>>fnbr+(OP)
As I say over and over again: equity compensation from a non-publicly traded company should not be accepted as a surrogate for below market compensation. If a startup wants to provide compensation to employees via equity, then those employees should have first right to convert equity to cash in funding rounds or sale, there shares must be the same class as any other investor, because the idea that an “early employee” is not an investor making a much more significant investment than any VC is BS.
I feel that this particular case is just another reminder of that, and now would make me require a preemptory “no equity clawbacks” clause in any contract.