At that scale, of course. But what I observe is that the inequity (through lack of information) starts at day one: the first employee (often for a startup with zero code written yet) signs up for 1% because this is "industry standard" and because they believe that the investors and option pool is the bulk of the remaining 99% -- not realizing that the two founders might hold 80% of stock. And the inequity keeps propagating: the fifth employee agrees to 1/20th of what the first employee had, and so forth.

I really think non-founding employees (especially early ones) would be shocked if they saw what the cap table really looked like when they signed up.