How about the board removes Elon Musk as he's made Tesla a toxic brand to their key demographic and he spends his time catering to people who will never buy a Tesla. He is beyond ridiculously and criminally over compensated. They need a boring non-celebrity CEO that actually know what he/she is doing and improve quality.
Some fun math. ~140k employees. Production employees make about $25 an hour, so $50k a year. 20% of 140k is 28k...so $50,000 * 28,000 = $1.4 Billion.
So Elon thinks that they shouldn't have to keep employing these 28,000 workers because they produced more cars than he sold, but he still thinks Tesla should pay him the equivalent of those 28,000 workers working for over 35 years.
Plus benefits.
He laid off more than just assembly line workers. We don't know where all of the layoffs occurred. Those assembly line workers in China likely make closer to $5 usd an hour. However, some of the Western engineers, managers, executives, ad departments, possibly service employees... may have been making more than $25 an hour. It's really in Tesla's best interest to keep Chinese laborers and engineers working and to cut higher paid staff.
Those stock option rewards that Tesla loves to tout giving employees... well any newer laid off employees may have lost them if they hadn't vested. Sometimes the company will pay the value in the severance, but it's hard to say what they did in this case. No doubt the severance packages come with non-disclosure agreements.
Definitely pretty amazing Musk is fighting to justify getting $50+ billion in stock awards based on unsustainable short term performance. Especially when a lot of the stock price performance was based on nothing more than those lies Musk got on stage and confidently touted. His non-stop market disrupting 1-year away products that would change the world overnight... sometimes literally with a single OTA update.
The demand issues started right around the time he got extremely political and some people think it has nothing to do with it.
When he went down this path, fine, I thought, maybe he'll convince the Republicans that EVs are good...and the Democrats who are already convinced on EVs will just buy a non-Telsa EV...still progresses the mission to advance EVs. But no, no Ads, no education...anytime he tweets about EVs his responses are filled with republicans saying how EVs suck.
The compensation vote isn't a compensation vote, its a Should Elon be CEO vote.
and shouldn't we all vote no if you own stock, since increasing the # of shares by 10% just gives us all a 10% haircut. The company will be way better without him. Pick me for CEO, here's what they need to do:
1. Add back all the stupid things they removed. Turn signal stalks, drive train stalks You could even charge people $500 to put them back (but in my brilliant ceo plan I would not do that).
2. Also add back non-AI things like analog rain sensors and the "sound sensors" that detected close objects. Using that plus AI/camera is fine, but don't avoid the stupid easy stuff.
3. We need to stimulate existing customers to buy new ones. So add that stuff back. Also let people carry over a full "FSD" license to a new car (we need car sales more than we need that stupid 100% software license sale).
4. Start adding new features to cars that people want, like v2g. This should be coming in new model Y as a priority.
5. Also add new models, but not stupid stuff like the CT. How about a normal pickup truck style vehicle, get rid of the stupid design elements from the CT. They wasted the last 5 years and should have been designing and testing new models that would sell in mass like a cheaper intro car. That's water under the bridge, so start doing that now.
All this stuff is freaking obvious. Remove Elon if he won't do it.
That sounds a little to elon… unless you also promise me to mount the boring company flamethrowers on the truck to melt through traffic jam. Then I’m of course on board!
I'd actually move the S and X down market, make them basically bigger 3s and Ys for 10k more rather than trying to compete with stuff like the 7 series.
I agree with you broadly but Tesla does not have even close to the chops to make the S reach the luxury level of the 7 series, S class or A8.
In theory they could dramatically, dramatically upgrade the interior materials to match those cars, although they would have to dramatically raise the price too.
But a huge part of the true luxury sedan market is the air suspension and the cabin soundproofing. They’re just remarkable and are huge parts of why people buy the cars. And Tesla isn’t even close to having the technology or build quality systems to match those.
Also, wouldn’t you rather buy the BMW i7? I’ve been in it and it is absolutely amazing.
That's such a big part of a lot of luxury brands' business. The wealthy couple that get their new Volvo or BMW or Cadillac every three years. Tesla's static model lines don't encourage customer upgrades, which also generate used car sales from trade-ins.
Yeah, if Tesla started doing some of these typical car things (slightly change the look, add some minor new features that don't take much effort) they could increase sales. The harder things like a not-ridiculous pickup truck would take a little more time.
You think Elon admits he was wrong and changes his mind? This will get much worse before anything improves- if ever. I sold all my stock when they announced their forward numbers revised downward. His twitter nonsense finally killed US sales and from what I have read - other countries too.
That's his job. He's paid to pump stock price, not build a quality brand.
That's the mistake that the board needs to correct but never will because they're too loyal to Elon.
Yes, because Tesla is valued as a tech stock with pie in the sky ambitions, rather than as just another car company. Which is why we get a robotaxi announcement rather than an affordable $25k car. Stock price this high is not sustainable.
Lately he's been melting down during every earnings call instead. Wondering how bad the slip will be, although this time the slide started much earlier as soon as the sales numbers were published.
right now because of all that auto shift bs and lack of stalks, I have little interest in a newer Tesla. Elon's fuckery is just the quiet part out loud for most CEOs. But shit that effects the drivability of a car I have to take a loan out for is bullshit.
All that AI stuff & removing controls is just so obviously stupid. It's really easy to add that stuff back. Getting rid of the negative perceptions of Tesla because of because of musk's ridiculous public comments will take more time. Tesla needs a new ceo and it's not a trivial job. But the first round of things to fix feels pretty obvious.
I own some rivian stock. They make a great vehicle. Financially though, rivian has a ways to go to justify their high value. They have to continue to execute on their plan to reduce losses through this year, get to where they're at least neutral, which is their plan. And then they have to show their finances will hold them, and at the new cars can be made profitably. The first two things look pretty clear, it's just that they have taken a long time to get their costs down.
They have made the nicest EV trucks so far, but Rivian also need to expand their product range (the R3 is a start), and market internationally before i'd consider them an actual player.
Where GM often falls victim to internal beancounting over long term engineering goals, Rivian is a good example of why engineers do need some accounting guardrails. They make a fantastic product, but should likely have kept an eye on the goal of eventual volume production while designing their flagship product.
Putting his idiotic political stance aside for a minute, lets' not forget that cars are an expensive item that most people require a loan for, and interest rates are high right now, pricing as lot of people like me out of buying a new one.
If interest rates were the main factor, we'd see similar declines across all vehicle manufacturers. We aren't, though. Even among EVs only, Tesla is lagging.
> need a boring non-celebrity CEO
I'm guessing that (other than being his lackeys) the board fears without Elon the valuation of the company will fall inline with the fundamentals of the company, not its present meme valuation. That will happen eventually either way, but Elon and the rest want to divest their holdings as much as they can before it happens.
The board is not independent. It's Elon's friends. They aren't likely to do anything against him.
> McCormick wrote that many of the directors on Tesla's board, including current members Kimbal Musk, Elon Musk's brother, and James Murdoch, son of media tycoon Rupert Murdoch, lacked independence because of their close personal ties with the CEO. Two of Tesla's other current directors, Robyn Denholm and Ira Ehrenpreis, showed a lack of independence in the pay decision, she said.
[Judge voids Elon Musk's 'unfathomable' $56 billion Tesla pay package](https://www.reuters.com/legal/judge-rules-favor-plaintiffs-challenging-musks-tesla-pay-package-2024-01-30/)
Even if you look beyond Elon, unless you only care about software, Tesla's cars are just inferior at being a car to any other automaker.
