Siebel management appears to be sufficiently concerned and cognizant of the fact that employees get jittery during takeover rumors. The've announced a retention benefit program as reported by CNET News:

"Recent rumors concerning potential acquisitions or takeovers of the Company have created a great deal of uncertainty among the company's employees and executives, which could negatively impact employee productivity and company performance," the company said in its filing.

Under the plans, eligible Siebel employees will receive certain severance benefits during the period that begins three months before a change of control and ends one year following a change of control. The plans cover involuntary terminations "without cause" and voluntary resignations "for good reason," according to the filing.

From Exhibit 10.2, Section 2.m of the 8-K filing:

(m) "Voluntary Resignation for Good Reason" means the voluntary resignation from employment by an Eligible Employee following the occurrence, on or after a Change of Control, of one or more of the following (without cure within thirty (30) days following written notice by the Eligible Employee to the Company):

(1) a reduction of at least ten percent (10%) in either the Eligible Employee's annual base salary or On-Target Earnings;

(2) the failure to provide the Eligible Employee with benefits that, in the aggregate, are substantially comparable in value to those to which similarly-situated employees of the surviving Entity following the Change of Control are entitled; or

(3) a change in an Eligible Employee's principal work location to a location more than fifty (50) miles from such Eligible Employee's principal work location immediately prior to such Change of Control, without such Eligible Employee's written consent.

Steve Shu