On September 7, Robert Reich, who was Labor’s secretary of state under Bill Clinton and then held various senior government positions, wrote the following in tweets:
Tesla forced all employees to cut their salaries by 10% from mid-April to July. Shares of Tesla rose sharply during the same period, with CEO Elon Musk’s fortune quadrupling from $ 25 billion to more than $ 100 billion.
Musk is a modern robber baron.
A few days later, Elon Musk tweeted this powerful answer:
All Tesla employees also receive shares, so their compensation increased proportionately. You are a modern liar.
At a time when we live in the face of the hazy salad that our president vomits on Twitter day in and day out, which qualifies as a rap mind.
So why do Robert Reich և Elon Musk probably have beef? As far as I can tell, there really is no initial reason. It seems that Reich accidentally decided to call Musk on Twitter, because Musk is a popular public figure, and his name received a heated response. People put Elon Musk’s name in the headlines for articles that have little to do with it all the time (yes, I am also to blame for that)
But does the Reich have a point? Well, Musk is really a billionaire. There are some voters who consider “billionaire” a synonym for “bandit baron”. But the real situation is a little more subtle.
Musk did not dispute the COVID-related pay cut, but made it clear that Tesla employees are able to contribute to the profits of Tesla shares, which is not a benefit that publicly listed companies generally offer. Moreover, the compensation that Tesla provides to its production staff is not grossly unfair. The available data is a bit old, but as of 2018 The average Tesla employee earned $ 56,163 a year, up 81 percent than the American average. It delayed the average employee compensation for automotive competitors such as Ford և General Motors, but it exceeded the average employee compensation for some automakers such as Fiat Chrysler և it was higher than the average of some other well-off people Compensation (և more consistently profitable) technology companies such as Apple.
The CEO of Tesla has reportedly refused to receive a salary from the company, though he really has one of the performance-based stock options in corporate history (which, of course, only pays off if the company does very well what it has had over the last few years). Robert Reich returned to his original tweet with a number of comments, discouraging Musk of the union At Tesla – but which CEO greets a union leader with a big bear hugging him? I think a tweet from Tesla employees is already good, so wasting money on unions is far from a group of armed mercenaries. the real bandit barons of the gilded age was instructed to literally break the resistance of the union.
Although Musk is obviously a very rich, very powerful man, he just seems like a strange target for the Reich’s anger. As for the Walton family, who? Pay only $ 14.26 per hour for a full-time Walmart full-time employee? As for the Sackler family, who amassed wealth by poisoning thousands of Americans with highly addictive opioids, withdrew $ 10.8 billion from their Purdue Pharma in an attempt to protect it From the upcoming wave of meritorious trials Or maybe Take a look at the capabilities of DeVos, which first came from a multi – level marketing scheme, was “later” used by the DeVos brothers to create a shadow mercenary army and the other to become education secretary so that he could disrupt public schools.
The mask is far from perfect. But at least he spends his money on very good horsesMusk signed The Giving Pledge (like other business titans, philanthropists such as Warren Buffett, and Bill Gates), which promises to devote most of his fortune to charity throughout his life. And unlike many other billionaires you can call the pinnacle of your head, Musk’s money does not come from doing something horrible (actually making air-conditioning cars is a plus in my book) գալիս it does not come from his employees, who are relatively good function:
So I do not think the Reich is really a modern-day traitor, but maybe he did a little more than that. Elon Musk is a vicious genius, a rich man, but a bandit baron? I think not.
Jon Onathan Wolf is a litigation partner in a full-time Minnesota full-time company. He also teaches as an adjunct professor at Mitchell Hamline School of Law, has written for a wide variety of publications, and being financially and scientifically literate makes his business a pleasure. Any opinion he expresses is probably pure gold, but still exclusively his own և should not be attributed to any of the organizations with which he is affiliated. In any case, he did not want to share the loan. He can be reached on time email@example.com:,