Their main focus is holding companies accountable and making sure executive pay stays transparent and fair.
As they put it, "When shareholders voted on the 2019 Plan... it is likely...they did not believe they were voting on an equity plan that would cover compensation to Mr. Musk."
Musk's previous $56 billion pay deal from 2018 was thrown out
Musk's previous $56 billion pay deal from 2018 was thrown out by a Delaware court earlier this year because of board independence issues.
Now, with no performance targets tied to this new $29 billion award, questions are swirling again about how Tesla handles executive pay—and whether shareholders are really being heard.