Rivian CEO RJ Scaringe Offered $4.6 Billion Pay Deal Modeled After Elon Musk

Rivian Automotive has approved a new compensation plan worth up to $4.6 billion for its CEO, RJ Scaringe, aligning with Tesla’s incentive model for Elon Musk. The 10-year plan ties Scaringe’s rewards to Rivian’s long-term profitability and share price growth, with milestones ranging from $40 to $140 per share. The package replaces a previous 2021 plan that was deemed unrealistic due to higher targets.

Rivian CEO – $4.6 Billion Pay Deal

The company said the revised plan aims to retain Scaringe and sustain momentum as Rivian prepares to launch its R2 SUV, a smaller and more affordable model expected to rival Tesla’s Model Y. Analysts note that Rivian’s approach underscores how Tesla’s executive-pay framework is influencing other fast-growing firms. However, experts caution that such ambitious packages carry risks amid economic uncertainties and shifting EV market conditions. Rivian’s shares closed at $15.22 before the announcement. Photo: WIKI

Business News