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> The founder (or any employer) has a responsibility to shareholders to pay employees as little as possible. that's why there is equity compensation - somethin
by borism 17y ago
> The founder (or any employer) has a responsibility to shareholders to pay employees as little as possible.
that's why there is equity compensation - something that Garmin didn't provide adequately
- allyt 17y agothat's why there is equity compensation And as little equity as possible, for identical reasons. An employee is responsible for making sure the terms agreed on are ones they're happy with, not an employer. An employer has a legal obligation to shareholders to minimize the costs of her business, one in direct conflict with "being generous in compensation" to her employees.
- hga 17y agoAlthough in this case we have an engineer who was all three of employer, shareholder and employee.... And you're wrong about "minimize costs" per se. The employer has a obligation to maximize shareholder returns, for which a simplistic application of the "minimize costs" principle is seldom a solution.
- allyt 17y agoRight - you don't maximize shareholder returns by being generous with handing out stock. IMHO, being generous handing out stock is just stupid.