Elon Musk could be set to leave his role at Tesla if his $1 trillion paycheck isn’t approved by executives.
Musk has been the CEO of the EV manufacturing firm since 2008 but all that could change if Tesla decides not to go ahead with the mogul’s proposal.
This comes after the company’s Board Chair Robyn Denholm issued a warning via a letter to its shareholders, arguing that Musk’s leadership is ‘critical’ to the success of Tesla.
In the letter, it warned that without a proper plan to incentivize Musk, Tesla would be at risk of losing his ‘time, talent and vision’.
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Denholm wrote: “Without Elon, Tesla could lose significant value, as our company may no longer be valued for what we aim to become.”
She claimed that it is Musk’s leadership which sets the firm apart from being ‘just another car company’.
So, what’s in it for Musk if the proposal goes ahead? The package would enable the tech mogul to make up to $1 trillion in the next 10 years, as long as the company hits its targets.
The world’s richest man reportedly hit the roof during a recent earnings call over the proposal, stating that the advisory firms ‘have no freaking clue’, and going on to refer to them as ‘corporate terrorists’.
According to a report by WIRED, Musk said: “My fundamental concern with regard to how much voting control I have at Tesla is, if I go ahead and build this enormous robot army, can I just be ousted at some point in the future?
“If we build this robot army, do I have at least a strong influence over this robot army?”
He reportedly went on to say: “I just don't feel comfortable building a robot army here and then being ousted because of some asinine recommendations from ISS and Glass Lewis.”
The billionaire continued: “I just think that there needs to be enough voting control to give a strong influence, but not so much that I can't be fired if I go insane.”
It is not yet clear which way the executives will swing when it comes to Musk’s pay package.
The mogul has also not spoken on whether he will leave his post should the vote not go in his favor.
Shareholders have until November 5 to vote on the decision, so until then, Musk’s future at Tesla will hang in the balance.