Elon Musk’s potential trillionaire status through a lucrative deal has sparked controversy, with critics calling it excessive. Shareholders of Tesla, the US electric car manufacturer, have greenlit a massive compensation plan for Musk, already the world’s wealthiest individual with an estimated fortune of £380 billion. The arrangement could grant him nearly $1 trillion (£760 billion) in Tesla shares over the next ten years, contingent on meeting ambitious targets such as a five-fold increase in the company’s market value, selling one million self-driving Robotaxis, and creating humanoid robots.
The idea of one individual, particularly the polarizing Musk, receiving such an astronomical sum has drawn immediate criticism. Andy Prendergast, National Secretary of the GMB union, condemned the trillion-pound deal as emblematic of societal issues, highlighting growing inequality and financial struggles faced by many workers. Matt Britzman, a senior equity analyst at Hargreaves Lansdown, labeled the proposed CEO pay package as outrageous, emphasizing the monumental challenges Tesla must overcome to unlock it.
If materialized, Musk’s payout would rival the GDP of Poland, a country with a population of 36 million. This follows Musk’s achievement of surpassing $500 billion in personal wealth, owning companies like SpaceX and X (formerly Twitter). The controversial figure’s actions have divided opinions, with critics questioning his disconnect from public sentiment.
Experts like Andrew Speke from the High Pay Centre see Musk’s potential trillion-dollar compensation as a troubling symbol of capitalism’s flaws, emphasizing the need for a fairer economic model. Despite Musk’s ventures into politics and personal life controversies, Tesla shareholders are hopeful that he will refocus on the company amidst challenges like stagnating sales and market competition.
If Musk attains trillionaire status, he would stand far above other billionaires, including Larry Ellison and Jeff Bezos. The approval of this monumental pay deal amidst Tesla’s challenges underscores the ongoing debate surrounding wealth distribution and corporate accountability.