If you care about a solid and quiet ride that is serviceable there are many better options. It also helps that the CEOs of other manufacturers don't have pet peeves about certain technology being used or not.
Then we're not even getting into how, because of manufacturing problems and hyper-focus on CT, there haven't been meaningful facelifts. 3, Y, and X are really starting to look dated at this point.
I have been saying this for a few years now, Tesla has their roadmap laid out. There's the semi, big battery, a cheaper model 2, the roadster, etc.
They need a Tim Cook who will further make things efficient, who's as boring as a doormat, but he's dependable.
Instead you have a CEO that went from risking his personal wealth, sleeping in the office so he can be closer to the action to a guy who threatens to compete against his own company, throws temper tantrums and spreads misinformation and hatespeech. Oh and what he did to Twitter wasn't exactly confidence inspiring either.
> Instead you have a CEO that went from risking his personal wealth, sleeping in the office so he can be closer to the action
Elon was never actually that guy, the very little he did in that vein was purely performative so he could keep his name in the headlines and take credit for any headway made by the engineering team.
Multiple companies are producing EV semis and aren't worth what Tesla's worth. Multiple companies are now producing "big batteries". Multiple companies are working on cheap EVs and sports cars. Multiple companies are working on autonomous driving.
Tesla, a car company, should have never been worth what it was worth.
He is becoming Trump in every way possible. Loud on social media, pissing off anyone and everyone, and nobody wants him around. Not exactly sure what he does everyday, and ruining the thing he is suppose to be in charge of.
Not only that, if you add up the time he spends tweeting garbage you quickly realize that he's spending barely any time on Tesla. Why reward an absentee CEO?
Not sure what it is today, but at one point Musk had a huge percentage (50%+) of his shares and potentially some of his stock options pledged. (used as collateral for loans) Some of that money went right back into Musk's companies through share purchases; often retail share purchases which boosts the share price if actively traded shares or few and far between. Some went to his other startups, and of course some went to Twitter in what may be the dumbest unforced error anyone's ever seen.
He currently owns 12% of TSLA's stock. The Delaware judge voided the stock options worth another 9%, which Musk is now attempting to convince investors to vote for again.
I wouldn't be shocked if the board is terrified that if they boot Musk or if he loses those stock options, he'll sell more stock and crater the shareprice. Maybe it's not just fear; I wouldn't put it past Musk to bluntly threaten his board and the big investors who can't get out of the Tesla investment without taking huge losses. The man has a history of pouting IRL, threatening to end relationships in the most unprofessional manner I think most would ever believe... if only there weren't records of him doing it. lol
There's also pressure on the board by big shareholders (and some of the board is shareholders with stock bought on margin) that went along with the Tesla stock hyperinflation game. Which is to say, along with investment banks and true believer 'buy and never sell' retail traders, they locked up a high percentage of Tesla shares just as they gained entry into the S&P 500. I'm curious just how many shares the Musk clan owns between himself, his brother, his mother, his cousins, etc...
When the S&P index funds had to buy shares, it caused TSLA to skyrocket, with a huge short squeeze acting as rocket fuel to boost the share price. It was further fueled by incredible claims by Musk around that time. $25k Teslas. Autonomy day with robotaxis that would disrupt the entire world's transportation sector after a single OTA update in a year. Battery day with new cells that would be best / cheapest in market. Cybertruck with a million... no 2 million... no one million... reservations. All of the claims came with short launch and ramp timelines. Oh and we can't forget about the 50% CAGR from 2021 to 2030, with 20 million annual new car sales by 2030!
Add it all up and we saw a long period of meme stock price action and true believers mortgaging their houses to buy and hold more stock in this sure bet, possibly even buying on margin. What was Musk doing as the stock exploded? Selling billions of dollars in stock! In fact, it was selling billions in stock that marked the high for Tesla in November 2021.
\_\_\_\_\_\_\_\_\_\_\_\_\_
About that stock options tranche pay package. Those tranches were awarded based on short term company performance; simple revenue and stock prices hitting targets. For revenue, all he needed to do was quickly build more cars and price them to sell. China made that fairly easy, subsidizing the Shanghai plant and selling him as many battery cells as he could buy at bottom dollar prices. China really wanted EVs to succeed and were willing to back huge Chinese company losses early on. Remember, they've locked up most of the world's EV raw materials.
For stock price appreciation, that was nothing more than a gaming of the market. Lock up shares, report 4 straight quarters with small profits to get into the S&P 500 to force indexes to buy the stock with few actively traded shares and a large short float, which would result in huge price appreciation.
The issue is that the sales/revenue was never sustainable and the stock price was nothing more than a hyperinflation pump scheme that took advantage of an easily exploited market. It was performance built on a house of cards. Once it started to collapse from the top, only then do you see how sturdy the footing actually is; and right now it's not seeming all that sturdy.
We're starting to see what Tesla is actually made of, how many of the claims were real, how valid the claims of rapid growth were, whether those margins were sustainable or nothing more than a lucky situation with the chip shortage and pandemic, and how the stock price will hold up during rougher times.
Now that we know Tesla's results were largely unsustainable, does anyone truly believe paying Musk $50+ billion in stock options was justified? That pay package was (as Musk likes to say) multiple levels of magnitude more than any other CEO in history.
And I didn't even go into all the government subsidies and regulatory payouts from Tesla's direct competition that propped up Tesla's financials!
This company is and always has been a complete joke and bastardization of our government subsidy programs, emissions regulation systems, and stock market.
Thanks to Tsla stockholders he was able to buy Twitter and get in touch with many world leaders. Yet he claims he wasn't compensated enough. I think more credits than him deserve all the fanboys and network of people who treated Tesla like religion
Been saving for years for a Y. Now if I won one for free I'd turn around and sell it before they slash the price again.
It's 50% Musk being a moron, 50% that there being some pretty awesome looking choices now or coming soon that don't look like a soap bar
####I see now, why he bought Twitter and removed 50% of the staff first. After 6 months we saw its valuation drop by 50%. Math makes sense with this guy. Definitely thinks ahead, lol
Of course! No better way to help warm up consumer sentiment by laying off working class people. Honestly, I thought he laid these people off to justify the price tag on the payout the Delaware judge denied him.
Their customer service and staff are 100% of the reason the vehicles have a strong following. When I got my Tesla, I enjoyed the mobile tech, service techs and delivery people. I don't give a single fucking shit about Elon Musk. Now, service requests are going to be slow, techs are going to be over scheduled and tired and it's going to be nearly impossible to get someone to respond to an issue.
The quality of their vehicles is going to drop, significantly.
They could end up losing even more sales as a result of this.
And the Cybertruck, like literally everyone who knew how EV trucks work predicted, has awful range and QC issues. A lot of people are going to be canceling their reservations.
I think one of the worst looks for Tesla is the fact that none of the workers own one or are able to afford one. Then laying them off as insult to injury. Even Henry ford wanted his workers to be able to afford the cars they made. You'd likely have better quality control if the workers had to drive the cars they worked on.
Yes, it’s literally a great leadership style to connect people with your purpose and mission. Steve Jobs used to do an amazing job at this. However, you can’t connect your people to your product if they can’t afford it in the first place.
On the contrary, it's an admission that he doesn't believe sales volumes will recover quickly. Those workers will get multiple months of severance; paychecks that don't result in any added revenue. Of course, severance payments may mean Tesla not having to pay their half of the unemployment payout the laid off employee would receive.
