Equity compensation is one of the fastest growing categories of employee pay. More and more Canadian workers are seeing some form of employer-issued equity (via stock options, restricted share units, employee purchase plans, etc.) offered as part of incentive compensation packages. However, little attention tends to be given to the fine print that accompanies equity pay.

Last year the Ontario Superior Court awarded a former Microsoft employee 23.75 months’ pay in lieu of notice following his without cause dismissal from employment. The court’s award included damages for stock awards that would have vested during the applicable notice period.