Tesla chair thanks investors for approving Musk’s $878 billion pay package

Elon Musk arrives at the tenth Breakthrough Prize Ceremony on Saturday, April 13, 2024, at the Academy Museum of Motion Pictures in Los Angeles.

Tesla board chair Robyn Denholm thanked the electric-vehicle maker’s shareholders on Monday for approving CEO Elon Musk’s US$878 billion pay package.

The approval marks one of the largest compensation votes in corporate history and underscores investor willingness to bet on Musk’s leadership as Tesla pursues its next phase of growth.

On Thursday, with 1.94 billion votes, the proposal cleared with over 75 per cent support, reinforcing Musk’s strategy to transition Tesla into an AI and robotics company.

Shareholders backed the long-term plan despite opposition from proxy firms, signaling confidence in Tesla’s robotaxi and humanoid business ambitions.

Analysts said the win also quells concerns that Musk might shift his focus away from Tesla toward his other ventures.

The package is structured so Musk gains only from value created after the board’s approval date, ensuring the award rewards future growth.