CEOs receive record pay for Musk-inspired remuneration plans

Elon Musk’s unprecedented corporate compensation packages have made it possible for CEOs at other S&P 500 businesses to get enormous bonuses.

According to AFL-CIO data, the average salary of his S&P 500 peers increased by 21% to $22.8 million in 2025. Even when the CEOs of Tesla and SpaceX are excluded.

Since the major US union federation started gathering this information in the 1990s, this is the largest number.

According to union officials, the increase was caused by the increasing number of multimillion-dollar compensation plans that were influenced by Musk’s agreement at Tesla. Which could be valued up to $1 trillion if he accomplishes all potential goals.

In November, a restricted stock plan that valued the electric vehicle manufacturer at $158 billion was approved by its shareholders.

According to this year’s edition of the AFL-CIO’s Paywatch research, the median salary of S&P 500 CEOs was $340.1 million last year, including that amount. Because of his involvement in the satellite and artificial intelligence business SpaceX, Musk also became the first billionaire in history.

According to AFL-CIO secretary-treasurer Fred Redmond, Musk’s pay «changes the dynamic when other CEO compensation plans are considered, as boards of directors use it as a benchmark,» in a phone interview.

Redmond pointed out that the emergence of AI and the Republican-led National Labor Relations Board, which union officials perceive as antagonistic to union organizing efforts, are holding back employe wages.