Companies spend so much on equity/executive comp but do the recipients really see the value?
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Just had a lunch meeting with a few executives of a local Fortune 100 company. We discussed their equity comp platform and the fact that so many employees (senior execs down to mid level employees) don't truly understand the equity compensation.
If they don't understand it, how are they grasping the full value?
I find it to be interesting that so much is spent on equity comp but so little attention is paid to empowering the employee to actually understand and use it.
Any thoughts?
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I just saw this great discussion topic.
Communicating the purpose and value of equity compensation is something that has not been done well at most companies. This is true even though the process is not that difficult or expensive, relative to the potential value.
There is actually a Discussion Forum on this site that is specifically focused on Participant Communication and Education. It would be great to see ECE members provide quick summaries of their Successes and Horror Stories when it comes to this issue.