Microsoft pays Sinofsky not to work at these companies
The ‘ban’ on Sinofsky joining those companies extends until December 31, 2013, and as soon as next year starts, the experienced executive would be free to seek new employment. ‘Ban’ here is only a figurative way of explaining the situation. In reality, Sinofsky signed an agreement with Microsoft that would grant him a whopping $14 million in stock options. All of these spicy details were revealed in Microsoft’s annual K-10 filing with the U.S. SEC.
Here are the 7 companies that Microsoft prohibited Sinofsky from joining:
Of course, we’ve heard before about secret ‘no poaching’ agreements between the behemoths of Silicon Valley, but now we are seeing a top level executive getting paid to abstain from working there after his employment has been terminated.
1. xperiaDROID (Posts: 3736; Member since: 08 Mar 2013)
Urgh...Steve Ballmer...He should change his name to Money Mortimer.
15. roldefol (Posts: 2855; Member since: 28 Jan 2011)
Changing up the sig, are we? Have you noticed you're the only one in the comments (besides TROLL®™) with one?
22. roldefol (Posts: 2855; Member since: 28 Jan 2011)
Hey, at least he changed it. "Greetz." was definitely wearing thin.
Rol de Fol, Esq.
3. Credo (Posts: 558; Member since: 19 Apr 2012)
Put al that cash into Windows Phone if u want it to be competitive .....
It's like Microsoft doesn't know but Android is already on 4.3, when will Windows Phone 8.05 arrive??? 2014??? Shame on you Microsoft! And this comes from a Windows Phone user! I hope you read this ;-)
4. pokharkarsaga (Posts: 336; Member since: 23 Feb 2012)
He's the only lucky person on the planet getting paid after leaving the job.
5. alterecho (Posts: 465; Member since: 23 Feb 2012)
They are paying someone partly responsible for Surface and RT, both of which they admitted has been a huge loss, to not work at competing companies? They are actually doing the competitors a favor.
And they can't hire someone to fix the problems.in the OS.
6. Chakra (Posts: 97; Member since: 02 Dec 2009)
Hey Microsoft, where can I send my resume. I'll work for half his salary, and when I equally create a debacle, I'll only take half the payoff not to create similar debacles in other companies.
8. nlbates66 (Posts: 131; Member since: 15 Aug 2012)
let see, not prohibited from working for Samsung, HTC, LG or Sony, Problem? :)
20. cam-whore (Posts: 164; Member since: 21 Feb 2013)
Yup, Sinofsky is all about innovation, they don't need someone who isn't a copycat. They'd rather hire someone who used to work from Xerox...
9. _PHug_ (Posts: 377; Member since: 11 Oct 2011)
Getting paid 14 mil to not work!
This guy is a genius.
11. PhoneCritic (Posts: 329; Member since: 05 Oct 2011)
Wow!!! Talk about American companies stupidity! CEO(S) that bankrupt companies and effect million of American workers lives get Million dollar golden parachutes when they exit Workers get simply 2 weeks pay for every year you worked at the company which is chump change.
Executives who's plans are utter failure and cost the company almost a billion dollars leave and get paid millions not to work at competing companies. Normal rank and file worker makes a mistake, that doesn't cost the company 1/4 of what the exec did, gets fired and is escorted out like a criminal with his stuff in a box. This poor soul must file for a minuscule unemployment benefit then look for new work.
However, the Exec, that cost the company almost a billion dollars, gets paid 14 million not to work at any other company. Now tell me there is not something wrong with the American corporation system? It may seem Draconian but I really think the government should step in and make Board of directors and CEO responsible for their companies failure and tie all compensation to their performance. Company takes a lost- no golden parachute of stocks or cash for anyone. In fact the only people to get compensate are the rank and file workers, who through no fault of their own, when the company goes belly up should get the millions divided among them as unemployment benefits instead of the tax payers picking up the tab, Guarantee you have a lot more successful company plans.
12. PhoneCritic (Posts: 329; Member since: 05 Oct 2011)
Sorry about the rant but thing like this just burn me up!! Just like the billions Google, Apple, Microsoft, Cisco, etc.. keep off shore to avoid paying taxes on. They take all the american manufacturing jobs ( and now programming jobs ) and ship them to china for cheap labor. They bring back their goods to America to sell at a premium. Guess what? we can't but their goods because we don't have Jobs!!! Republican, Democrat or independent. We all agree if an American company ( founded and incorporated in America held territory) then they need to pay their fair share of taxes. Congress should not ask them how much is fair but just like they tell me and you as individuals you pay this on this much - it should apply to these corporations as well. you don't pay you don't get to sell your goods in America and you incorporation are null and void. Your patents are not recognized either.
Glad I'm not president because Steve Ballmer, Tim Cook, John Chambers, Googlels execs every multinational corporations board of directors etc.. would all be in a corporate Jail cell until the IRS got paid. lol
13. MartyK (Posts: 651; Member since: 11 Apr 2012)
It's going to be hard to do that since they own the people (Congress) who wrote the laws, not to mention you would have poor people (who don't own investment let alone companies) aka their lapdogs crying you're anti business anti American.. Etc etc, you know how this works, good try tho.
14. scarecrowsyn (Posts: 1; Member since: 26 Sep 2012)
The article says "stock options". In other words, they've granted Steve the option to purchase stock at a set price. $14 million in options isn't worth anything unless the grant is at a lower cost than current market value, and it's worthless if he doesn't exercise those options.
MS hasn't paid him anything, really, and they've only agreed to take a hit of $x per share IF he buys up to $14 million of specific stock.
16. antifanboy14 (Posts: 45; Member since: 26 Nov 2012)
14 million that could have been spent on the advancement of the windows phone OS. personally, i think it's about time they stop calling the OS by that name.
18. InspectorGadget80 (Posts: 5173; Member since: 26 Mar 2011)
Now this is cool of him getting paid not too work. I would say pay me 16 billion dollars or higher.
21. crazymonkey05 (Posts: 41; Member since: 20 Nov 2012)
They forgot canonical hahaha that would hurt windows if he took a job over at conical....poor microsoft