eh?Your logic is entirely illogical.Giving them shares instead...

  1. 3,805 Posts.
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    eh?

    Your logic is entirely illogical.

    Giving them shares instead of cash means:
    1. less cash drain
    2. greater incentive to perform
    3. they get 'paid' less if they don't perform

    If their rem is expressed in cash, but the company doesn't have much cash, that doesn't mean the directors go hungry. It just means they need to find cash somewhere, eg via a (discounted) raise or by borrowing.

 
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