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Earlier this month, after pressure from AFR, workers, policymakers, and allies across the country, S&P held the line and refused to rewrite its rules to fast-track SpaceX and other mega-IPOs into the S&P 500. This important victory means SpaceX cannot be rushed into the country’s most powerful stock index on an expedited basis just because Elon Musk and Wall Street want a faster path into workers’ retirement savings. But that win did not end the war. SpaceX just went public with a sky-high valuation, a governance structure that locks in Musk’s power, and provisions designed to make it harder for regular shareholders to bring lawsuits and hold corporate insiders accountable. Nasdaq and other index providers have already opened the door to faster index inclusion, and millions of workers could still end up exposed through index funds, pensions, 401(k)s, and other retirement vehicles. We have won some battles. Musk and Wall Street have won some too. That is exactly why this fight cannot stop at one index decision, one press hit, or one protest. We have to keep fighting in Congress, at the SEC, in the media, in Wall Street boardrooms, and on the streets because the entire billionaire IPO machine is trying to turn workers’ wages into a payout system for insiders, early investors, and corporate executives.
At JPMorgan’s headquarters, Wall Street gathered to celebrate the SpaceX IPO and the massive payday it could deliver to Musk, early investors, and the banks underwriting the deal. AFR and our allies were there to expose what they wanted buried: this IPO helps insiders cash out while workers and retirees could be forced to carry the risk through index funds and retirement accounts. As I said when SpaceX hit the market, “The scene is set for wealthy early investors to cash out while leaving retirement savers holding the bag.” SpaceX is only the first test. Anthropic and OpenAI have both now filed confidential IPO paperwork. If Wall Street gets away with this model, the next wave of trillion-dollar AI companies could come to market with the same dangerous mix of inflated valuations, founder control, lawsuit restrictions, weak accountability, and retirement-fund exposure. That is the danger here. Elon Musk and other Big Tech CEOs are pushing the boundaries of how much control one person can have over a public company. SpaceX’s structure consolidates power in Musk’s hands while weakening the rights of the workers, retirees, and ordinary investors who may be forced into owning the stock through index funds. AFR is fighting on every front. We are pressing regulators, briefing lawmakers, organizing with pension leaders, exposing Wall Street’s role in the media, and showing up where the banks want silence. Musk and the banks have billions behind them. We have expertise, credibility, coalition power, and people like you. We cannot let Wall Street turn workers’ retirement savings into an exit ramp for billionaires. -Natalia. Natalia Renta (she/her)
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