Clicky

  • Login
  • Register
  • Submit Your Content
  • Contact Us
Tuesday, June 17, 2025
World Tribune
No Result
View All Result
  • Home
  • News
  • Business
  • Technology
  • Sports
  • Health
  • Food
Submit
  • Home
  • News
  • Business
  • Technology
  • Sports
  • Health
  • Food
No Result
View All Result
World Tribune
No Result
View All Result

Tesla shareholders beg for Elon Musk to focus on the company, asking the CEO to work at least 40 hours a week

May 30, 2025
in Business
Reading Time: 4 mins read
A A
Tesla shareholders beg for Elon Musk to focus on the company, asking the CEO to work at least 40 hours a week
0
SHARES
ShareShareShareShareShare

Tesla shareholders beg for Elon Musk to focus on the company, asking the CEO to work at least 40 hours a week

  • As Elon Musk prepares to leave the U.S. government, Tesla investors are pleading with the EV maker to make sure the CEO refocuses on the company and to disclose how the board would replace him in an emergency or if he loses interest. In a letter sent to Tesla board chair Robyn Denholm on Wednesday, shareholders demanded Musk work at least 40 hours a week at the company.

Elon Musk’s departure from the Department of Government Efficiency has done little to quell the grievances of Tesla investors regarding the CEO’s absence from the EV maker.

READ ALSO

WhatsApp introduces ads, fulfilling a plan its cofounders hated so much they left over it

I had one simple surgery to lower my risk of the deadliest cancer for women. Here’s why you probably don’t know about it—but should

Musk said Wednesday he would leave the government following the end of his “scheduled time” as a special government employee. The move comes amid renewed pleas from Tesla’s investors for Musk to refocus on his role as chief executive and for the company to give investors more information about how it will eventually replace Musk when he moves on from Tesla.

“DOGE is just one of many outside time commitments that Musk has been sort of prioritizing over Tesla, Tejal Patel, executive director of SOC Investment Group, told Fortune. “Just because he’s leaving DOGE doesn’t mean he’s focusing on Tesla.”

SOC Investment Group, part of trade union coalition the Strategic Organizing Center, worked with a group of pension funds to send a letter to Tesla board chair Robyn Denholm on Wednesday, demanding the board address the ongoing “crisis” at the company. The letter’s 12 signees are long term investors who own or oversee investments of approximately 7.9 million of Tesla’s 3.2 billion shares.

“Mr. Musk’s outside endeavors appear to have diverted his time and attention from actively managing Tesla’s operations, as any other chief executive officer of a publicly traded company would be expected to do,” the letter said. “For many years, the amount of time CEO Musk has devoted to managing Tesla has been constrained because of his multiple privately held companies and other outside endeavors.”

Since Musk joined President Donald Trump’s administration, Tesla stock is down more than 14% as vehicle registrations plummet due to increased Chinese competition and souring consumer opinion of the company over Musk. His contentious group DOGE has upended U.S. bureaucracy and cost 260,000 federal workers their jobs, Reuters calculated.

Illinois State Treasurer Michael Frerichs, one of the letter’s signees, told Fortune Musk had gotten himself into even more political hot water after he criticized Trump’s spending bill.

“It’s impressive that he angered about half the U.S. by cozying up to Trump, and now he’s picking a fight with Trump over his awful, ugly bill, and is likely angering the other half of the country,” Frerichs said.

Investor demands

The Tesla investors demanded the board include a time requirement as it assesses Musk’s compensation, such as requiring him to work in his role at the EV company for at least 40 hours a week. The Tesla board has assembled a special committee to explore a new compensation deal for Musk, the Financial Times reported earlier this month. The CEO has been embroiled in a yearslong legal battle for a record-setting $56 billion pay package that has been rescinded by a judge.

The signees also called for a clear succession plan at the company, including identifying “emergency” successors to step in for Musk should the company need it. Shareholders also asked the Tesla board to set more stringent limitations on directors’ and executives’ involvement in other companies and boards.

“We just want to make sure that individuals are able to actually dedicate enough time to oversee and, in the case of executives, to manage the company appropriately,” Patel said.

Shareholders urged Tesla to appoint at least one director who is “truly independent” from the company, according to the letter. Earlier this month Chipotle chief strategy officer Jack Hartung joined Tesla’s board, but disclosures noted his son-in-law is a current Tesla employee.

“It’s a little surprising to us that the board would nominate another director who’s considered non-independent under governance best practice standards, especially given the fact that their board has frequently been cited for having a lack of independence and deep connections to the CEO,” Patel said.

