Re:Leaked Amazon memo warns the company is running out of pe...
by yazaddaruvala on Friday June 17, 2022 @07:18PM
(#31785711)
This is not me defending Amazon's comp structure (they need to improve it in many ways), just correcting the facts:
At the time of calculating an offer, all 4 years are considered the same "Total Compensation Target" i.e. no built in reduction or raise. Amazon just pays cash equivalents for years 1 and 2 - through a signing bonus to make up for the lack of stocks, and through stocks in years 3 and 4.
The stocks in for each year are calculated assuming an average of 15% growth. This can be problematic, or can be great depending on the year you join.
At the time of calculating an offer, all 4 years are considered the same "Total Compensation Target" i.e. no built in reduction or raise. Amazon just pays cash equivalents for years 1 and 2 - through a signing bonus to make up for the lack of stocks, and through stocks in years 3 and 4.
The stocks in for each year are calculated assuming an average of 15% growth. This can be problematic, or can be great depending on the year you join.
Disclaimer: Worked at Amazon for 9 years.