> Many software companies offer equity, which makes employers the shareholders. What's good for shareholders is also good for a lot of tech employees.
I am skeptical about this. At public companies, it seems like in general shareholders do an ineffective job at reigning in management. See e.g. all the discussions around executive pay, as well as the proportion of shares that are held through passive funds.
Within tech in some cases (e.g. FB) extra means were taken so that shareholders have even less control than is typical.
Within private companies, employees with vested options typically have far less visibility into company finances than do the VCs, and certainly don't have a board seat or the ability to vote. I.e. being an employee shareholder at a startup often gives you no ability to see whether management is actually working in your interest, and certainly no special input into corporate governance.
(Lack of) Control and overseeing management in public (and private) companies is a whole another issue entirely, and it affects all the shareholders alike. I don't think unions help here - they just make everything more complicated.
But the point is - if the company granted me some equity, than I participate in the upside and even if certain decision seems not perfect for me as a employee, and they "just benefit the shareholder", I am too a shareholder, and at least I might get some dollars to wipe away my tears.
I am skeptical about this. At public companies, it seems like in general shareholders do an ineffective job at reigning in management. See e.g. all the discussions around executive pay, as well as the proportion of shares that are held through passive funds.
Within tech in some cases (e.g. FB) extra means were taken so that shareholders have even less control than is typical.
Within private companies, employees with vested options typically have far less visibility into company finances than do the VCs, and certainly don't have a board seat or the ability to vote. I.e. being an employee shareholder at a startup often gives you no ability to see whether management is actually working in your interest, and certainly no special input into corporate governance.