Musk's new compensation plan exposure

The Tesla board of directors proposed a new compensation plan on Friday, under which Elon Musk will receive a reward worth about $1 trillion if he achieves a series of challenging goals over the next ten years. According to the plan, Musk will not receive any salary or bonuses, and his compensation will be in the form of stocks that will vest in stages. Unlocking conditions include substantial increase in Tesla's market value, significant profit growth, sales of millions of cars, and other key milestones. Board chairman Robyn Denholm said in a letter to investors, "Retaining and motivating Musk is crucial for Tesla to become the most valuable company in history. This compensation plan aims to combine extraordinary long-term shareholder value with incentive measures to drive our visionary leader to achieve the best performance." The board emphasized that Musk's incentives are highly aligned with investor interests. If Tesla's growth stagnates, he will receive nothing. However, the size of such a huge compensation package is likely to reignite intense debates about the income level of the world's richest person.