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00:00:00 – 00:07:35
The video delves into the compensation structure and challenges at Amazon, focusing on the "Amazon cliff" where employees receive a four-year stock package with changing stock allocations. The speaker discusses the limited financial benefits at Amazon over four years, highlighting promotions with increased workload but minimal pay raises. They compare Amazon's incentives with external opportunities offering higher pay and bonuses. The concept of the "four-year cliff" is explored, emphasizing the importance of seeking new challenges for growth and avoiding complacency. Personal experiences underscore the value of continuous learning and seeking new roles for mental stimulation.
00:00:00
In this segment of the video, the speaker discusses the “Amazon cliff” and the compensation structure at Amazon. Employees receive a four-year stock package with a breakdown of base salary, bridge cash, and stock allocations each year. Year one gives access to 5% of granted shares, year two gets 15%, year three gets 40%, and year four gets 40%. The speaker provides examples of how compensation may change over the years based on base salary, bridge cash, and stock grant percentages. The speaker explains the risk and reward associated with stock performance and the potential impact on overall compensation.
00:03:00
In this segment of the video, the speaker discusses their experience working at Amazon for four years and questioning the worth of staying due to the limited financial benefits. They describe the structure of promotions at Amazon, highlighting the increased workload and minimal pay raise attached to promotions. The speaker compares the financial incentives at Amazon with opportunities outside the company, emphasizing that they can secure the same job title with a substantial raise, stock options, and bonuses elsewhere without taking on extra responsibilities. They note that Amazon’s approach aims to recycle talent by not providing significant financial incentives to long-term employees.
00:06:00
In this segment, the speaker discusses the concept of the “four-year cliff” where staying in a role for too long can lead to complacency. They emphasize the importance of constantly seeking new challenges and opportunities to grow financially and mentally. The speaker shares their personal experience of leaving a job after four years for personal and professional development. They highlight the value of seeking new roles for mental stimulation and continuous learning to avoid stagnation.