Earlier quoted context omitted.
Depends what happens next. RSUs are taxed as ordinary income at their market value at the time they vest, so it's not necessarily bad if the stock is down. In fact, the ideal scenario is that the price drops just before your vest and then bounces back up after.
If an employee periodically vests a fixed number of shares, as opposed to a fixed dollar amount of shares, this is actually untrue. Assume an employee's marginal tax rate is 40% and their capital gains rate is 15%. Then there are 2 scenarios: 1. Vest 100 shares at $100 apiece. After tax that's 60 shares * $100 = $6000 total. 2. A sudden price drop causes 100 shares to vest at $50. After tax that's 60 shares * $50 = $…
This is only true if you "sell" 40 shares immediately at the time of vesting to pay the tax bill. Because you lose the 40 shares, you don't have as much shares to appreciate in the subsequent upswing. However if you prefer to settle your tax obligations in cash instead, you don't have this issue and you'd actually pay less taxes (assuming the upswing does materialize). It's risky though, because you're basically taking a long position on the stock, and if it falls even more, you'd lose even more money.