The fundamental question is really misleading. > Are there any other management practices where one would > optimize for former employees at the expense of cu

The fundamental question is really misleading. > Are there any other management practices where one would > optimize for former employees at the expense of current > employees? As a founder, you aren't optimizing for either case. The unexercised options were granted to former employees, based on the work they did. Extending the exercise window is a policy specifically to help all employees (current, former, future) in making financial decisions.