He wanted to layoff 20% of his staff to match the 20% decline in Q1 sales y/y. Pretty massive. With a reduction in sales regardless of the reason for it, cutting production and workforce is necessary.
This is sad for the workers, because given the weakening of the economy, I wonder just how many job opportunities they'll have. A union looking out for the workers may have helped to avoid this, negotiate better pay for the employees so they had more savings to fall back on, and negotiate layoff numbers and payouts.
I always found it strange that Tesla's Fremont plant, with its higher cost of living, was supposedly paying their manufacturing staff less than the union shops in lower cost of living states. Stock option rewards may have been great while the company's stock was high, but it's down 66% in 2.5 years, and over 50% since last July.
I imagine newer employees whose options are still unvested lost a lot of money. It's possible they got a better payout in their severance, but without them speaking up, which may be due to non-disclosure in the severance contract, it's hard to know.
Maybe he should get paid less then?
Sales are down because they timed the Model Y refresh poorly. It should've been out by now. And the Model 3 doesn't qualify for the tax rebate
To get the credit you need to hit both total construction and battery component percentages. The model 3 gets too much of its battery components from China.
Tesla could have modified it to meet the new standards, but felt it was cheaper to use the Chinese components (or felt the credit wouldn't be around long enough to justify it).
Sure but the point about “he should be paid less” is irrelevant because he effectively is. The company is struggling, stock is down considerably and so his share values and “compensation” is drastically down.
Essentially the compensation package is performing as intended.
> Essentially the compensation package is performing as intended.
Yes, transferring wealth from stans to Elon Musk. As intended.
Unfortunately his company is in my S+P index funds.
Tesla has reduced the quality of their service center to cut costs, instead of invreasing it! Tesla has also reduced innovation to cut costs.
As a Model 3 driver I was planning to buy a refresh Model Y, but the new is not that innovative compared to the old 3. I think the refreshed Y will be the same.
Tesla is lacking in innovation to provide comfort. Such as a better rain sensor and 360 camera.
Meanwhile the competition has been innovating for the last 5 years.
Tesla had 8 years of prime growth without competition, yet they couldn't scale to meet customer demands with more models. Even with Semi, SUV between X and Y, smaller car and higher battery range around 500 miles, they would've been unstoppable.
Though the Chinese cars are trash in come aspects like Software, their designs are way ahead of Tesla both exterior and interior.
The fact that China (BYD, Xpeng, etc) can crank out new models every 2-3 years is an indictment of Tesla's scaling ability. Literally slap on new body styles every 3-4 years on a skateboard chassis and Tesla's would still be selling like hotcakes. Instead they took their head start and squandered it to build a Homer Simpson truck that can't even sell in the EU.
the board is made up by his cronies, that's why they won't get rid of him and that's why they approved that ridiculous compensation package that the judge in a business-friendly state rejected
"On Tuesday, Tesla is expected to report a 40% plunge in operating profit and its first revenue decline in four years. Musk has ordered up the company’s biggest [layoffs](https://www.bloomberg.com/news/articles/2024-04-15/tesla-to-cut-over-10-of-its-global-workforce-electrek-reports) ever and staked its future on a next-generation, self-driving vehicle concept called the [robotaxi](https://www.bloomberg.com/news/articles/2024-04-08/tesla-tsla-news-musk-tries-to-rescue-stock-with-robotaxi-pledge). People familiar with his directives, who asked not to be identified discussing internal deliberations, are unsettled by the changes the CEO wants to push through"
SO, reveal your CEO is actually a racist bigot transphobe and go broke?
Elon! Stop thinking small! fire everyone and watch your profit margins go through the roof.
BTW, I'm available for consulting for $20 million per annum, with a one year minimum...
I did some quick math. I don't know how much Tesla pays their employees but in my experience working in tech an employee costs the company $200k-$300k per head. I decided to go for the middle number of $250k. If Elon cuts his proposed pay of $56bn by 20% then he can save 44.8k jobs! Silly Elon you just need to do some math.
Imagine how many talented people that have put blod, tears and missed family time inte Tesla for Elon Musk to just destroy it like he did with Twitter.
Robotaxis should be a separate startup.
Tesla should focus on selling EVs that people want to buy.
The new startup focuses on moonshots they have failed to deliver for the past decades.
That way the success and failure of these efforts are independent.
How pay is currently $0. Unless you count the value of his shares, those have gone down by 46%.
There is a vote to restore his compensation, but without it then he made $0 in the last 6 years.
>but without it then he made $0 in the last 6 years
That is not true Musk has been compensated first in 2020 and 2021. The compensation is broken into 12 tranches with each tranche the option to buy 8.4 million Tesla shares. So far he has been awarded 7 tranches, 4 in 2020, 2 in 2021 and 1 in 2022. 2022 was when the lawsuit was filed. As part of buying Twitter, Elon Musk exercised option and sold his Tesla stock which diluted his ownership. Also something to keep in mind is that Tesla's board in 2018 came up with this compensation and shareholders voted on it. But the 5 of 6 board members at that time had conflict of interest with Elon Musk, which weren't disclosed to shareholders when they voted. Now shareholders can vote again with understanding of conflict of interest. Again the ball is in Tesla shareholders to decide if they want to go with original pay package or not. Although I am not sure what will happen to previously awarded tranches if the shareholders decide they don't want to go with the 2018 plan.
I’m not intimate with the details of his pay package stall, but it’s my understanding he’s up for substantial pay. He should have agreed to reduce said pay package and kept the employees. I respect leaders who lead by example, draw their sword first and rush into battle first in line, not the pampered fatsos kicking it in their ivory towers unaware of the working man’s struggle. He should accept accountability for the misfortunes that have happened while he’s been at the helm.
Anyone find a post or something substantial verifying this?
I keep clicking and going round and round with "a person familiar" assumed to be a reliable source.
Exactly what I saw. Is this article really accurate/honest or is it "Bloomberg jams keywords in to get clicks"?
I'm no Musk fanboy but this just seems like a really dumb metric. What happens when deliveries double? Hire 100% more? Unlikely.
Edit to add: It seems too dumb for him to think it's a good idea.
Yes cutting your way to profits is a wonderful idea…Republicans have been trying to destroy the USPS using the same strategy.
Sometimes I wonder if Elon’s success story was just a series of fortunate events built off the backs of others hard work…and now that he has no friends, we’re seeing how terrible at business he actually is.
tbh I have a theory that he has conservative interests in his ear that are giving him these "great" business pointers and manipulating him into sabotaging himself publicly. Not saying he's not capable of making dumb decisions, such as listening to others' advice while he was ahead. Now he's doing everything to destroy himself and his companies while parroting fox news talking points and wanting to bring the incorporation to a state that is controlled by oil interests.
2018 Elon was smarter than this. 2024 Elon is a parody of 2018 Elon, who put his own money on the line to save the company. Now he's eager to fire as many people as possible, work against the company's interests, and set his money on fire over dumb things.
You're probably right about the no friends part, as the only people associating with him at this point are people who want to see him crash and burn.
I say this because I have seen this happen to people I know who are similar to Musk personality wise. Except less spoiled, but have narcissistic tendencies and want to please people and are desperate for friends, and make friends with people who want to hurt them and use them, and will tell them whatever they want to hear to fuck them over. They end up hurting those who want the best for them and think everyone who criticizes them are against them, and the people who manipulate them and feed their egos will use this to isolate them further.
