I had this bizarre idea today. Security money for the company instead of costing anyone their job
I know many of you will slam this idea, cause who would have the time to check which employee screwed up how much and how much to secure from them. But check this out.
What if we keep some amount as security for the company to withdraw from our salary, in exchange for security against layoffs (since that's one of the biggest issues now)?
That way,
- The company will be kind of a bank that holds money and pays it back with interest (ofc the math will keep the company in favour) and while the money is with the company it will be reinvested in covering up the losses the company undergoes, thus securing the share value.
- The drop in esops won't cause losses to the employee, since he is already investing in the betterment of the company through investment.
- As employees, we'll make sure we'll be more productive, since more than half of the talent here is stupid because of the fear of layoffs.
- The repeatedly screwing employees will be given the amount back without the shares and with a certain amount cut from the corpus, and expelled (NOT fired).
Now this is an infantry idea which will have a lot of tradeoffs. It assumes that the employees will not screw up big time. Any other flaws? Shoot them. Let me know how it will play in the real world.
Hmmmm.. interesting..
And ofc there are flaws
- Company. They just don't pay. Suppose my company is going down & they use our (employees) money & still nothing works out. Now what about my money? And who knows how did they used it?
- People. (I might get criticise here) 80% of the people, just wanna do their work & go home. None of them will agree to take a paycut on the name of security or growth of company. And remaining 20% are the one who will always be looking for ways to get this money out or in some way doing some sort of fraud.
- Trust. I have two offers, one paying X with no security cut & a promise for safe future (even though I know there isn't), other paying 1.2X out of which 0.2X will be deducted in case they do some lay off or anything like that.. my first thought would be. RUN!!!!
But still an interesting idea, something to explore...!
Yes. The first thing, the bylaws need to be strong. Iff the company decides to lay off the employee, the money will be paid back. Else, it will be deducted from the so called security fund.
-
If a company is going down day by day, the amount that the employee invests into the company also goes down (as if a share value). Ideally, the losses to the employee to be paid by the company are not considered but the value of the company at a particular time will benefit the employee also. Hence employee should know when to switch. It's a grey matter question!
-
Yes, you're right. They keep their desks clean. No bullshit. But if they have that confidence that their company is not going to fire them tomorrow morning, just imagine how much more work they'll put, while juxtaposing with other companies who pay good but lay off in a year. There will be a time when it's not about the FAANG badge anymore.
-
Trust is built through work, I believe. If you work as per the company wants you to, and gives you interest on top of your salary, why won't someone choose that?
Another flaw I see in this is that the banks have customers always coming in and going, so it rarely happens that all the customers would withdraw their account money. But in company, it is possible that a group of people may decide to leave suddenly. The company will be liable to pay their amount back. Some improvement needed here.
