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    Home > Finance > Tesla board explores new pay deal for CEO Elon Musk, FT reports
    Finance

    Tesla board explores new pay deal for CEO Elon Musk, FT reports

    Published by Global Banking & Finance Review®

    Posted on May 14, 2025

    2 min read

    Last updated: January 23, 2026

    Tesla board explores new pay deal for CEO Elon Musk, FT reports - Finance news and analysis from Global Banking & Finance Review
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    Quick Summary

    Tesla's board is reviewing CEO Elon Musk's compensation, potentially leading to new stock options. The decision hinges on meeting specific company targets.

    Tesla Board Considers New Compensation Plan for Elon Musk

    (Reuters) - Tesla's board has formed a special committee to review CEO Elon Musk's compensation, which could result in a new stock options package, the Financial Times reported on Wednesday.

    The two-member committee comprises Tesla board Chair Robyn Denholm and independent board member Kathleen Wilson-Thompson, the newspaper reported, citing several people familiar with the matter.

    Tesla did not immediately respond to a Reuters request for comment outside regular business hours. Robyn Denholm and Kathleen Wilson-Thompson did not respond to requests for comment through LinkedIn.

    The committee will also consider alternative ways to compensate Musk for his past work if Tesla's 2018 pay package isn't reinstated through a court appeal, the FT said, adding that any new stock options would depend on the company meeting financial, operational, and share price targets.

    Tesla is at a turning point as Musk, its largest shareholder with a 13% stake, shifts focus from a promised affordable EV platform to robotaxis and humanoid robots, positioning the company more as an AI and robotics firm than a traditional automaker.

    Last month, the EV maker said the board has formed a special committee to consider some compensation matters involving Musk, without disclosing details.

    In March, the billionaire kicked off an appeal to try to restore his $56 billion payday from Tesla, claiming a lower court judge made multiple legal errors in rescinding the record compensation.

    Earlier this month, Denholm denied a Wall Street Journal report that said board members had reached out to several executive search firms to find a replacement for Musk.

    (Reporting by Abinaya Vijayaraghavan; Editing by Nivedita Bhattacharjee and Savio D'Souza)

    Key Takeaways

    • •Tesla's board formed a committee to review Musk's pay.
    • •The committee includes Robyn Denholm and Kathleen Wilson-Thompson.
    • •New stock options depend on financial and operational targets.
    • •Musk is appealing to restore his $56 billion payday.
    • •Tesla shifts focus to AI and robotics.

    Frequently Asked Questions about Tesla board explores new pay deal for CEO Elon Musk, FT reports

    1What is the main topic?

    The main topic is Tesla's board reviewing CEO Elon Musk's compensation package, potentially leading to a new stock options deal.

    2Who is on the special committee?

    The special committee includes Tesla board Chair Robyn Denholm and independent board member Kathleen Wilson-Thompson.

    3What is Elon Musk's current focus for Tesla?

    Elon Musk is shifting Tesla's focus from affordable EVs to robotaxis and humanoid robots, emphasizing AI and robotics.

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