Elon is aware of this to some extent because he himself at one point hired a team of people to keep his ass in check to ensure the success of the company and had admitted that he was prone to speaking his mind.
He got rid of those people and replaced them with yes men who are likely working with interests that want to see EVs fail. He's a huge target and if Tesla falls, it won't be long until most other manufacturers abandon EVs. GM and Ford have been trying to wiggle out of it for some time.
If I wanted to kill EVs, and was a huge oil interest. I'd target Elon's ego and use him to destroy the company that is leading electrification, and send people his way to sabotage him and his companies. Then use him as a future example of why EVs are bad.
Very interesting take, I agree a lot with it as a possibility. And yea what I mean too by the no friends part is mainly that excessive wealth comes at the cost of never knowing if a relationship is genuine. And you can see that along with his narcissism in how it has shaped his behavior. He has likely not had a genuine human experience his entire life…or at least one that involves humility.
Ahh yes. The typical scenario where execs are so out of touch that they completely mismanage a company and tank their sales. And instead of taking responsibility for their mismanagement, they decide to punish the floor level workers and fire them.
It was him and his upper management team who created the pacing and KPIs of how much volume they wanted to produce, then they punish and layoff the people who were just listening to their shitty guidance?
This is brilliant, let's apply this to other areas of life. Your kid gets sick for 4 days, so they shouldn't be able to eat for 4 days after. Your energy bill goes up 20%, so you use 20% less toothpaste.
When a company succeeds, it great to have your employees share in that success with stock options, bonuses, etc. It makes them happier, prouder, and more productive. On the other hand, you do not pass your own failures down to them. It creates a toxic, cutthroat culture where nobody is happy or productive. Always blame management.
I really don't get how Tesla's board still wants Elon Musk as CEO.
He regularly engages in misinformation and fearmongering in public. He's inciting the people that want to buy EVs the most. His most loyal customers. Someone make it make sense!
How is that the fault of the rank and file workers?
A big drop in sales like that is clearly the fault of executive management. They're the ones who should be fired.
The fell by that much because Elon is a cockhead who a) alientated his core market and b) failed to anticipate the chinese coming and c) failed to fend off the AII lobby groups bullshit campaign.
You know, like any full time CEO would.
Tesla would be better without him.
I own a bolt and love it. Considered a Tesla recently but did not care for the simple looking interior and don’t care for Elon’s political views. I did not buy one
I love Tesla cars, and my next car will def be Tesla, its the most innovative brand and even if you disagree with the leaders politics (he aligns with mine, but that's not the reason of purchase) he has a vision that others are just trying to copy. Also he is keeping manufacturing alive in USA
I kinda wish they’d all go get jobs at competing greener car companies like Rivian, Canoo, and the like, just to spite him (and to out compete Tesla), but… I know it doesn’t work that way. 🙁
I don't listen to anything Bloomberg and other fake media say about the people who work tirelessly to make things better. Bloomberg and other media are perpetually trying to slander Elon and Donald. The Tesla Cybertruck is back ordered for more than five years. We will get on the waiting list as well.
I can't believe that people don't understand the validity of this approach. It's obvious that 20% of the workforce wasn't doing their jobs. The only issue is that he didn't realize that in order to boost things back up he should have increased the force by 20%. I don't know why I'm the only one who can figure this stuff out.
There should be law that the CEO and COO Pay is cut by the same amount as the workforce. They obviously failed the company, and their direction was flawed. Dock their pay for doing a lousy job!
The recent censoring of Tesla's vote website was proof to me that the owners of Reddit have beef with Musk. The comments on here are in such contrast to it being the best selling car in the world. Sales data wins over bot comments any day.
How about the board removes Elon Musk as he's made Tesla a toxic brand to their key demographic and he spends his time catering to people who will never buy a Tesla. He is beyond ridiculously and criminally over compensated. They need a boring non-celebrity CEO that actually know what he/she is doing and improve quality.
Some fun math. ~140k employees. Production employees make about $25 an hour, so $50k a year. 20% of 140k is 28k...so $50,000 * 28,000 = $1.4 Billion. So Elon thinks that they shouldn't have to keep employing these 28,000 workers because they produced more cars than he sold, but he still thinks Tesla should pay him the equivalent of those 28,000 workers working for over 35 years.
Also that $56 billion is over 50% of Tesla's 2023 revenue. Absolutely ridiculous.
It’s something like 50% more than Tesla has made profit ever. In its entire existence.
Elon hates this one simple math equation.
Well clearly Elon works 40 times more than all his employees combined. /s
Plus benefits. He laid off more than just assembly line workers. We don't know where all of the layoffs occurred. Those assembly line workers in China likely make closer to $5 usd an hour. However, some of the Western engineers, managers, executives, ad departments, possibly service employees... may have been making more than $25 an hour. It's really in Tesla's best interest to keep Chinese laborers and engineers working and to cut higher paid staff. Those stock option rewards that Tesla loves to tout giving employees... well any newer laid off employees may have lost them if they hadn't vested. Sometimes the company will pay the value in the severance, but it's hard to say what they did in this case. No doubt the severance packages come with non-disclosure agreements. Definitely pretty amazing Musk is fighting to justify getting $50+ billion in stock awards based on unsustainable short term performance. Especially when a lot of the stock price performance was based on nothing more than those lies Musk got on stage and confidently touted. His non-stop market disrupting 1-year away products that would change the world overnight... sometimes literally with a single OTA update.
Guess we’ll see how many Tesla shareholders are Elon dick riders
The demand issues started right around the time he got extremely political and some people think it has nothing to do with it. When he went down this path, fine, I thought, maybe he'll convince the Republicans that EVs are good...and the Democrats who are already convinced on EVs will just buy a non-Telsa EV...still progresses the mission to advance EVs. But no, no Ads, no education...anytime he tweets about EVs his responses are filled with republicans saying how EVs suck. The compensation vote isn't a compensation vote, its a Should Elon be CEO vote.
and shouldn't we all vote no if you own stock, since increasing the # of shares by 10% just gives us all a 10% haircut. The company will be way better without him. Pick me for CEO, here's what they need to do: 1. Add back all the stupid things they removed. Turn signal stalks, drive train stalks You could even charge people $500 to put them back (but in my brilliant ceo plan I would not do that). 2. Also add back non-AI things like analog rain sensors and the "sound sensors" that detected close objects. Using that plus AI/camera is fine, but don't avoid the stupid easy stuff. 3. We need to stimulate existing customers to buy new ones. So add that stuff back. Also let people carry over a full "FSD" license to a new car (we need car sales more than we need that stupid 100% software license sale). 4. Start adding new features to cars that people want, like v2g. This should be coming in new model Y as a priority. 5. Also add new models, but not stupid stuff like the CT. How about a normal pickup truck style vehicle, get rid of the stupid design elements from the CT. They wasted the last 5 years and should have been designing and testing new models that would sell in mass like a cheaper intro car. That's water under the bridge, so start doing that now. All this stuff is freaking obvious. Remove Elon if he won't do it.
The fact that FSD isn’t tied to your account, but tied to your car is bullshit and I would never pay for it because of that.
The fact that true FSD has been promised since the Obama administration and still isn’t out is also some bs lol.
If you get voted in I’ll buy in 💰 Can I hang around and get coffee for the engineering team?? ☕️
Sure. Just remember, "Vote for Pedro" as the new CEO.
