Stock options have for a very long time been used by various organizations as a means of compensating their workers. Stock Options are considered appropriate by some organizations as a way of boosting employees output. Although there advantages that are related to stock options, there are also a number of disadvantages that come with them. Stock options have in recent times been losing its attraction in the faces of many organizations. Organizations are starting to doubt the eligibility of the stock options given that some of the disadvantages can affect the company in a big way.
Jeremy Goldstein, a compensation attorney in the U.S, says that many corporations are dropping the stock options way of compensation so that they can concentrate on profit making. He adds that other reasons are also making stock options unattractive.
Workers too have not been left behind in discrediting the stock options. Many of them are now saying that stock options are a gamble. They depend on the economic environment. When the economy is good, they will bear fruits, when the economy falls, they also lose value. This uncertainty has been deemed as not favorable by employees.
Stock Options also suffer from the fact that workers and corporation consider them as creating a burden in their account books. Workers on their part find a higher salary appealing than stock options. The reason this is happening is that, for a worker, it is easier to plan life without what you are certain is available rather than plan life with what may not finally come.
About Jeremy Goldstein
Jeremy Goldstein is the best compensation lawyer that you can find in the world today. Jeremy Goldstein experienced having practiced law for many years. His practice relate to corporate governance and compensations plans. Jeremy Goldstein is also actively involved in issues of mergers and acquisitions.