Tesla Shareholders Urge Linking Director Pay to ESG
Tesla Inc investors are being urged to call on the electric vehicle maker to link executive wages and bonuses to environmental, social and governance (ESG) factors.
Retail activist shareholder platform, Tulipshare, said it intends to submit a shareholder resolution on the topic during the group's AGM in 2023.
The CEO of UK-based Tulipshare, Antoine Argouges, said that linking executive pay to ESG goals would make sure that those in charge do something about climate change.
“I can tell you those people will put their effort into solving the problems in the system,” Argouges also noted.
He added investors would be “super ready” to support this proposition: “The mood of investors is super-ready to support a resolution like ours.”
The fact that S&P Dow Jones Indices took Tesla out of its ESG index last spring made it clear that Tesla could face damage to its reputation and legal risks.