© Reuters. FILE PHOTO: The Tesla logo is seen at the groundbreaking ceremony for the Tesla Shanghai Gigafactory in Shanghai, China January 7, 2019. REUTERS/Ally Song/File photo
(Reuters) – Tesla (NASDAQ:) has put five proposals to a vote at its annual shareholder meeting on May 16, including co-founder JB Straubel’s nomination to the electric car maker’s board.
The proposals — disclosed in Thursday’s filing — also contain one investor’s decision to prepare a risk report for a key person from the company whose reliance on CEO Elon Musk has raised concerns.
Typically, Tesla shareholders vote largely in line with the board’s recommendations. Last year, only three out of 13 proposals were voted against recommended.
Here is a quick overview of the proposals:
Board nomination
Straubel, who resigned in 2019, is set to return to the company if investors vote to nominate the former chief technology officer to the board.
Best known for his work on battery technology for Tesla and its Model 3 compact sedan, Straubel has spent the past few years with Redwood (NYSE: Materials Inc) — a battery recycler he co-founded.
President Robin Denholm and Musk are set to be re-elected.
Repeat non-binding vote on executive compensation
Tesla said shareholders would vote on how many times they would prefer a non-binding advisory vote to executive compensation.
The board said investors will choose between one, two and three years for a non-binding vote on executive compensation, adding that it recommends a three-year interval.
Investor proposal on key persons risk reporting
The proposal by Iceland-based company Sumtris ehf seeks to identify key people, succession processes and other “measures to mitigate the effects of their potential loss”.
Concerns about Tesla’s dependence on Musk, who also heads several other companies including social media company Twitter, which he bought for $44 billion last year, have deepened.
The electric vehicle manufacturer urged shareholders to vote against the proposal, saying it “would cause undue competitive harm.”
Executive compensation
The board also asked shareholders to approve the compensation plan for the four executives — Elon Musk, Tom Chu, Andrew Baglino and Zachary Kirkhorn — on an advisory basis.
Appointment of an independent registered public accountancy firm
Tesla asked investors to vote for PricewaterhouseCoopers to continue as its auditor for the 2023 financial statements. It said PWC has been auditing the automaker’s financials for the past 17 years.