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Does Equity Compensation Count as Wages Under Federal and California Law?
Littler 
Jan. 4, 2018 "Many starts-ups -- particularly those that are initially cash-poor -- consider offering new hires equity in the business, either in lieu of or in addition to wages. While this approach would seem to solve the recruiting problem, it can lead to legal trouble. In fact, payment of employees through stock or stock options can violate both federal and California wage and hour laws.... [T]he issue is fairly complex." MORE >> |
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