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Yesterday, Tesla, Inc. (Nasdaq: TSLA) shareholders overwhelmingly approved the controversial and historic pay package deal for the electric vehicle makers CEO, Elon Musk. That package is worth up to nearly $1 trillion in compensation for Muskprovided the company reaches certain milestones. But if those milestones are met, it would make Musk, already the worlds richest man, the worlds first trillionaire. Heres what you need to know about the historic pay package and how investors and Teslas shares are reacting to the news. Whats in Musks historic Tesla pay deal? At Teslas investor meeting yesterday, over three-quarters of shareholders voted to approve Musks nearly $1 trillion compensation package. However, the package isnt a blank check filled with thirteen digits before the decimal place. Instead, it is an agreement that includes a series of milestones Tesla needs to reach under Musks leadership. With each milestone reached, Musk receives some of the pay packages agreed-upon sum, mostly in the form of Tesla shares. As Fast Company previously reported, those milestones wont be easy. They include the following: 20 million Tesla vehicles delivered 10 million active Full Self-Driving subscriptions 1 million robots delivered 1 million Robotaxis in commercial operation A series of adjusted EBITDA benchmarks A market cap for Tesla of at least $8.5 trillion All of these are a tall order, particularly the last one. No company in history has ever come close to an $8.5 trillion market capitalization. Last month, NVIDIA Corporation (Nasdaq: NVDA) briefly became the worlds first $5 trillion company. Today, it retains its number one spot, with a market cap of around $4.4 trillion. Apple Inc. (Nasdaq: AAPL) and Microsoft Corporation (Nasdaq: MSFT) currently come in at numbers two and three, with market caps of $4 trillion and $3.6 trillion, respectively. As for Tesla, the company currently ranks as having the 10th largest market cap in the world, at $1.4 trillion. That means Teslas stock price would have to increase by more than six times todays valuation if Musk is to get the full compensation deal payout. And thats not even to mention the other lofty milestones Tesla needs to achieve under Musk, including delivery of one million robots into the wild. Still, the majority of voting shareholders seem to believe that the historic pay deal is not only appropriate to retain Musk as the companys leader, but that he, of all people, could take Tesla to a place itand no other companyhas ever been before. How has Wall Street reacted? As you would expect from such a controversial pay package, opinions on Tesla shareholders approving the $1 trillion compensation are mixed. Reuters spoke to a number of Wall Street insiders. Among them was Mike ORourke, chief market strategist at Jones Trading, who said that given Musk could easily abandon the struggling Tesla to run his other private companies, it was worth it for shareholders to lock his leadership in. Nonetheless, ORourke added, it is highly unlikely this works out well when a $1.5 trillion company needs to award a $1 trillion pay package to the richest man in the world.” Russ Mould, investment director at AJ Bell, told the outlet that given the demanding milestones required by the compensation package, Tesla investors had little to lose: If Musk does get the $1 trillion, shareholders will have done very nicely indeed. As could be expected, many everyday retail investors on social media who are Musk fans and Tesla bulls cheered the passage of the compensation package. How have TSLA shares reacted? While Tesla shareholders have now approved the historic package, nothing much actually changes for Tesla today. Still, shares in Tesla have fallen since the markets opened this morning, their first day of trading after shareholders approved the pay package. As of the time of this writing, TSLA shares are currently down about 2.5% to $434.40. They had fallen by over 4.5% at one point right after the markets opened. Yet its hard to take any meaning from TSLAs price drop this morning. A low single-digit drop could just be due to everyday profit taking, and not a signal that investors think the approval of the compensation package was bad news for the company (indeed, the majority of voting investors clearly thought the deal was a good thing). Year to date, TSLA shares are now up around 6% as of the time of this writing. Over the past 12 months, TSLA shares have risen more than 44%.
