Restricted Stock Units(RSUs)

RSUs work like stock options, with one difference: The employee does not have to buy them. 

As the company goes public or reaches a solid valuation, it offers RSUs to employees at a rate that will not dip during the ‘gestation period’ of a few years.

Employees can cash in the RSUs after the stipulated time at the price decided earlier, so there is no surprise or disappointment.