Elon Musk lashed out in opposition to “phony social justice warriors” on Wednesday after Tesla was booted from a key inventory index that tracks sustainable and socially acutely aware firms.
The mogul’s rage got here after Tesla was faraway from the S&P 500 ESG index, an inventory of firms that rankings company S&P World believes are making “significant and measurable sustainability-focused enhancements.” ESG stands for “environmental, social and governance.”
About $65 billion is listed or benchmarked to the S&P ESG index, in comparison with greater than $13 trillion for the general S&P 500 — which incorporates Tesla — according to Barron’s.
Tesla have been buying and selling down 6.1% at $715.08 round mid-day on Wednesday.
In a blog post explaining the change, S&P cited accusations of racial discrimination and poor working situations at Tesla’s California manufacturing facility, in addition to Tesla’s dealing with of federal investigations of crashes involving its autopilot function.
“Whereas Tesla could also be taking part in its half in taking fuel-powered automobiles off the street, it has fallen behind its friends when examined via a wider ESG lens,” S&P Dow Jones Indices’ ESG chief Margaret Dorn wrote.
Whereas the S&P 500 ESG index not consists of the world’s largest producer of electrical automobiles, it nonetheless incorporates firms like Apple and Amazon, in addition to one of many world’s largest oil producers: Exxon-Mobil.
Musk ranted concerning the transfer and singled-out Exxon on Wednesday.
“Exxon is rated prime ten finest in world for surroundings, social & governance (ESG) by S&P 500, whereas Tesla didn’t make the record!” Musk wrote on Twitter. “ESG is a rip-off. It has been weaponized by telephone social justice warriors.”
In a follow-up tweet, Musk accused S&P World Scores of getting “misplaced their integrity.”
The mogul additionally posted a meme saying that ESG scores decide “how compliant your online business is with the leftist agenda” with the caption “Regardless of Tesla doing extra for the surroundings than any firm ever!”
Musk has additionally ranted about ESG previously.
“Cease the outrageous false ESG assessments, the place Tesla will get a nasty grade, however an oil firm can get a great grade,” Musk wrote earlier in Might. “Complete gaming of the system!”