Tesla’s board also includes Ira Ehrenpreis, chair of Tesla’s compensation committee and longtime friend of Musk, as well as Musk’s brother Kimbal Musk, who has sat on the company’s board since 2004. The two insiders recently exercised stock options that yielded $162 million and $31 million respectively, according to SEC filings.

Tesla did not respond to Fortune’s request for comment.

What’s after DOGE?

As Musk prepares to step away from his role at DOGE, investors are adamant that the CEO has a long way to go in righting the EV maker’s course.

“In essence, it is a good first step,” said Frerichs. “But the question is, is he just freeing up time, or has he learned lessons from his time? Everyone makes mistakes. The question for me is, do you learn from them?”

Musk reaffirmed his desire to lead Tesla earlier this month at the Qatar Economic Forum in Doha, saying in a video call he planned to be CEO of the company for another five years. All the while, Musk continues to be involved in leading SpaceX, X, and xAI. Investors will need to see Musk invest time in Tesla over the next six months to a year, Frerichs said.

“Does he still have interest in this company, or is he more interested in blowing up rockets? Is he more interested in going on rants on [X]?” he said.

Beyond finding the time and interest in his EV maker, Musk will have to correct what Wedbush Securities managing director Dan Ives previously called a “brand tornado crisis moment.” Tesla’s brand is inextricable from Musk, and Musk’s involvement in U.S. politics can therefore alienate large swaths of potential consumers.

This story was originally featured on Fortune.com

Credit: Source link

ShareTweetSendSharePin
Previous Post

The best tablets for 2025

Next Post

How do I set up an Xbox for my kid?

Related Posts

WhatsApp introduces ads, fulfilling a plan its cofounders hated so much they left over it
Business

WhatsApp introduces ads, fulfilling a plan its cofounders hated so much they left over it

June 17, 2025
I had one simple surgery to lower my risk of the deadliest cancer for women. Here’s why you probably don’t know about it—but should
Business

I had one simple surgery to lower my risk of the deadliest cancer for women. Here’s why you probably don’t know about it—but should

June 17, 2025
Loneliness may not actually lead to earlier death, finds new research
Business

Loneliness may not actually lead to earlier death, finds new research

June 16, 2025
Livestreaming shopping app Whatnot will sell  billion in goods this year. Can it keep growing?
Business

Livestreaming shopping app Whatnot will sell $6 billion in goods this year. Can it keep growing?

June 16, 2025
Stock markets are ignoring the war as they wait for the Fed
Business

Stock markets are ignoring the war as they wait for the Fed

June 16, 2025
Man suspected of shooting 2 Minnesota lawmakers caught
Business

Man suspected of shooting 2 Minnesota lawmakers caught

June 16, 2025
Next Post
How do I set up an Xbox for my kid?

How do I set up an Xbox for my kid?

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

What's New Here!

Gold overtakes euro as second-biggest global reserve asset

Gold overtakes euro as second-biggest global reserve asset

June 11, 2025
Vance says he hopes Musk returns to fold after public feud with Trump

Vance says he hopes Musk returns to fold after public feud with Trump

June 7, 2025
OpenAI and Microsoft are teaming up with Harvard’s libraries to train AI models on 600-year-old books

OpenAI and Microsoft are teaming up with Harvard’s libraries to train AI models on 600-year-old books

June 12, 2025
Tinder is testing height preferences

Tinder is testing height preferences

May 30, 2025
What we expect Apple to reveal including new iOS, macOS, Apple Intelligence and more

What we expect Apple to reveal including new iOS, macOS, Apple Intelligence and more

May 29, 2025
Family offices keep ‘strong bias to the U.S.’ amid market turmoil, UBS survey finds

Family offices keep ‘strong bias to the U.S.’ amid market turmoil, UBS survey finds

May 21, 2025
Hinge Health goes public, raises 7.3M in IPO

Hinge Health goes public, raises $437.3M in IPO

May 23, 2025

About

World Tribune is an online news portal that shares the latest news on world, business, health, tech, sports, and related topics.

Follow us

Recent Posts

  • WhatsApp introduces ads, fulfilling a plan its cofounders hated so much they left over it
  • OpenAI wins $200 million U.S. defense contract
  • Mets aren’t taking chance to bury rival Braves lightly
  • I had one simple surgery to lower my risk of the deadliest cancer for women. Here’s why you probably don’t know about it—but should

Newslatter

Loading
  • Submit Your Content
  • Contact Us
  • Privacy Policy
  • Terms of Use
  • DMCA

© 2024 World Tribune - All Rights Reserved!

No Result
View All Result
  • Home
  • News
  • Business
  • Technology
  • Sports
  • Health
  • Food

© 2024 World Tribune - All Rights Reserved!

Welcome Back!

Login to your account below

Forgotten Password? Sign Up

Create New Account!

Fill the forms below to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In