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by freehunter 3189 days ago
That's where stock instead of cash makes sense. If you are solely responsible for the direction of the company and overseeing the execution of that direction like a c-level executive, you should get paid in stock. If you do your job right, your stock value goes up and you become richer as a reward for doing a good job. If you do poorly, you lose money as a punishment.

If a CEO is making $100m per year in cash, there is no incentive to do a good job. Especially if they do so poorly they get fired, which means they get a $500m bonus as a reward for being fired.