This won't work very well in practice. You need to pay a new employee a market rate, and if equity is going to be a part of that, it depends more on the value o

This won't work very well in practice. You need to pay a new employee a market rate, and if equity is going to be a part of that, it depends more on the value of the company than the tenure of its employees. You can very easily overpay or underpay new hires in equity if you adopt this system. It seems to make it more difficult to find the correct amount.