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by sokoloff
3255 days ago
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> To me, the first rule of rewarding someone is to make sure the recipient did all of the work before the reward. If you make them work afterward then it sours the desserts. For executives and directors, I disagree completely. The shareholders are paying them to make and execute decisions that will grow the company (and share price) over a long period of time. The share-based compensation plan should reflect (and help align) that they are being paid to make long-term decisions. Those are inherently "promise/award before the hard work is done" type of grants as I see it. (Why would I pay you more for a decision you've already made or work you already did, unless we're just talking about a modest spot bonus for a job well done?) |
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Also, stock options are worth less than nothing several times over if you are not in a position to make decisions. First, they're issued at market rate, so since they're options and not a stock grant, after fees you'd lose money selling them. Except you can't sell them because they are pieces of paper for a year.
And I know this will stick in the craw of a lot of developers, but as a non executive, any control you believe you have over the stock price is either tiny, illusory, or something the executives will take away if they notice. This is their game and to them you are a pawn, no matter how brilliant and indispensable your team and boss think you are. If you're affecting the stock price then it'll be up or out for you. You'll either be made a manager or treated as an unwanted variable.