The myth of Elon Musk, the indefatigable entrepreneur who sleeps in his office and runs several companies at once, is shaky. In a letter to the Board of Directors, they demand that Musk devote at least 40 hours a week to running Tesla, whereas he once demanded 80 hours a week from his employees.
Musk, preoccupied with his other empires
Since the opening of new political battles and Elon Musk’s growing involvement in companies such as X (formerly Twitter), SpaceX, Neuralink and xAI, many investors have decided that Tesla is no longer his priority. The American Federation of Teachers, which holds nearly 8 million shares in the carmaker, is one of the signatories of this warning.
They denounce Tesla’s growing disengagement and are concerned about the repercussions for its stability, particularly at a time when the company is going through one of its most serious financial and industrial crises.
A clear requirement: 40 hours for Tesla (at least)
In their letter, the investors do not ask Musk to leave the management of Tesla, but to respect a minimum attendance commitment. They even proposed a compromise: to spread these 40 hours over three days, leaving him two days to manage his other activities.
As Tejal Patel, director of the SOC Investment Group, explained in Fortune: “We simply want to ensure that he devotes sufficient time to overseeing the company effectively”.
Another key demand from investors is for a clear and public succession plan, with a strategic roadmap over 2 to 5 years. The aim is not to leave Tesla “decapitated” in the event of a prolonged absence or unforeseen event. This requirement is not intended to dismiss Musk, but to provide an emergency replacement capable of maintaining the group’s industrial and commercial course.
Limiting conflicts of interest in governance
The criticism is not just directed at Musk. Investors are also critical of the composition of the management team, which is considered to be too close to the CEO, and even servile. They are calling for the introduction of at least one truly independent member to the board of directors, someone with no past or present links to Musk or his entourage.
They point in particular to the case of Jack Hartung, a former Chipotle executive recently appointed to the board, known for his long-standing professional relationship with Kimbal Musk, Elon’s brother. The signatories fear a form of nepotism, detrimental to the balance of decisions, particularly in terms of remuneration. In their view, the colossal bonus awarded to Musk in 2018 is the most telling example.
This letter reveals a growing sense of unease among shareholders, who expect a commitment that matches their stated ambitions. The contrast is striking: a Musk who advocated 80 to 100 hour weeks, but who today would not even guarantee 40 hours for Tesla, according to his own admission. Tesla, the pioneer turned giant, can no longer be content to be one of its CEO’s many toys. Shareholders are demanding accountability… and a full-time captain on board.
