How Shopify’s ESOP Program Is Now Becoming a Problem

Known for taking a tough management course: Toby Lutke, founder of Shopify from Coblenzo

Known for taking a tough management course: Toby Lutke, founder of Shopify from Coblenzo
Reuters/Lucas Jackson

Shopify, the software startup founded by German Toby Lutke, actually announced a company-wide pay change for this month. It has now been postponed, as confirmed by a spokesperson. The new regulation, which should give employees more flexibility in the distribution of employees’ shares and cash in their salary packages, was announced in April.

“This is a major undertaking that will need to be designed with care and diligence to meet various legal and regulatory requirements,” a Shopify spokesperson told Business Insider. “We look forward to launching the new program as planned when it is fully ready in the fall.”

Secret layoffs?

The delay in the new compensation program comes amid reports that the Canadian e-commerce company is secretly laying off employees from various teams. According to a media report About 50 employees have been laid off since April – partly because of pay inequalities that may have arisen as a result of the new remuneration structure. Shopify disputes that account, but did not respond when asked about the exact scope of the layoffs.

See also  BMW M2 Competition Pull Race E46M3 and E36M3, all have manual gearbox

LEAVE A REPLY

Please enter your comment!
Please enter your name here