Post-termination exercise window (PTE), the amount of time an employee has to buy their options after leaving a company, is a critical part of every hiring agreement. Recently companies have been moving away from restrictive 90-day periods to longer, more employee friendly windows. <\/p>\n\n
Here are five companies who have led this charge since 2013 and we expect this trend to continue in the coming years:<\/p>\n\n
They were one of the first companies to embrace longer PTE periods. They called the standard 30-day window “golden handcuffs”<\/strong> and switched to a 7-year PTE period after 2 years of service. <\/p>\n\n Michael DeAngelo<\/a>, Pinterest\u2019s Head of People stated, <\/p>\n\n It takes creative, inspired people to make something creative and inspired. But it\u2019s hard to feel this way if you\u2019re only staying because you feel trapped.<\/em><\/p>\n<\/blockquote>\n\n Expensify followed suit not long after Pinterest. They changed their PTE policy from 30 days to a 2-year period. You didn\u2019t need to extend all the way to a 7-year period to be a leader in better PTE periods<\/a>.<\/p>\n\n Coinbase took the same route as Pinterest and switched to a 7-year PTE policy. For Coinbase, longer PTE was a good system to create better employee culture. <\/p>\n\n As CEO, Brian Armstrong<\/a>, stated, <\/p>\n\n By saying \u2018you are free to leave at any time\u2019 we hope to create a better culture of people who really want to be here.<\/em><\/p>\n<\/blockquote>\n\n Buffer took a unique approach. In addition to extending PTE, Buffer offers new employees the option<\/a> to have either a $10,000 higher salary or a 30% higher equity stake. Buffer wants employees who are invested in their company for the long term and longer PTE complements this belief.<\/p>\n\n Mixpanel is the most recent company to choose to extend its PTE, opting to extend to a 5-year period after 2 years at the company. Mixpanel notes that this change is critical in the new business climate<\/a> where private companies are taking longer and longer to go public.<\/p>\n\n We are reaching a tipping point in the PTE debate. For a long time companies have discussed the desire to extend PTE to create a more fair environment for employees. With companies staying private longer and new software solutions making PTE extensions easier than ever, we expect to see a lot more companies, joining the pioneers above in creating more employee-friendly PTE plans.<\/p>\n\n And while we respect the companies above who have trail blazed new PTE models, we believe the future will be full of even more nuanced PTE plans. At Carta<\/a> we set our PTE to equal our vesting timeline<\/a> to reflect our internal culture of incremental rewards based on a long term commitment to our mission.<\/p>\n\n PTE has long been unfair to employees. eShares looked to these five companies when coming up with our own Post Termination Exercise policy.<\/p>\n","protected":false},"author":19,"featured_media":2954,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[10],"tags":[11,12,7,13],"acf":[],"_links":{"self":[{"href":"https:\/\/www-staging.carta.com\/sg\/wp-json\/wp\/v2\/posts\/1380"}],"collection":[{"href":"https:\/\/www-staging.carta.com\/sg\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www-staging.carta.com\/sg\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www-staging.carta.com\/sg\/wp-json\/wp\/v2\/users\/19"}],"replies":[{"embeddable":true,"href":"https:\/\/www-staging.carta.com\/sg\/wp-json\/wp\/v2\/comments?post=1380"}],"version-history":[{"count":0,"href":"https:\/\/www-staging.carta.com\/sg\/wp-json\/wp\/v2\/posts\/1380\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www-staging.carta.com\/sg\/wp-json\/wp\/v2\/media\/2954"}],"wp:attachment":[{"href":"https:\/\/www-staging.carta.com\/sg\/wp-json\/wp\/v2\/media?parent=1380"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www-staging.carta.com\/sg\/wp-json\/wp\/v2\/categories?post=1380"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www-staging.carta.com\/sg\/wp-json\/wp\/v2\/tags?post=1380"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}\n
Expensify<\/strong><\/h4>\n\n
Coinbase<\/strong><\/h4>\n\n
\n
Buffer<\/strong><\/h4>\n\n
Mixpanel<\/strong><\/h4>\n\n
Why does this matter?<\/strong><\/h4>\n\n
\n\n\n","protected":false},"excerpt":{"rendered":"