Tesla has urged shareholders to back Elon Musk’s $1 trillion pay deal or risk losing him as CEO, a key moment for the company’s future.

Robyn Denholm said in a letter to shareholders that Musk stepping away could lead to Tesla losing "significant value."

Oct 27 (Reuters) - Elon Musk could leave Tesla (TSLA.O) as CEO if his proposed $1 trillion pay package was not approved, Chair Robyn Denholm warned in a letter to shareholders on Monday.

Once again, Tesla chair Robyn Denholm pleaded with shareholders to approve CEO Elon Musk's unprecedented compensation package, one that could cost the company $1 trillion, with the threat of Musk leaving the company.

It's not the first time Tesla has pushed for a massive pay package for its CEO, but there are several differences between 2018 and 2025.

Tesla chair Robyn Denholm has stepped up her campaign to win shareholder support for Elon Musk’s $1tn pay package, warning there is no “Elon mark 2” if the carmaker’s board is forced to try to replace the chief executive.

Denholm said the $1 trillion package is designed to retain and motivate Musk for at least another seven years.

Elon Musk may need a few extra dollars in his pockets as he's hinted at stepping down from the company if his $1trillion plan falls through.

Elon Musk says he needs to build his stake in Tesla so much that he could become the world’s first trillionaire. But this week he said his aim wasn’t to increase his planet-leading wealth. Instead, Musk said the biggest pay package in history was necessary to protect his company.

A proposed compensation package tied to Tesla’s AI and robotics ambitions reignites debate over governance, shareholder influence, and the growing concentration of tech power in the hands of a few.

Electric vehicle manufacturer Tesla has made headlines twice recently after proposing two gargantuan compensation packages for CEO Elon Musk despite a yearslong lawsuit brought by an investor who believes its board of directors sought to overpay Musk.