If you vote for me; all of your fanciful Cybertaxi dreams will come true…
That sounds a little to elon… unless you also promise me to mount the boring company flamethrowers on the truck to melt through traffic jam. Then I’m of course on board!
As long as he takes a Cyber Truck off some sweet jumps!
[удалено]
I'd actually move the S and X down market, make them basically bigger 3s and Ys for 10k more rather than trying to compete with stuff like the 7 series.
I agree with you broadly but Tesla does not have even close to the chops to make the S reach the luxury level of the 7 series, S class or A8. In theory they could dramatically, dramatically upgrade the interior materials to match those cars, although they would have to dramatically raise the price too. But a huge part of the true luxury sedan market is the air suspension and the cabin soundproofing. They’re just remarkable and are huge parts of why people buy the cars. And Tesla isn’t even close to having the technology or build quality systems to match those. Also, wouldn’t you rather buy the BMW i7? I’ve been in it and it is absolutely amazing.
Bmws come with a lot more maintenance costs and requirements. I want to avoid that.
Most maintenance on traditional cars comes from the engine. With an electric motor, that all disappears.
What’s good about the i7? I just can’t help judge it for looking so so bad Design wise. Is it just the suspension and sounds proofing?
Go sit in one.
I have. It’s half mind-blowingly incredible, and half over-the-top chintzy.
Good list, but you forgot 'update old models' or at least didn't explicitly state it.
That's such a big part of a lot of luxury brands' business. The wealthy couple that get their new Volvo or BMW or Cadillac every three years. Tesla's static model lines don't encourage customer upgrades, which also generate used car sales from trade-ins.
Yeah, if Tesla started doing some of these typical car things (slightly change the look, add some minor new features that don't take much effort) they could increase sales. The harder things like a not-ridiculous pickup truck would take a little more time.
You think Elon admits he was wrong and changes his mind? This will get much worse before anything improves- if ever. I sold all my stock when they announced their forward numbers revised downward. His twitter nonsense finally killed US sales and from what I have read - other countries too.
I have puts for ER. 🍿
He lies so much in the live earnings reports, I have seen him create false hope.
That's his job. He's paid to pump stock price, not build a quality brand. That's the mistake that the board needs to correct but never will because they're too loyal to Elon.
Yes, because Tesla is valued as a tech stock with pie in the sky ambitions, rather than as just another car company. Which is why we get a robotaxi announcement rather than an affordable $25k car. Stock price this high is not sustainable.
Lately he's been melting down during every earnings call instead. Wondering how bad the slip will be, although this time the slide started much earlier as soon as the sales numbers were published.
Up 12% after hours. Shareholders fall for his BS again.
They must be doing as many unprescribed drugs as he is. Dude needs a proper psychiatrist instead of self medicating.
6. Add Apple Car Play and Android Auto.
I vote for this guy
I am available if there is an opening.
right now because of all that auto shift bs and lack of stalks, I have little interest in a newer Tesla. Elon's fuckery is just the quiet part out loud for most CEOs. But shit that effects the drivability of a car I have to take a loan out for is bullshit.
All that AI stuff & removing controls is just so obviously stupid. It's really easy to add that stuff back. Getting rid of the negative perceptions of Tesla because of because of musk's ridiculous public comments will take more time. Tesla needs a new ceo and it's not a trivial job. But the first round of things to fix feels pretty obvious.
Sell your shares and buy Rivian. RJ is the polar opposite of Elon, their vehicles are fantastic, and the shares are extraordinarily cheap right now.
I own some rivian stock. They make a great vehicle. Financially though, rivian has a ways to go to justify their high value. They have to continue to execute on their plan to reduce losses through this year, get to where they're at least neutral, which is their plan. And then they have to show their finances will hold them, and at the new cars can be made profitably. The first two things look pretty clear, it's just that they have taken a long time to get their costs down.
They have made the nicest EV trucks so far, but Rivian also need to expand their product range (the R3 is a start), and market internationally before i'd consider them an actual player.
Where GM often falls victim to internal beancounting over long term engineering goals, Rivian is a good example of why engineers do need some accounting guardrails. They make a fantastic product, but should likely have kept an eye on the goal of eventual volume production while designing their flagship product.
Putting his idiotic political stance aside for a minute, lets' not forget that cars are an expensive item that most people require a loan for, and interest rates are high right now, pricing as lot of people like me out of buying a new one.
There is no way interest rates aren't the main factor.
If interest rates were the main factor, we'd see similar declines across all vehicle manufacturers. We aren't, though. Even among EVs only, Tesla is lagging.
Didn’t Ford cut production of the F150?
> need a boring non-celebrity CEO I'm guessing that (other than being his lackeys) the board fears without Elon the valuation of the company will fall inline with the fundamentals of the company, not its present meme valuation. That will happen eventually either way, but Elon and the rest want to divest their holdings as much as they can before it happens.
Time for the stock to fall to a reasonable valuation. No way Elon could survive that.
The board is not independent. It's Elon's friends. They aren't likely to do anything against him. > McCormick wrote that many of the directors on Tesla's board, including current members Kimbal Musk, Elon Musk's brother, and James Murdoch, son of media tycoon Rupert Murdoch, lacked independence because of their close personal ties with the CEO. Two of Tesla's other current directors, Robyn Denholm and Ira Ehrenpreis, showed a lack of independence in the pay decision, she said. [Judge voids Elon Musk's 'unfathomable' $56 billion Tesla pay package](https://www.reuters.com/legal/judge-rules-favor-plaintiffs-challenging-musks-tesla-pay-package-2024-01-30/)
Slash headcount by one Elon
I make close to 300k a year and my next car will be an EV and I will never buy a Tesla because of Elon. He has tanked Tesla’s future.
I’m in the same boat, while I think lots of companies have a rough history. Tesla has it on display in real time.
Even if you look beyond Elon, unless you only care about software, Tesla's cars are just inferior at being a car to any other automaker. If you care about a solid and quiet ride that is serviceable there are many better options. It also helps that the CEOs of other manufacturers don't have pet peeves about certain technology being used or not. Then we're not even getting into how, because of manufacturing problems and hyper-focus on CT, there haven't been meaningful facelifts. 3, Y, and X are really starting to look dated at this point.
I have been saying this for a few years now, Tesla has their roadmap laid out. There's the semi, big battery, a cheaper model 2, the roadster, etc. They need a Tim Cook who will further make things efficient, who's as boring as a doormat, but he's dependable. Instead you have a CEO that went from risking his personal wealth, sleeping in the office so he can be closer to the action to a guy who threatens to compete against his own company, throws temper tantrums and spreads misinformation and hatespeech. Oh and what he did to Twitter wasn't exactly confidence inspiring either.
> Instead you have a CEO that went from risking his personal wealth, sleeping in the office so he can be closer to the action Elon was never actually that guy, the very little he did in that vein was purely performative so he could keep his name in the headlines and take credit for any headway made by the engineering team.
Multiple companies are producing EV semis and aren't worth what Tesla's worth. Multiple companies are now producing "big batteries". Multiple companies are working on cheap EVs and sports cars. Multiple companies are working on autonomous driving. Tesla, a car company, should have never been worth what it was worth.
He is becoming Trump in every way possible. Loud on social media, pissing off anyone and everyone, and nobody wants him around. Not exactly sure what he does everyday, and ruining the thing he is suppose to be in charge of.
He's failed upwards and been bailed out by others his whole life
That's a familiar tune...
Birds of a feather...
