Layoffs and Equity: What Happens to Your RSUs and Stock Options
A WARN notice announces a planned layoff but does not determine how stock options or RSUs will be treated. Those outcomes depend on the equity plan, grant agreements, and any separation agreement, so workers should review these documents early because deadlines can be short. The WARN Act itself requires generally 60 days' notice of qualifying closings or mass layoffs and sets no rules on vesting or exercise. Vested RSUs that have already been delivered typically remain owned, while unvested RSUs and options are usually forfeited at termination. Vested options commonly must be exercised within a plan-defined window, often 30 to 90 days, or they expire.
This is an AI-generated summary. ShortSingh links to the original source for the complete article.
Discussion (0)
Log in to join the discussion and vote.
Log in