Tesla paid Elon Musk Zero salary for the past 7 years, Musk responds: This despite ...
A Wall Street Journal (WSJ) report recently said that
received zero salary from
Tesla
. The tech billionaire has responded to the report in affirmative. Quoting an X post, Musk wrote 'Zero for seven years, despite increasing the value of the company >2000%'.
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WSJ report titled 'How Much Should the World's Richest Man Get Paid?' said that 'Elon Musk was the lowest-paid chief executive of an S&P 500 company last year. Tesla paid him $0.'
'It has been that way for several years amid a legal battle over a monster stock award in 2018,' it added.
Why Elon Musk and Tesla are fighting over his pay
Elon Musk and Tesla have been at loggerheads for several years over his pay package. It all started with a 2018 stock award. His compensation package then included 304 million stock options.
It was a performance-based deal, meaning Musk would receive stock options based on Tesla's stock price and performance meeting specific targets.
The CEO became eligible to exercise all the options in 2023 after meeting a series of aggressive valuation and financial performance goals set by the company.
However, in January 2024, Delaware judge Kathaleen McCormick cancelled the deal, saying the amount was too large and that Tesla's board members were too influenced by Musk.
She said they acted 'like supine servants of an overweening master.'
In early 2024 during the court ruling, these options were worth about $56 billion, later peaking at $146 billion in December and currently standing at around $98 billion based on Tesla's share price.
Tesla Board may have a plan to resolve the dispute
Earlier this year, a report by Financial Times said that Tesla's board has formed a special committee to review Musk's compensation. The existence of the special committee was disclosed in a SEC filing for the quarterly period ended March 31, 2025.
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It said:
'Additionally, the Company's Board of Directors has established a Special Committee to consider certain compensation matters involving Mr. Musk.'
The report quoted sources familiar with the matter, who said that the committee comprises board chair Robyn Denholm and director Kathleen Wilson-Thompson.
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