By Michelle Ndaga
Norway’s Government Pension Fund Global (GPFG) will vote against Elon Musk’s proposed $1 trillion compensation package at Tesla’s annual meeting on November 6 in Austin, Texas.
The fund holds a 1.12% stake in Tesla, worth roughly $17 billion, and said it opposes the proposal because of concerns about the award’s size, the potential dilution of shareholder value, and the governance risks of heavy reliance on a single executive.
The fund regularly takes positions on executive compensation and corporate governance aimed at protecting long-term shareholder value.
Tesla’s board supports the package, arguing it ties executive incentives to the company’s long-term strategic goals in areas such as autonomous driving, robotics and energy storage.
The proposal is widely expected to receive strong backing from many shareholders, including retail investors and certain institutional holders, despite Norway’s opposition.
The GPFG manages assets totaling about $1.7 trillion and frequently votes on high-profile corporate governance issues worldwide.
