Business

Elon Musk Plans Stock Option Grants To Tesla’s High-Performers, Sources Say

Tesla CEO Elon Musk told employees on Monday that the electric vehicle maker would work on stock-based compensation for high-performing employees, according to two people who reviewed an internal memo.

The plan came just days after Musk won shareholder approval for his $56 billion pay plan consisting of stock options and two months after he announced job cuts affecting more than 10% of Tesla’s global workforce in the face of slowing demand for EVs and intensifying price competition from Chinese rivals.

“Over the next few weeks, Tesla would be doing a comprehensive review to provide stock option grants for exceptional performance,”

Musk said in an email, according to the two people who reviewed it and are based in China and the U.S., respectively. They declined to be named as the memo is for internal use.

“There would also be an ongoing program to award spot option grants for anyone who does something outstanding for the company. Thanks for everything you’re doing to make Tesla successful,” the email said.

Tesla last year skipped merit-based stock awards to employees, people familiar with the matter said.

Tesla’s margins took a hit last year from the company’s aggressive price cuts aimed to revive demand and fend off competition.

Since the start of 2024, Tesla shares had slumped 25% and the EV maker warned of sharp slowdown in sales.

Follow us on:

AriseNews

Recent Posts

Albania to Ban TikTok for a Year After Schoolboy’s Death Sparks Concerns

Albania plans a one-year TikTok ban from January after a schoolboy’s death sparks concerns over…

2 hours ago

Suspect Remanded in Custody Over Deadly Attack at German Christmas Market

A suspect accused of killing five people by driving into a crowded Christmas market in…

2 hours ago

US Fighter Jet ShotDown in Red Sea ‘Friendly Fire’ Incident Amid Heightened Tensions

A US Navy F/A-18 Hornet was mistakenly shot down over the Red Sea by the…

2 hours ago

NNPC, Dangote Refinery Slash Petrol Prices to N899 Per Litre Amid Rising Competition

NNPC has reduced petrol ex-depot price to N899 per litre, sparking competition with Dangote Refinery…

3 hours ago

Tinubu Urges Strict Crowd Control Enforcement After Deadly Stampedes in Anambra, Abuja

President Tinubu has urged enforcement of strict crowd control measures after deadly stampedes in Anambra,…

3 hours ago

Yuletide: FG Launches Free Train Rides to Ease Economic Strain Amid Petrol Subsidy Removal

In a move to alleviate the burden of rising transportation costs following the removal of…

3 hours ago