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Still leaves ~600mm in losses. Which is still greater than the ~350mm in losses last year. The idea that money given to employees as equity is not "real money"
by addicted 9y ago
Still leaves ~600mm in losses. Which is still greater than the ~350mm in losses last year.
The idea that money given to employees as equity is not "real money" is toxic.
- chipgap98 9y agoWhy? Don't most companies separate out their stock based compensation expenses?
- nl 9y agoOf course they do. And most separate out special expenses too.
- nl 9y agoThe idea that money given to employees as equity is not "real money" is toxic. Stock-based compensation isn't the same as cash. It has both costs and benefits, but saying it is "toxic" seems overreach.
- rrdharan 9y agoI'm not the person who wrote that but I think you're misinterpreting the statement. I believe user addicted was trying to say is that companies are attempting to treat a large portion of compensation paid out to employees as somehow not material or meaningful, and that practice is toxic.
- addicted 9y agoYes that is exactly what I was trying to convey. They are obviously not the same thing (as the comment about trying to pay rent, for example, tries to point out). But at the same time, a lot of companies try to pass them off as not meaningful which I don't think is helpful even if toxic may be too strong a term. (SNAP's figures do that literally, giving us NM for change % numbees affected by the stock compensation).
- WillPostForFood 9y agoSpeaking as someone who has received equity several times, it is not real money.
- dragonwriter 9y ago> The idea that money given to employees as equity is not "real money" is toxic. Equity is not money, and employee-owned equity often isn't easy to convert to money, especially in non-public firms (but even in public firms, employees are often bound by insider-trading rules.) Of course, costs associated with equity-based compensation are real costs to the firm, independent of the fact that equity is not money.
- atom-morgan 9y agoAm I the only one who finds the % change between $350mm and $600mm marked as "not meaningful" to be a bit odd?
- nothrabannosir 9y agoI was struggling to make rent last year. My landlord wasn’t very interested in my options.