A stock grant is a type of compensation given to an employee by a company in the form of company stock. This grant is typically given as a reward for good performance or as an incentive to retain top talent. The stock grant is usually subject to a vesting period, meaning that the employee must remain with the company for a certain amount of time before they can fully own the granted stock. This encourages employees to stay with the company and aligns their interests with the company’s success. The value of the stock grant is determined by the current market value of the company’s stock at the time of the grant. Once the vesting period is complete, the employee can sell the stock or hold onto it for potential future gains. Stock grants are a common form of compensation in the tech industry and are often used as a way to attract and retain highly skilled employees. They can also be used as a way to align employee interests with the company’s long-term goals and performance.
