3 ms·

One implication of this that I think is worth mentioning: if Amazon's stock price falls too much, if I remember correctly, their compensation plan has them gran

One implication of this that I think is worth mentioning: if Amazon's stock price falls too much, if I remember correctly, their compensation plan has them grant additional RSUs to employees to make up the difference.

deegles 13y ago
As a recent hire, I'm interested in learning more about this...
- hiddencost 13y ago
  (Disclaimer:I'm not a current employee, and I don't remember how it is supposed to work but,) check out the docs on the ERC pages about RSUs, I think it goes through it there. If I recall precisely, it's actually _performance bonus_ RSUs that are subject to this, not the RSUs from the regular grants. EDIT: thinking more specifically, here's what I recall (I browsed the doc as an intern last summer): I believe that performance bonuses (which vest over a year?) are given a cash-value target in addition to a fixed # of RSUs to be granted. If, at the end of the year, the value of the RSUs (at time of grant) are less than the cash-value target, additional stock units are added to cover the difference. This is the hazy memory of an intern, so, take it fwiw.
  - srdev 13y ago
    As a current employee... its not really a bonus since they're pretty consistent about the value of RSUs you get each year. Otherwise, yep thats pretty accurate. They have a number in mind that they wish to pay you. A portion of that will be in salary, and a portion of that will be in RSU's. At the time of the grant, they'll give a number of RSUs that have a cash value for the remainder that isn't covered by your salary.
ryanobjc 13y ago
As a former AMZN'er I find that hard to believe. The company is cheap - it's in the bones. There is no way the company would ever agree to give more of it's loot over to employees if it wasn't forced to via regulation. Now, Google's "GSU" programme does have an adjustment that is based on company, personal and stock performance via a magical formula that only HR/management knows.
- hiddencost 13y ago
  See my response to the other responder for further specification. I'm an extremely questionable source. Amazon's "Frugal" was certainly everywhere, which is why I remember being surprised by seeing those terms in the performance bonuses.

deegles 13y ago

As a recent hire, I'm interested in learning more about this...

hiddencost 13y ago
(Disclaimer:I'm not a current employee, and I don't remember how it is supposed to work but,) check out the docs on the ERC pages about RSUs, I think it goes through it there. If I recall precisely, it's actually _performance bonus_ RSUs that are subject to this, not the RSUs from the regular grants. EDIT: thinking more specifically, here's what I recall (I browsed the doc as an intern last summer): I believe that performance bonuses (which vest over a year?) are given a cash-value target in addition to a fixed # of RSUs to be granted. If, at the end of the year, the value of the RSUs (at time of grant) are less than the cash-value target, additional stock units are added to cover the difference. This is the hazy memory of an intern, so, take it fwiw.
- srdev 13y ago
  As a current employee... its not really a bonus since they're pretty consistent about the value of RSUs you get each year. Otherwise, yep thats pretty accurate. They have a number in mind that they wish to pay you. A portion of that will be in salary, and a portion of that will be in RSU's. At the time of the grant, they'll give a number of RSUs that have a cash value for the remainder that isn't covered by your salary.

ryanobjc 13y ago

As a former AMZN'er I find that hard to believe. The company is cheap - it's in the bones. There is no way the company would ever agree to give more of it's loot over to employees if it wasn't forced to via regulation. Now, Google's "GSU" programme does have an adjustment that is based on company, personal and stock performance via a magical formula that only HR/management knows.

hiddencost 13y ago
See my response to the other responder for further specification. I'm an extremely questionable source. Amazon's "Frugal" was certainly everywhere, which is why I remember being surprised by seeing those terms in the performance bonuses.