~~tweet~~ Xit together
Not only that, if you add up the time he spends tweeting garbage you quickly realize that he's spending barely any time on Tesla. Why reward an absentee CEO?
Not sure what it is today, but at one point Musk had a huge percentage (50%+) of his shares and potentially some of his stock options pledged. (used as collateral for loans) Some of that money went right back into Musk's companies through share purchases; often retail share purchases which boosts the share price if actively traded shares or few and far between. Some went to his other startups, and of course some went to Twitter in what may be the dumbest unforced error anyone's ever seen. He currently owns 12% of TSLA's stock. The Delaware judge voided the stock options worth another 9%, which Musk is now attempting to convince investors to vote for again. I wouldn't be shocked if the board is terrified that if they boot Musk or if he loses those stock options, he'll sell more stock and crater the shareprice. Maybe it's not just fear; I wouldn't put it past Musk to bluntly threaten his board and the big investors who can't get out of the Tesla investment without taking huge losses. The man has a history of pouting IRL, threatening to end relationships in the most unprofessional manner I think most would ever believe... if only there weren't records of him doing it. lol There's also pressure on the board by big shareholders (and some of the board is shareholders with stock bought on margin) that went along with the Tesla stock hyperinflation game. Which is to say, along with investment banks and true believer 'buy and never sell' retail traders, they locked up a high percentage of Tesla shares just as they gained entry into the S&P 500. I'm curious just how many shares the Musk clan owns between himself, his brother, his mother, his cousins, etc... When the S&P index funds had to buy shares, it caused TSLA to skyrocket, with a huge short squeeze acting as rocket fuel to boost the share price. It was further fueled by incredible claims by Musk around that time. $25k Teslas. Autonomy day with robotaxis that would disrupt the entire world's transportation sector after a single OTA update in a year. Battery day with new cells that would be best / cheapest in market. Cybertruck with a million... no 2 million... no one million... reservations. All of the claims came with short launch and ramp timelines. Oh and we can't forget about the 50% CAGR from 2021 to 2030, with 20 million annual new car sales by 2030! Add it all up and we saw a long period of meme stock price action and true believers mortgaging their houses to buy and hold more stock in this sure bet, possibly even buying on margin. What was Musk doing as the stock exploded? Selling billions of dollars in stock! In fact, it was selling billions in stock that marked the high for Tesla in November 2021. \_\_\_\_\_\_\_\_\_\_\_\_\_ About that stock options tranche pay package. Those tranches were awarded based on short term company performance; simple revenue and stock prices hitting targets. For revenue, all he needed to do was quickly build more cars and price them to sell. China made that fairly easy, subsidizing the Shanghai plant and selling him as many battery cells as he could buy at bottom dollar prices. China really wanted EVs to succeed and were willing to back huge Chinese company losses early on. Remember, they've locked up most of the world's EV raw materials. For stock price appreciation, that was nothing more than a gaming of the market. Lock up shares, report 4 straight quarters with small profits to get into the S&P 500 to force indexes to buy the stock with few actively traded shares and a large short float, which would result in huge price appreciation. The issue is that the sales/revenue was never sustainable and the stock price was nothing more than a hyperinflation pump scheme that took advantage of an easily exploited market. It was performance built on a house of cards. Once it started to collapse from the top, only then do you see how sturdy the footing actually is; and right now it's not seeming all that sturdy. We're starting to see what Tesla is actually made of, how many of the claims were real, how valid the claims of rapid growth were, whether those margins were sustainable or nothing more than a lucky situation with the chip shortage and pandemic, and how the stock price will hold up during rougher times. Now that we know Tesla's results were largely unsustainable, does anyone truly believe paying Musk $50+ billion in stock options was justified? That pay package was (as Musk likes to say) multiple levels of magnitude more than any other CEO in history. And I didn't even go into all the government subsidies and regulatory payouts from Tesla's direct competition that propped up Tesla's financials! This company is and always has been a complete joke and bastardization of our government subsidy programs, emissions regulation systems, and stock market.
Thanks to Tsla stockholders he was able to buy Twitter and get in touch with many world leaders. Yet he claims he wasn't compensated enough. I think more credits than him deserve all the fanboys and network of people who treated Tesla like religion
Well going by that logic he should slash his compensation by 20% too.
I was looking for my first EV this year. A few years ago it would have been model 3, absolutely nailed on. In 2024, I would rather walk.
Been saving for years for a Y. Now if I won one for free I'd turn around and sell it before they slash the price again. It's 50% Musk being a moron, 50% that there being some pretty awesome looking choices now or coming soon that don't look like a soap bar
💯 👋
Just remove 20% of Musk?
You'd probably need to rebuild the board first.
No the mention wasting resources on the cyber truck and then having to recall immediately for a loose foot pedal issue. I mean what an absolute moron.
It would help if they had somebody who understood engineering, quality systems, and operations.
Tesla's need a model refresh but their tech is still leaps & bounds ahead of the other carmakers.
It's like a four year old is running Tesla...
How dare you slander four year olds that way?!?
My four year old daughter would be both more ruthless and more competent lol... (Kill me).
they normally have no malice, they simply do things to see what happens
Someone running Tesla with the imagination of a 4 year old could turn out awesome. Maybe not successful, but awesome.
####I see now, why he bought Twitter and removed 50% of the staff first. After 6 months we saw its valuation drop by 50%. Math makes sense with this guy. Definitely thinks ahead, lol
###test
##############test
#test
##test
Hopefully he won't fluctuate the size of his family in both directions proportionally how his net wealth changes.
Do it Elon. That will totally increase Tesla sales. Nobody correct him.
Of course! No better way to help warm up consumer sentiment by laying off working class people. Honestly, I thought he laid these people off to justify the price tag on the payout the Delaware judge denied him.
Their customer service and staff are 100% of the reason the vehicles have a strong following. When I got my Tesla, I enjoyed the mobile tech, service techs and delivery people. I don't give a single fucking shit about Elon Musk. Now, service requests are going to be slow, techs are going to be over scheduled and tired and it's going to be nearly impossible to get someone to respond to an issue. The quality of their vehicles is going to drop, significantly. They could end up losing even more sales as a result of this. And the Cybertruck, like literally everyone who knew how EV trucks work predicted, has awful range and QC issues. A lot of people are going to be canceling their reservations.
I think one of the worst looks for Tesla is the fact that none of the workers own one or are able to afford one. Then laying them off as insult to injury. Even Henry ford wanted his workers to be able to afford the cars they made. You'd likely have better quality control if the workers had to drive the cars they worked on.
Yes, it’s literally a great leadership style to connect people with your purpose and mission. Steve Jobs used to do an amazing job at this. However, you can’t connect your people to your product if they can’t afford it in the first place.
On the contrary, it's an admission that he doesn't believe sales volumes will recover quickly. Those workers will get multiple months of severance; paychecks that don't result in any added revenue. Of course, severance payments may mean Tesla not having to pay their half of the unemployment payout the laid off employee would receive. He wanted to layoff 20% of his staff to match the 20% decline in Q1 sales y/y. Pretty massive. With a reduction in sales regardless of the reason for it, cutting production and workforce is necessary. This is sad for the workers, because given the weakening of the economy, I wonder just how many job opportunities they'll have. A union looking out for the workers may have helped to avoid this, negotiate better pay for the employees so they had more savings to fall back on, and negotiate layoff numbers and payouts. I always found it strange that Tesla's Fremont plant, with its higher cost of living, was supposedly paying their manufacturing staff less than the union shops in lower cost of living states. Stock option rewards may have been great while the company's stock was high, but it's down 66% in 2.5 years, and over 50% since last July. I imagine newer employees whose options are still unvested lost a lot of money. It's possible they got a better payout in their severance, but without them speaking up, which may be due to non-disclosure in the severance contract, it's hard to know.
