$9 billion cybersecurity firm Tanium is enforcing its RTO policy by denying employees some equity

"The $9 billion cybersecurity company Tanium is cracking down on its return-to-office policy this year in an unconventional way: it is withholding a form of compensation from those who don't comply. As of this summer, Tanium employees who violate the RTO policy risk not getting an "equity refresh," according to three people familiar with the matter. Tanium employees typically receive shares as part of their compensation package when they first join the company, and they may be eligible for an "equity refresh" or additional equity after a specified period of time at the company."

"While Tanium CEO Dan Streetman has said at companywide meetings that going to the office was important, leadership hasn't verbally or in written communication announced to the company that RTO may be tied to equity grants, sources said. Stock options and other forms of equity-based compensation are a crucial part of the startup ecosystem. They entice early startup employees with the promise of owning a stake in what could be the next big thing."

"Those shares can lead to a big payday down the line if the company goes public or gets acquired. Not receiving additional equity grants can significantly reduce a startup employee's compensation package. Tanium did not respond to requests for comment from Business Insider. Many companies across the US, including AT&T, Microsoft, and Amazon, have been attempting to reduce remote work. Some companies have terminated employees who don't comply with their policies. Withholding a form of compensation for those who don't return to the office is relatively rare, experts say."

Tanium is enforcing return-to-office requirements by withholding "equity refresh" grants from employees who violate the RTO policy. Employees typically receive initial stock grants and may be eligible for additional equity after a period; withholding refreshes can materially reduce overall compensation and future upside. CEO Dan Streetman emphasized office presence at company meetings, but leadership has not formally notified employees that equity eligibility is tied to RTO compliance. Equity-based compensation is a key incentive in startups and can yield large payouts if companies go public or are acquired. Withholding compensation for RTO noncompliance remains an uncommon enforcement tactic.

Read at Business Insider