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I think this is perhaps overly pessimistic. In general if you are getting RSUs and the share price tanks, you’ll get bumped back up with a refresher grant. The
by theptip 3y ago
I think this is perhaps overly pessimistic. In general if you are getting RSUs and the share price tanks, you’ll get bumped back up with a refresher grant.
The big public companies are making sure that your annualized total comp is in the right range, because if it isn’t (so the assumption goes) you’ll just move to another BigCo that will cut you a fresh grant at market rate.
- red-iron-pine 3y agothat is a very California way of looking at it. Non-competes don't work that way in a lot of places, and few companies outside of the largest would deem to throw that kind of compensation at people if the stock falters -- and only for certain tiers of employees. IBM would just fire you. Ditto for most of the other F500 sphere.
- theptip 3y agoFair. Perhaps I should be more specific: if your RSUs are <= 10% of total comp, as you say the employer might not top you up, and so conservative rounding down may be more reasonable. If your RSUs are closer to 50% of comp, rounding to zero will unreasonably hurt your comp comparisons, both by sheer magnitude of the grant, and because employer will definitely be conscious of regrants. Not all CA tech companies give huge RSU grants, but the biggest ones tend to.