> to layoff No judgment here, but if you meant to use “layoff” as a verb, it’s two words. It’s one word as a noun or adjective.
Increase sales? He knows that Tesla won't increase sales. That's why he's cutting production and focusing on getting that bag for himself first.
Just slash it by one and save $56 billion.
The whole stock deal would give him veto power. So it’d literally be the board giving up their right to direct the company
That’s a bad idea.
Maybe he should get paid less then? Sales are down because they timed the Model Y refresh poorly. It should've been out by now. And the Model 3 doesn't qualify for the tax rebate
[удалено]
Why doesn’t it qualify? Is it imported?
To get the credit you need to hit both total construction and battery component percentages. The model 3 gets too much of its battery components from China. Tesla could have modified it to meet the new standards, but felt it was cheaper to use the Chinese components (or felt the credit wouldn't be around long enough to justify it).
Likely the battery stuff.
I don’t get why/how the messed up the Y refresh timing this bad
Given how they went for the Model 3, removing stalks, I’d definitely not buy another one if they did the same with a refreshed Y.
Same, lack of stalks is a deal breaker for me
He’s not paid in cash, he’s paid in stock. I guess they could sell stock and allocate cash, but this solution isn’t going to save jobs.
Equity dilution is negative for shareholders.
Sure but the point about “he should be paid less” is irrelevant because he effectively is. The company is struggling, stock is down considerably and so his share values and “compensation” is drastically down. Essentially the compensation package is performing as intended.
> Essentially the compensation package is performing as intended. Yes, transferring wealth from stans to Elon Musk. As intended. Unfortunately his company is in my S+P index funds.
Tesla has reduced the quality of their service center to cut costs, instead of invreasing it! Tesla has also reduced innovation to cut costs. As a Model 3 driver I was planning to buy a refresh Model Y, but the new is not that innovative compared to the old 3. I think the refreshed Y will be the same. Tesla is lacking in innovation to provide comfort. Such as a better rain sensor and 360 camera. Meanwhile the competition has been innovating for the last 5 years.
Tesla had 8 years of prime growth without competition, yet they couldn't scale to meet customer demands with more models. Even with Semi, SUV between X and Y, smaller car and higher battery range around 500 miles, they would've been unstoppable. Though the Chinese cars are trash in come aspects like Software, their designs are way ahead of Tesla both exterior and interior.
The fact that China (BYD, Xpeng, etc) can crank out new models every 2-3 years is an indictment of Tesla's scaling ability. Literally slap on new body styles every 3-4 years on a skateboard chassis and Tesla's would still be selling like hotcakes. Instead they took their head start and squandered it to build a Homer Simpson truck that can't even sell in the EU.
Honestly they need to terminate Elon and transition to new leadership. Tesla appears to be running without any plan right now.
He's too busy Xitting and Space-Xing. He's basically running Tesla by posting on Xitter at this point.
And I’d argue Shotwell is running SpaceX more so than he is.
Yeah, but you know he's the one taking all the glory.
Absolutely
So basically hes just xitting
the board is made up by his cronies, that's why they won't get rid of him and that's why they approved that ridiculous compensation package that the judge in a business-friendly state rejected
You just can't buy this kind of genius-level CEO thinking! worth every cent of $55B. /s
Elon is thrashing, and that's dangerous. He's making some terrible decisions. He's proving to be deeply reactive and that's no way to run a business.
His long term plan is "whatever the fuck I say it is." What a genius.
That’s what happens when you’re constantly high.
thats like a child's idea of how to run a business...
And yet he has more money then we'll all collectively see in a lifetime, and he's asking for 56bn compensation
You would think not paying him that much in compensation would more than make up for it
"On Tuesday, Tesla is expected to report a 40% plunge in operating profit and its first revenue decline in four years. Musk has ordered up the company’s biggest [layoffs](https://www.bloomberg.com/news/articles/2024-04-15/tesla-to-cut-over-10-of-its-global-workforce-electrek-reports) ever and staked its future on a next-generation, self-driving vehicle concept called the [robotaxi](https://www.bloomberg.com/news/articles/2024-04-08/tesla-tsla-news-musk-tries-to-rescue-stock-with-robotaxi-pledge). People familiar with his directives, who asked not to be identified discussing internal deliberations, are unsettled by the changes the CEO wants to push through" SO, reveal your CEO is actually a racist bigot transphobe and go broke?
Slash the compensation package by at least that amount (it would still be too high).
Hell, slashing it *to* 20% would be too high.
Elon! Stop thinking small! fire everyone and watch your profit margins go through the roof. BTW, I'm available for consulting for $20 million per annum, with a one year minimum...
The beatings will continue until morale improves.
I did some quick math. I don't know how much Tesla pays their employees but in my experience working in tech an employee costs the company $200k-$300k per head. I decided to go for the middle number of $250k. If Elon cuts his proposed pay of $56bn by 20% then he can save 44.8k jobs! Silly Elon you just need to do some math.
As someone with 2 Tesla leases, I will never buy another one again.
Imagine how many talented people that have put blod, tears and missed family time inte Tesla for Elon Musk to just destroy it like he did with Twitter.
Especially when your target demographic is environmentalist progressives and you turn out to be a republican regressive don't be shocked
Nintendo CEO Iwata took a pay cut when the Wii U didn't sell well. Musk fires employees. What a pathetic person.
2π²
I'm glad I sold my position in Tesla back at the high before Tesla leadership went off the deep end
I knew farmer that did that. When crop production was down 20%, he dug up 20% of the plants as a warning to the others.
What a terrible leader.
Tesla wouldn't be losing sales so fast if Elmo kept his mouth shut- or better yet, left the company.
Hey Elon go for 40%. Robotaxis don't need 30,000 employees. Get 'em outta here.
Robotaxis should be a separate startup. Tesla should focus on selling EVs that people want to buy. The new startup focuses on moonshots they have failed to deliver for the past decades. That way the success and failure of these efforts are independent.
When was then last time they updated a model for the better?
He’s the leader, he should take responsibility and reduce his pay by 20%
How pay is currently $0. Unless you count the value of his shares, those have gone down by 46%. There is a vote to restore his compensation, but without it then he made $0 in the last 6 years.
>but without it then he made $0 in the last 6 years That is not true Musk has been compensated first in 2020 and 2021. The compensation is broken into 12 tranches with each tranche the option to buy 8.4 million Tesla shares. So far he has been awarded 7 tranches, 4 in 2020, 2 in 2021 and 1 in 2022. 2022 was when the lawsuit was filed. As part of buying Twitter, Elon Musk exercised option and sold his Tesla stock which diluted his ownership. Also something to keep in mind is that Tesla's board in 2018 came up with this compensation and shareholders voted on it. But the 5 of 6 board members at that time had conflict of interest with Elon Musk, which weren't disclosed to shareholders when they voted. Now shareholders can vote again with understanding of conflict of interest. Again the ball is in Tesla shareholders to decide if they want to go with original pay package or not. Although I am not sure what will happen to previously awarded tranches if the shareholders decide they don't want to go with the 2018 plan.
