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The company that will give a generous bonus

At a time when the pay of executives and the boards of directors of major technology groups is under scrutiny, one company stands out for its unusually large ‘bonuses,’ sparking discussions about corporate governance and compensation structures

Newsroom December 16 03:50

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Tesla, the well-known maker of electric vehicles and technology solutions, has found itself at the center of international attention not only for its products, but also for the way it rewards those who help run the company. According to recent analyses, members of Tesla’s board of directors have collectively earned more than $3 billion through past stock award grants that have soared in value as Tesla’s share price rocketed over recent years.

These payouts far exceed the compensation received by boards at other major technology companies during the same period. Some directors have amassed hundreds of millions of dollars, including the brother of CEO Elon Musk, Kimbal Musk, who has earned nearly $1 billion since 2004.

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This development has drawn both interest and criticism from corporate-governance experts, who argue that awarding stock options rather than outright shares creates enormous upside potential without equivalent risk for the recipients.

Alongside board compensation, Tesla has also come under scrutiny for the unprecedented scale of proposed pay packages for its CEO. Previous proposals put to shareholders included a compensation plan that could reach globally unmatched levels, tying pay to exceptionally ambitious growth and performance targets. These moves have sparked widespread debate across international media and financial markets about how large corporations distribute rewards among their leadership—and what role shareholders should play in striking a balance between incentives and accountability.

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