SpaceX employees celebrate IPO success outside Hawthorne facility
SpaceX’s record-setting Initial Public Offering (IPO) is transforming the financial lives of thousands of its current and former employees, many of whom are now millionaires thanks to stock options received as part of their compensation.
For workers holding stock in private companies, IPOs represent a pivotal moment. Previously restricted from selling shares, employees now face timelines, known as “lock-up periods,” that gradually permit the sale of their holdings. This transition is creating a significant financial influx for a diverse range of SpaceX employees, including those in technical roles like rocket design, as well as support staff such as baristas and janitors.
Interviews with SpaceX employees outside their Hawthorne, California facility reveal their varied plans and reactions to the IPO’s success.
One process planner expressed gratitude, stating, “Elon is the best. Go Elon!” Another employee, who had already achieved millionaire status, noted the upcoming “lock-up period” as a key moment to “actually sell some of it and that’ll feel a little more into the wealth.”
Juan Hernandez, a former SpaceX welder, shared his experience of receiving $10,000 in stock upon hiring in 2015, unaware of its future immense value. Now working at Blue Origin, Hernandez holds approximately 6,500 SpaceX shares, potentially worth nearly $880,000 at the IPO listing price of $135 per share. He believes stock options foster better performance by giving employees a sense of ownership.
The Wall Street Journal reported on J. André Lavoie, a 63-year-old former SpaceX engineer living in Italy. His shares are valued at over $28 million, with plans to renovate a hotel and explore investing in cleaner heating solutions for his community. Lavoie commented on the unexpected growth, “Every year the shares have been going up so radically it keeps messing up my life plans.”
Maryellen Musselman, 27, who joined SpaceX in 2022 and worked on rocket part retrieval ships, invested 10% of her salary into additional shares. She plans to use her windfall to start a ship repair business in Chesapeake, Virginia, highlighting that “Mariners are not usually stock owners in their companies, they’re not always under benefits.”
Tom Mueller, SpaceX’s first employee hired in 2002, who led key propulsion projects like the Merlin and Raptor engines, told FOX Business that the IPO would be “life-changing” for employees. He recalled Elon Musk’s early advice: “Your salary is one thing, but it’s the equity that’s gonna be worth something.” Mueller affirmed, “That day is here. It’s great.”
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