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Employment contracts and more equity may be the answer. Contracts are already a feature of some companies for some employees. It would be very interesting if a
by staunch 8y ago
Employment contracts and more equity may be the answer.
Contracts are already a feature of some companies for some employees. It would be very interesting if all good startups started doing this for all employees. It might make them a lot more competitive with the big players.
It could guarantee that employees walk away with some amount of fully vested stock and cash regardless of why they leave. It could promise a minimum of raises/bonuses/equity on a schedule. It could also formalize things like remote work, equipment, schedule, vacation, insurance, etc.
The idea would be to formalize in legalese the exact nature of the business relationship. Treating the employee with the respect they really deserve, and not like a disposable "at will" cogs. It puts more of the onus for an employee's success on the company. Any good startup should be happy to do this. The bad ones would likely resist it.
- flybrand 8y agoContracts are tough when the employer isn't able to honor them. That forces the employee to vet the fairness of the offer and the employers ability to pay it out if needed.