Tesla chief executive Elon Musk won a huge pay package worth up to $56bn (£43.9bn) after shareholders voted in favor of Musk at their annual meeting in Texas.
Tesla held the new vote in response to Delaware Judge Kathaleen McCormick, who described the pay package as “unfathomable” and sided with a small investor who had sued over the deal. Reuters reported.
The Space X founder also announced the move of Tesla's legal headquarters from Delaware to Texas.
Expressing his happiness, Musk told shareholders gathered in Texas for the meeting: “Damn, I love you guys. We have the most incredible shareholder base. I mean, it's just incredible.”
The huge salary amount has sparked severe criticism and concerns, as the board has been accused of being too submissive to Musk.
However, the vote is not binding and legal experts have said it is unclear whether a court that blocked the deal will accept the new vote and allow the company to reinstate the pay package.
According to Mathieu Shapiro, managing partner of the law firm Obermayer Rebmann Maxwell and Hippel, “the vote doesn't change anything.”
The package was originally approved by investors in 2018, but was struck down by a Delaware court in January 2024, prompting Tesla to launch a campaign to revive it.
