SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Politics : View from the Center and Left
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: TigerPaw who wrote (11004)2/6/2006 6:58:06 PM
From: TimF  Read Replies (1) of 541602
 
How would things be different for an employee if her got is pay in company stock? How would it be more just?

He would have to sell some of the stock or perhaps all of it, to meet current expenses or other desired investments. Maybe, just possibly a small amount would be left in stock that the employee might have spent if he had been paid in cash, but that is far from certain. And maybe the employee is less diversified, and so loses everything (his job and his investment) if his company fails.

The commissions might make some difference but if you want to invest in something other than your companies stock you would have to pay more commissions if you originally got paid in stock (selling your stock and then buying, rather then just buying.

Well of course if I have one difference in my example, and you suppose that it is not different, then of course the outcomes would be the same. DUH!

Yes its different but it is of no significance. If I want stock I buy it, if I want more money and less stock, I sell some. The transaction is trivial. Its quick and easy. Why do you consider such an easy transaction to be a significant difference, and one so serious as to require a government mandate so that the employee doesn't have to make this easy transaction to get stock?

Tim
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News