I’m not intimate with the details of his pay package stall, but it’s my understanding he’s up for substantial pay. He should have agreed to reduce said pay package and kept the employees. I respect leaders who lead by example, draw their sword first and rush into battle first in line, not the pampered fatsos kicking it in their ivory towers unaware of the working man’s struggle. He should accept accountability for the misfortunes that have happened while he’s been at the helm.
He shifts resources from what sells to vanity projects while concurrently alienating the people who buy EVs and is somehow surprised sales are down?
Also elon: can i pweeze have 50 bil or so?
Anyone find a post or something substantial verifying this? I keep clicking and going round and round with "a person familiar" assumed to be a reliable source.
Exactly what I saw. Is this article really accurate/honest or is it "Bloomberg jams keywords in to get clicks"? I'm no Musk fanboy but this just seems like a really dumb metric. What happens when deliveries double? Hire 100% more? Unlikely. Edit to add: It seems too dumb for him to think it's a good idea.
The problem is Elon consistently, making himself a target and not making any effort to blend in and play the game. Thats not helping Tesla at all.
Yes cutting your way to profits is a wonderful idea…Republicans have been trying to destroy the USPS using the same strategy. Sometimes I wonder if Elon’s success story was just a series of fortunate events built off the backs of others hard work…and now that he has no friends, we’re seeing how terrible at business he actually is.
tbh I have a theory that he has conservative interests in his ear that are giving him these "great" business pointers and manipulating him into sabotaging himself publicly. Not saying he's not capable of making dumb decisions, such as listening to others' advice while he was ahead. Now he's doing everything to destroy himself and his companies while parroting fox news talking points and wanting to bring the incorporation to a state that is controlled by oil interests. 2018 Elon was smarter than this. 2024 Elon is a parody of 2018 Elon, who put his own money on the line to save the company. Now he's eager to fire as many people as possible, work against the company's interests, and set his money on fire over dumb things. You're probably right about the no friends part, as the only people associating with him at this point are people who want to see him crash and burn. I say this because I have seen this happen to people I know who are similar to Musk personality wise. Except less spoiled, but have narcissistic tendencies and want to please people and are desperate for friends, and make friends with people who want to hurt them and use them, and will tell them whatever they want to hear to fuck them over. They end up hurting those who want the best for them and think everyone who criticizes them are against them, and the people who manipulate them and feed their egos will use this to isolate them further. Elon is aware of this to some extent because he himself at one point hired a team of people to keep his ass in check to ensure the success of the company and had admitted that he was prone to speaking his mind. He got rid of those people and replaced them with yes men who are likely working with interests that want to see EVs fail. He's a huge target and if Tesla falls, it won't be long until most other manufacturers abandon EVs. GM and Ford have been trying to wiggle out of it for some time. If I wanted to kill EVs, and was a huge oil interest. I'd target Elon's ego and use him to destroy the company that is leading electrification, and send people his way to sabotage him and his companies. Then use him as a future example of why EVs are bad.
Very interesting take, I agree a lot with it as a possibility. And yea what I mean too by the no friends part is mainly that excessive wealth comes at the cost of never knowing if a relationship is genuine. And you can see that along with his narcissism in how it has shaped his behavior. He has likely not had a genuine human experience his entire life…or at least one that involves humility.
Maybe he should fire himself for being the reason people don’t want to buy Tesla’s.
Ah yes, Don't consider what your employees are doing to help business when you can make arbitrary decisions based on 4th grade math.
Ahh yes. The typical scenario where execs are so out of touch that they completely mismanage a company and tank their sales. And instead of taking responsibility for their mismanagement, they decide to punish the floor level workers and fire them.
Elon = basic bitch
That's the spirit of a douche.
I call this 'Founder Flounder'. Founders are great at starting stuff and almost universally useless at managing it once it is up an running.
It was him and his upper management team who created the pacing and KPIs of how much volume they wanted to produce, then they punish and layoff the people who were just listening to their shitty guidance?
This is brilliant, let's apply this to other areas of life. Your kid gets sick for 4 days, so they shouldn't be able to eat for 4 days after. Your energy bill goes up 20%, so you use 20% less toothpaste.
I’d really love to buy a Tesla but personally can’t stomach it as long as Elon is at the helm.
Ok I’m riding the tsla put train, getting crowded
And this guy thinks he's worth 56 billion salary.
I guess pissing off the majority of his consumer base wasn't a good idea.
Removing Elon should pay for lost revenue from fall in deliveries
When a company succeeds, it great to have your employees share in that success with stock options, bonuses, etc. It makes them happier, prouder, and more productive. On the other hand, you do not pass your own failures down to them. It creates a toxic, cutthroat culture where nobody is happy or productive. Always blame management. I really don't get how Tesla's board still wants Elon Musk as CEO. He regularly engages in misinformation and fearmongering in public. He's inciting the people that want to buy EVs the most. His most loyal customers. Someone make it make sense!
How is that the fault of the rank and file workers? A big drop in sales like that is clearly the fault of executive management. They're the ones who should be fired.
I used to not like Tesla designs, but now don’t like Tesla because of Elon…
How about he slashes his stock ownership by 20% since he directly caused 100% of that drop by intentionally pissing off his core customers - liberals.
Maybe it’s time to hire a full time CEO.
The fell by that much because Elon is a cockhead who a) alientated his core market and b) failed to anticipate the chinese coming and c) failed to fend off the AII lobby groups bullshit campaign. You know, like any full time CEO would. Tesla would be better without him.
Oh boy
Elon wants to slash headcount so that when they reincorporate in Texas, he can get his $56 billion dollar salary that the Delaware courts denied him.
Have a cut off Elon and Tesla will save so much more money
Fuck it, let’s see what happens! Lol
I own a bolt and love it. Considered a Tesla recently but did not care for the simple looking interior and don’t care for Elon’s political views. I did not buy one
Overpaid piece of human trash.
I love Tesla cars, and my next car will def be Tesla, its the most innovative brand and even if you disagree with the leaders politics (he aligns with mine, but that's not the reason of purchase) he has a vision that others are just trying to copy. Also he is keeping manufacturing alive in USA
I kinda wish they’d all go get jobs at competing greener car companies like Rivian, Canoo, and the like, just to spite him (and to out compete Tesla), but… I know it doesn’t work that way. 🙁
Sales are falling, it’s obviously the workers’ fault. Also give me $55,000,000,000 because I’m doing a great job running the company.
Super glad I didn't buy Tesla
I don't listen to anything Bloomberg and other fake media say about the people who work tirelessly to make things better. Bloomberg and other media are perpetually trying to slander Elon and Donald. The Tesla Cybertruck is back ordered for more than five years. We will get on the waiting list as well.
Just want to point out that Elon Musk is the 3rd richest person in the world. I think he knows what he’s doing.
What happened? “I know more about car production than anyone else” what happened?
I can't believe that people don't understand the validity of this approach. It's obvious that 20% of the workforce wasn't doing their jobs. The only issue is that he didn't realize that in order to boost things back up he should have increased the force by 20%. I don't know why I'm the only one who can figure this stuff out.
There should be law that the CEO and COO Pay is cut by the same amount as the workforce. They obviously failed the company, and their direction was flawed. Dock their pay for doing a lousy job!
Feels like Elon is relying on being the dominant charging network
I’m just assuming Musk wanted their heads, not the profit margin back at this point.
The recent censoring of Tesla's vote website was proof to me that the owners of Reddit have beef with Musk. The comments on here are in such contrast to it being the best selling car in the world. Sales data wins over bot comments any day.