Tesla shareholders voted in favour of CEO Elon Musk’s $56 billion pay package on Friday, June 14, at the firm’s annual meeting in Texas.
According to BBC, the investors have backed the historically highest pay package of the chief executive for Musk and have also approved the plan to move the legal headquarters of the firm to Texas.
The tech giant would now get a payout of up to $56 billion (£43.9bn). The same amount depends on the Tesla share price. This deal is almost 300 times higher than what the top-earning US boss made last year.
Musk told the applauding crowd, “Hot damn, I love you guys... If I wasn't optimistic, this wouldn't exist, and this factory wouldn't exist. But I do deliver in the end. That's the important thing."
For the unversed, the Space X boss pay package was blocked earlier this year by a judge in Delaware, citing it as unfair to other shareholders.
Moreover, legal experts are unsure about whether the court will accept the re-vote and clear the blockade or not.
Mathieu Shapiro, a managing partner at law firm Obermayer Rebmann Maxwell & Hippel, said, “The vote changes nothing. It only offers Tesla opportunities to try to use the vote to obtain a better decision going forward.”
He further added, “It will be interesting to see if another court is willing to credit a vote taken after the trial court’s decision.”