Category:
E-Commerce
As the longest government shutdown in U.S. history continues, the Federal Aviation Administration (FAA) has ordered flight reductions at 40 major airports, including Atlanta, New York, Boston, and Los Angeles. The move begins with affecting 4% of flights, with plans to ramp up to impact 1 in 10 flights at those airports, disrupting travel plans for thousands of Americans every day. But Patriotic Millionaires, a group of high-net-worth individuals who advocate for more progressive taxes in order to close the wealth gap, is suggesting an alternative that it says would spare commercial airline passengers and still offer relief for air traffic controllers: Just cancel all private flights. Private jets specificallywhich are more expensive and hold more passengers than small private planesmake up one out of every six flights handled by the FAA, according to the Institute for Policy Studies. Private jet use has also been soaring in recent years, and the U.S. is responsible for the most private flights. If you need a 10% reduction [in flights], you can get 100% of your reduction from the private planes. You do not need to affect commercial flights, period, says Erica Payne, president and founder of Patriotic Millionaires. To Payne, the FAA is choosing to have everyone suffer rather than grounding planes that are destroying the planet and flying one or two people at a time in the lap of luxury. Some private flights may well end up being part of those 4% to 10% reductions happening at major hubs. But Patriotic Millionaires is suggesting that the FAA target private flights specifically, sparing commercial passengers. Private jets and public resources Everyone who flies pays toward the taxes that help fund the FAA, which then pays the salaries of its employees, including air traffic controllers. During the government shutdown, air traffic controllers are considered essential workers, and required to keep doing their jobs without pay. That reality is now straining air traffic controllers, many of whom work mandatory overtime six days a week, and so arent able to take on other jobs. Theyve been increasingly taking six days. Already, at least 3.4 million travelers have been affected by staffing shortages, according to the industry group Airlines for America. For the average airline passenger, a 7.5% tax on their ticket price, plus a charge that can go up to $4.50, goes toward the FAAs Airport and Airway Trust Fund. Private jet flyers contribute just 2% of the taxes that make up that fund. While some private flights take off from major airport hubs, there are also airports that only serve private air travel, like Van Nuys Airport in Los Angeles, one of the countrys busiest aviation hubs. That airport is not on the FAAs list of affected high traffic airports. In some cases, airports that mainly serve private jets have also collected taxpayer dollars, like the Napa Valley Airport in California, which collected $6.3 million over two years. Private jet travelers have already gotten away with having the American taxpayers pick up their jet setting, Payne says. We are funding the jet-setting pollution-causing air travel of the richest people in the country. Now were being asked to suffer cancellations and delays, when weve already been picking up their transportation costs for decades, she continues. And theres an easy way out of this. Patriotic Millionaires are saying: shut down private air travel during the government shutdown, and use that extra capacity. Fast Company reached out to the FAA for comment. An automatic reply said the agency is not responding to routine press requests during the shutdown. A highlight on wealth inequality To Payne, this move to affect commercial flights while seemingly ignoring private jet travel is another example of the way issues around wealth inequality are being highlighted across the country. The transportation secretary stands up there and says 1 out of every 10 people in America flying somewhere are going to suffer a delay or cancellation, while wealthy people are not even asked to park their planes and fly first class for a few days, Payne says. President Trumps recently passed One Big Beautiful Bill Act also gives more than $1 trillion in tax cuts to the countrys top 1%. Patriotic Millionairess suggestion to the FAA also comes the same week that Democratic Socialist Zohran Mamdani won the New York City mayoral race. Mamdani ran on taxing the wealthy in order to fund programs like free childcare and buses. Billionaires spent millions of dollars opposing his campaign. Patriotic Millionaires says it is reaching out to all members of the House and Senate committees to suggest they ground private planes rather than affect commercial flights. The group is also creating a series of social media posts to highlight the idea, including ones that feature Patriotic Millionaires member Abigail Disney. This needs to become an issue, Payne says. We plan to do everything in our power to make it an issue.
