I don't disagree with having incentives for employees, but think they should be based on above average results.
My experience has been that salaries were to cover average employees and bonuses, stock options and other incentives were for above average performance.
Just because everyone seems to be doing it does make it correct or the right thing to do.
My point is if it is proper that the company employees and management get incentives whether stock options, bonuses or other things while the shareholders which are the true owners of the company do not share in the process? If bonuses, stock options or other incentives are broadly given then shouldn't the investors who put their cash at risk share in the rewards?
My point is that in the two year time frame being discussed originally management got theirs, but the shareholders did not. The only thing the shareholders have is shares of stock and the dividend and if the share price does not increase where is their return? In this case the share price decreased much more than the dividends paid, but options were still given.