Ed Parnell's Cunning Plan

I been here and there with receding hair…

Zynga to employees: Give back our stock or you’ll be fired | The Digital Home – CNET News

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Zynga followed that strategy. But now the CityVille and FarmVille maker apparently wishes it hadn’t, according to a new report.

Citing industry sources, The Wall Street Journal reported today that Zynga CEO Mark Pincus, along with his top executives, decided last year as they were preparing for an initial public offering (IPO) that they had given out too much stock to employees. But rather than accept that reality, the executives reportedly tried a different tactic: demand employees give back not-yet-vested stock or face termination.

In order to determine which employees would be asked to give stock back, Pincus and his executives tried to pinpoint workers whose contributions to Zynga–in the execs’ eyes–didn’t necessarily justify the potential cash windfall they could receive when the company went public, the Journal claims. One Journal source said that Zynga executives were especially concerned with not creating a “Google chef” scenario.

via Zynga to employees: Give back our stock or you’ll be fired | The Digital Home – CNET News.

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Written by edparnell

November 13, 2011 at 6:08 pm

Posted in Business, Crime, Money

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