sometimes I get MOVE RSUs and sometimes I dont. Can someone who knows for certain how the program works explain it? how many get chosen from a team? how do they decide values? are there minimums and maximum requirements for the values and the number of people per team?
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The 2025 rule is that a maximum of 44% or 35% (depends on L1 unit) of a team are allowed to get move allocation (HR policy).
Early Talents, Executives and Catalyst have a 100% grant, the other level grants vary.
Development T1-3: 10-20%, T4-5: 60-70%
Non Dev T1-3: 10-20%, T4-5: 30-40%
But not more than 35/44% of the total team
The range for the amount of moves is limited individually based on your salary and country specifics.
Why you don’t get them every year: fairness, fairness with all the other in your team. Move distribution is always your direct managers choice.
With the new rules you typically rotate yearly so that everybody (not for low performers) get some in a 3 years window. (Most manager do it this way)
If you move along teams, it’s unlikely you ever get them
Your scenario is correct and it results in having a tough discussion with team members who deserve the recognition after a year of effort and in the end they got nothing which then results in a deep morale issue.
Used to be a time, quite a while ago, when this whole process was left to the respective managers to determine what was best for their individual teams. But like other things somebody came up with a new idea and this is what we have today.
In any case, they have eliminated certain grade levels ( .. and only in certain geographies) from getting RSU's, so it's probably only a matter of time before these disappear for majority of the employees.
You also get weird scenarios where the math doesn't work. As a manager, let's say you get an allocation of RSU's worth $20,000 and you have a team of 8 people. You might want to give RSU's to your top 3. But the minimum, which changes each yet along wtih the allocation, might be $8,000 per person. That means you can only give to 2 people. Unless you want to give back RSU's you usually max it and give $10K to each or $12 and $8. The guidance from HR is that the allocations are meaningful. So not only does person #3 miss out, #1 and #2 get even more. (numbers totally evented for the example)
The distribution numbers are decided by Board Area, by the Board itself. From that point the L1 managers distribute Shares to the various departments in their Board Area via the L2 managers.
From then the L3 ( usually VP level) get their budget and come up with a proposal ( which is also combined with the Merit Increase plan) as to who on their teams will get RSU's and also who is getting a Merit Increase.
Depending on the L2 Manager overseeing this whole distribution ( in tandem with HR business partner for advice) want to see the RSU's and above the cut Merit Increases going to those who were identified as "High Performers". This ranking process takes place early January.
There are Minimums and Maximums which are in part determined by Grade Level and the Min/Max amounts are defined by CFO office, who overall plays a big part in this whole process when the topic is discussed at Board Level Meeting
I've done this for 20 years and your respective manager should have explained why you didn't get any RSU's ( if you already received them in the past) so you are aware if it was a performance based decision or a budget issue.
Residual Stock Units..... hahahahaha
Last year they set the budget so that the minimum that could be given to a person was more than their equal share of the pot for a manager, meaning that some people had to not get them. If your on a high functioning team that means someone who deserves them is going to get sc--wed. Some managers deal this by using there bonus or merit increases to smooth oven the issue but it is SAP being arses and trying to bring the culture of Microsoft 25 years ago to germany
RSU: Residual Stock Units (virtual shares), that's to say they are paid in cash and taxed at the appropriate rate for your country. They cannot be redeemed for 'real' shares. They are paid out as per schedule.
They are granted at the discretion of your manager, usually to acknowledge performance over and above in your given role.
How many get chosen from a team?: Manager discretion
How do they decide values?: Consult your manager
Min/ Max numbers values etc.?: Consult your manager