Category:
E-Commerce
The headlines are clear: AI is disrupting entry-level jobs across industries, including consulting and professional services. There’s just one problem. Eliminating these roles overlooks a critical business needyour pipeline of next generation leaders. The rush from pyramid to diamond workforce models is short-sighted. In the pyramid model, you grow leaders from the ground up. In the diamond model, you cut the base and bet on later-stage talent to carry the weight. It may look efficient now, but it comes at the expense of long-term leadership development. If we don’t shift the trajectory, it’s likely to worsen the leadership gender gap. Despite women outpacing men in college graduation rates, recent Russell Reynolds data finds men are still 2.5 times more likely to be executives than women, and 10 times more likely to be CEOs at S&P 100 organizations. Yet, women remain underrepresented in feeder roles to the top job. The solution isn’t some new, fancy workplace tech platform or another mandatory training program. It’s intentional mentorship that directly addresses barriers women experience in advancing their careers. WHY UPSKILLING PROGRAMS FALL SHORT So why are companies still betting on upskilling programs? They look great on slides and earnings calls. They’re measurable, seemingly fair, and relatively simple to implement. They’re also not moving the needle. The problem lies in traditional delivery. Put simply, classroom or lecture settings without immediate practice opportunities fall short. Online training will not build our next generation of leaders. The approaches overlook two human-centric barriers that many professionals, particularly women, face: representation and confidence. Seeing people in top positions who look like you proves you can make it there, too. Harvard Business School research found that women are less likely than men to apply for advanced jobs because they think they aren’t qualified enough. I distinctly remember when a new leadership opportunity came my way. Instead of immediately jumping at it, I spent an entire day poring over role requirements and determining whether the position felt true to my identity. At that point, I just considered myself to fall squarely in the marketer role. Ultimately, I took a chance, accepting the new role. In that critical moment, I was fortunate to have mentors who pushed me to think about myself and my capabilities more expansively. That push, more than any certificate, gave me confidence to take on the challenge. This mindset shift allowed me to then pay it back, leading to countless hours in the trenches, coaching team members on how to best deliver their tasks, regardless of how the members professionally defined themselves. THE MENTORSHIP ADVANTAGE Why is quality mentorship so effective? When done right, it’s deliberate and rooted in real experience. Here’s my playbook, as seen through a soccer lens, a sport near and dear to my heart: 1. Find the right fit. Building a team with myriad skillsets is essential to any winning soccer club. It’s ideal to have both male and female mentors. There’s value in someone who thinks differently and may have unique strengths you don’t have. And there’s value that can only come from someone who has walked in your shoes. Take maternity leave, for example. Women working with me tend to have easier transitions back because I have lived it and my philosophy is to always celebrate the small moments that carry outsized positive impact. Mentors don’t have to be all things to mentees. Instead, seek mentors with specific strengths. You might seek a leader known for bold, creative thinking, and another leader strong in people management. 2. Get in the trenches. I believe in “learning in combat”education that comes from sitting in client meetings and sales calls, being in the room where tough conversations happen, and getting real-time feedback on actual work. Time spent on the field together always outweighs theoretical examples and 1:1 coaching. 3. Be vulnerable. For me, that means showing people the marshmallow I am on the inside of this executive exterior. Mentors should create an environment where mentees feel comfortable showing their strengths and weaknesses. Authenticity beats a fake front any day. This comes from celebrating your wins, but also asking your teammates for help when you are struggling. A defender under pressure passes back to the goalkeeper, trusting their teammate to help the team stay in controla reminder that asking for support keeps everyone moving forward. 4. Know when to listen and when to speak up. Real mentorship is about creating space for people to figure things out, not just giving advice without hearing what someone has to say. When mentors are effective listeners, they can better advocate. Sometimes that means being the voice advocating for an idea others gloss over because you see the potential in the person surfacing it. Other times, it means understanding a mentee’s dream job and clearing the way for them to secure it. Any good coach can attest to the importance of this approach with their players. 5. Get out of the way. Too many leaders listen to junior colleagues talk about their dreams, then forget to give them the opportunity to reach them. In soccer, the left wing fights to let the striker take the shot. But if the striker never gets the ball, it’s useless to have that position. Say “ok” and let your players play. There’s a delta between knowing mentorship works and building programs that deliver. The most effective programs have leadership buy-in, authentic matching, and accountability. Companies must expect leaders to coach, then create space and accountability for it. Not every leader needs to be a mentor, but you need enough who will and who want to. DIAMONDS AREN’T FOREVER (IN THE WORKPLACE) ROI and value creation remain paramount. Companies can continue chasing short-term gains and allow AI to eliminate their next generation of leadersmale or femaleor they can do the harder work of building intentional mentorship relationships that create a more level playing field. Companies that over-index towards these diamond models will inevitably have to swing back. The importance of strong mentorship will never be obsolete. The question is whether companies realize this before or after losing a generation of strong, diverse talent to organizations that remained focused on their potential. Casey Foss is chief commercial officer of West Monroe.
Category:
E-Commerce
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