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Global Desk Today, Tesla (TSLA) shareholders met in Austin, Texas, to vote on CEO Elon Musk’s huge new pay package, which could be worth up to $1 trillion. Norway’s $1.9 trillion sovereign wealth fund, holding 1.2% of Tesla, will vote against Musk’s new pay package. They said, “While we appreciate the significant value created under Mr. Musk’s visionary role, we are concerned about the total size of the award, dilution, and lack of mitigation of key person risk”, as per Yahoo Finance. Musk’s pay package is the main highlight, but shareholders will also vote on directors and Tesla investments. Last month, Musk asked investors to approve the pay during an earnings call. He said he feared losing control over the company, “My fundamental concern ... if I go ahead and build this enormous robot army, can I just be ousted at some point in the future? That's my biggest concern.”Musk’s pay package and shareholder opinionsMusk owns 13% of Tesla after selling shares. He hasn’t been paid in years. His 2018 pay package is tied up in a lawsuit in Delaware, and the Delaware Supreme Court is now reviewing Tesla’s appeal. Musk’s new package would give him 12 large tranches of stock options if he meets aggressive goals set by the board. If approved, Musk could have about 25% of Tesla stock, giving him strong influence. James Mohs, associate professor at University of New Haven, said, “The stock options will vest over seven and a half years and will be granted upon Mr. Musk meeting aggressive ... milestones, which would increase shareholder value proportionality… Considering most of the compensation is incentive-based, the overall package seems fair”, as stated by Yahoo Finance.Brian Dunn from Cornell University said, “It's not to say that if he accomplishes this extraordinary increase in the value of the company that he shouldn't be rewarded, but we're talking about a package that is just way beyond anything that resembles reasonableness in terms of compensation.” Dunn added that a “reasonable board” would have limited the package because it gives Musk too much of the company.Live EventsChair Robyn Denholm said, "If we fail to foster an environment that motivates Elon to achieve great things through an equitable pay-for-performance plan, we run the risk that he gives up his executive position, and Tesla may lose his time, talent and vision...", as per Yahoo Finance Independent advisers Glass Lewis and ISS recommended voting against Musk’s package, calling it excessive, dilutive, and not approved by an impartial board.Board elections and other Tesla votesSome directors involved in creating the pay package are up for re-election: Ira Ehrenpreis, Kathleen Wilson-Thompson, and Joe Gebbia. Glass Lewis advises investors to approve Gebbia but not Ehrenpreis or Wilson-Thompson. Earlier this year, Tesla directors, including Denholm and James Murdoch, returned $919 million after a trial found their 2017–2020 pay excessive. Brian Dunn noted Tesla directors earned far more than usual corporate fees.ALSO READ:New York mayor election: Is the ballot correct as Zohran Mamdani listed twice? Elon Musk labels it a scamMusk is also running SpaceX, Neuralink, The Boring Company, and his AI startup xAI. This raised shareholder concerns about his attention. xAI, Musk’s AI startup, is partly funded by SpaceX. Its Grok chatbot is now in Tesla cars. Musk said a Tesla-xAI merger is not planned but investment could happen, "It's not up to me. If it was up to me, Tesla would have invested in xAI long ago. It would be great, but subject to board and shareholder approval."Tesla investors now vote on whether the company will invest in xAI. Glass Lewis advises against it, not because the investment is bad, but because it shouldn’t be a shareholder decision. Some see self-dealing risk, as Musk may shift focus to xAI if not given more control at Tesla. Today’s meeting will decide Musk’s pay, director elections, and Tesla’s possible investment in xAI. The results could shape Tesla’s future and Musk’s control over the company.FAQsQ1. What is Elon Musk’s $1 trillion pay package?It is a new Tesla CEO pay plan giving Musk stock options worth up to $1 trillion if he meets certain company goals.Q2. When will Tesla shareholders vote on Musk’s pay?Tesla shareholders voted today in Austin, Texas, on Musk’s pay, board elections, and a possible investment in his AI startup xAI.Add as a Reliable and Trusted News Source Add Now! 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