Tesla shareholder votes against the annual election of directors

Tesla stated its investors authorized all five of its proposals, including one that shot down a move to make its directors represent reelection each year, at the company’s yearly shareholder meeting on Tuesday.

Connecticut Retirement Plans and Trust Funds had prompted fellow Tesla shareholders to choose a proposal targeted at the declassification of the company’s board, arguing that “annual accountability can result in increased business performance.”

Four of the proposals were management proposals, where as the fifth was a shareholder proposal submitted by the Connecticut Retirement Plans and Trust Fund (CRPTF), which owns around 45,500 shares (worth around $16.7 million based on present prices).

Tesla currently has a staggered board and directors serve three-year terms. Just 3 directors that were up for election this year included Elon Musk, Robyn Denholm, and Steve Jurvetson. As anticipated, they were all re-elected, as per the 8-K that Tesla submitted recently.

During the meeting, General Counsel Todd Maron could declare that shareholders voted in line with Tesla’s suggestions on all proposals, which is to say the investor proposal didn’t worked.