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> Employees who have been with the company several years get stuck waiting 6 months to sell any shares at which point the stock is well under water preventing a
by kasey_junk 8y ago
> Employees who have been with the company several years get stuck waiting 6 months to sell any shares at which point the stock is well under water preventing an exodus of talent.
This is largely only true of employees paid in options right? I thought Uber had been using RSU for a long time, which would prevent 'under water' conditions.
- angstrom 8y agoThey are, but there are still some startups that use options. At least the liquidation is easier with the RSUs, but it doesn't prevent the fall off post IPO as people wait (rightfully so) to see quarterly results employee cashouts before taking a stake in whatever the narrative is. Switching to RSUs was a good decision, particularly after so many Google employees were borked with underwater options around 2008 that took until about 2009 to correct.