Giving employees stock options used to be a more common practice than it is today, according to legal expert Jeremy Goldstein. This was due mainly for four reasons, with the first being to save money. The other reasons included that situations sometimes happened where the value of the company’s stock dropped so far that employees couldn’t exercise their options. This was one of the reasons that some employees didn’t like this way of paying them, and additionally companies didn’t like them because it created burdens for those in their accounting departments. Learn more: https://www.slideshare.net/JeremyGoldstein14/22nd-annual-naspp-presentation-2014
There were advantages to offering this form of compensation, though. The biggest was that it motivates them to work hard so that the company succeeds and is value goes up, making their options worth more. Jeremy Goldstein says that if company’s want to offer these to their employees it’s best to follow a strategy known as “knockout” which means that if the share falls below a certain specified value then employees lose their ability to exercise their options. This resolves many of the problems, he says.
Jeremy Goldstein is an expert when it comes to compensation issues. His specialty is executive compensation practices. He focuses on helping companies resolve issues in particular when a mergers and acquisition transaction is being contemplated. He has been a lawyer since August 1999 in this legal specialty.
In June 2014, Jeremy Goldstein formed his own law firm, Jeremy L. Goldstein & Associates, LLC, in New York City. Among the many well-known firms he has advised are United Technologies, The Dow Chemical Company, Verizon Wireless, J.P. Morgan Chase & Co, and Bank of America Corporation.
Jeremy Goldstein has a number of college degrees. At Cornell University he earned an art history degree and at the University of Chicago he got a master in this subject. He started attending the New York University School of Law in 1996 and in 1999 he was given his Juris Doctor, Law. HIs professional career started in that same year when he starting working for Shearman & Sterling LLP.