Take Back Tesla campaign urges shareholders to reject Musk $1 trillion pay plan

Core Viewpoint - A coalition of unions and corporate watchdogs is urging Tesla shareholders to vote against a proposed pay package for CEO Elon Musk, which could grant him nearly $1 trillion in stock and increase his control over the company [1][3]. Group 1: Pay Proposal Details - Tesla's board proposed the largest ever CEO pay plan in September, stating it is necessary to retain Musk for a decade [2]. - The pay plan is set for a shareholder vote at the upcoming annual meeting [2]. Group 2: Opposition to the Pay Package - The coalition describes the pay package as "outrageous," citing concerns that Musk's political activities have harmed Tesla's brand and distracted him from his leadership role [3]. - The plan does not mandate Musk to prioritize Tesla over his political and other business interests [3]. Group 3: Advocacy and Mobilization - The coalition encourages the public to petition state treasurers and financial officers to reject the pay plan [4]. - They plan to provide resources online to help investors vote their shares or influence fund managers [4]. Group 4: Shareholder Influence - Public pension funds are significant shareholders in Tesla, and asset managers have even larger holdings, emphasizing the need for accountability from Musk and the Tesla Board [5]. - The coalition includes various organizations such as Americans for Financial Reform and the Communication Workers of America [5]. Group 5: Proxy Firm Recommendations - Major proxy firms ISS and Glass Lewis have recommended against the $1 trillion pay plan, which follows a contentious debate over Musk's previous pay package of approximately $56 billion [6]. - Tesla responded to these recommendations by highlighting the significant increase in market capitalization since the introduction of the 2018 CEO Performance Award [7].