It's bullshit because it assumes 15% IRR. So if they tell you you're getting $100K in outyear 3, it's not actually $100K, it's $65K of present value equities. If it fails to reach the target value, well, "Ownership" is an LP. You might get some more stock that vests in another year to make up for it, but that assumes you survive the PIP factory for another 12 months.

Oh, and if the stock actually goes up more than 15%, then regardless of your performance you won't get a raise because you've already exceeded band penetration.

Thats not true. They price the stocks at current market value and tell you how many you'll get + what the vesting schedule is.