So, it is actually a bit more complicated, and better than that, and long term stock grants act as a psuedo stock hedge.

This is a simplification, but imagine that there is stock worth X, that hs a 50% chance of the stock doubling in value, and a 50% chance of it crashing to 0$. You might think that this would be equivalent in expected value to X, but that is not true.

It is not true, because if the stock goes way down, you don't have to "accept" those losses. Instead, you can jump to another company, mid way through, and get back your previously high salary.

In that way you can capture the upside potential, while also being protected against the downside losses, in that if the stock goes down, you just jump ship, and get a high salary somewhere else.