equity compensation


Senior Member
France, French

do you have any idea what 'equity compensation' means in the following sentence :

'the employee will participate in the equity compensation under the Stock Option plan.' ?

Could it be: 'l'employé aura une participation en actions dans le plan de Stock Option?'

It doesn't sound quite right to me...

  • Kelly B

    Senior Member
    USA English
    I think you understand it correctly, but I'm not sure of the best way to say it.
    An anglophone guess: l'employé bénéficiera d'une récompense en forme d'actions...? D'une régime d'actionnariat des salariés (found in granddictionnaire.com for employee stock ownership plan, which is what I understand this to be.)
    Please wait for advice from the natives.


    Senior Member
    Français Canada
    equity compensation = avantages sur capitaux propres

    Définition : Accord formalisé ou non formalisé en vertu duquel une entreprise consent, à un ou plusieurs membres du personnel, des avantages sur capitaux propres.


    Senior Member
    Canada; English
    "avantages sur capitaux propres" would be used in an unincorporated business. In a corporation, one talks of "stock option plans", "stock appreciation plans" or "phantom stock option plans". The form of compensation differs under the plans, but each one relates the value of compensation to the company's share price. In the present case, the employee-executive will have the (time-delayed) right to obtain shares in the company at a fixed predetermined price; he benefits if the share price rises above the so-called exercise price of this option. To benefit, the employee-executive has to actually purchase the shares. Under the other two compensation schemes, the employee does not actually purchase the shares but receives cash for the appreciation in value of the shares between two dates.
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