The story of Faraday Future has now become a decade old, but it certainly cannot be called a success so far. Founded by the well-known Asian entrepreneur Jia Yuetingthe company had arrived on the scene as a bringer of great innovation, cutting-edge technology, and a competitor to nascent companies like Tesla.
In reality today we know that the business model was not sustainable, and the expensive FF91although excellent projects on paper, have been very difficult to produce and sell (only 13 delivered to date). It is therefore surprising that Faraday Future has just decided to increase CEO and founder compensationprecisely at a time of extreme financial difficulty, with liquidity proceeding inexorably towards zero.
The salary of the CEO Matthias Aydt it will pass from $400,000 to $700,000with the addition of a one-time bonus of $500,000. Not only that, there is also an “annual discretionary target bonus” of $700,000 and two annual stock grants worth over 4 million dollars.
Similar situation for Yueting, whose salary goes from $450,000 to $680,000with a $500,000 recognition bonusan annual discretionary target bonus of $816,000 and two annual stock grants valued at more than $4 million.
All this while most of the employees have been laid offand it is unclear how the company’s operations can proceed. Faraday Future, and in particular Yueting, are also in the eye of the storm for some accusations made by two employees (now former employees) according to which the company allegedly lied about the (very few) deliveries made.
According to the charges, the initial deliveries were celebrated with great pomp, three of the four had not been paid at the time of the ceremony, and the fourth was paid only 60 days after the announcement. This is according to Jose Guerrero and Victoria Xie, respectively senior director of sales and head of the launch project. The two also denounce interference by the founder, who would have always insisted on the need to announce the deliveries for increase the company’s stock valuepushing human resources to retaliation against employees who resisted.
According to the complaint, the delivered cars also had software not road testedwith no release notes to the National Highway Traffic Safety Administration, potentially violating regulations. Obviously The Securities and Exchange Commission also wants to see clearlywhich sent the company two additional subpoenas in the first half of this year.
Source: greenmove.hwupgrade.it
