google for “os x man page” and then the topic
ie/ os x man page gzip
or open terminal & use man directly
-j stores all Files into the zip, but at the same level. “Other Folder” isn’t included.
Well maybe I misunderstand.
The only Mac I can use is an emulated Snow Leopard and it works as I would expect via terminal:
cd myfolder
zip -r myfolder.zip *
I am sure you could get it to do the right thing by specifying the path to myfolder - there must be a way.
( If not I’ll just stfu and go play on Windows 
)
My Source:
SaveZip(f As FolderItem)
[code]Dim mf As FolderItem
mf = GetFolderItem("").Child(“MyFolder”)
mf.CreateAsFolder
Dim t As TextOutputStream
Dim abc As FolderItem
abc = mf.Child(“ABC.txt”)
t = TextOutputStream.Create(abc)
t.Write(“bla bla bla”)
t.Close
Dim of As FolderItem
of = mf.Child(“Other Folder”)
of.CreateAsFolder
Dim nw As FolderItem
nw = of.Child(“new.txt”)
t = TextOutputStream.Create(nw)
t.Write(“bliblablubb”)
t.Close
Dim sh As New Shell
// OS X only
sh.Execute("zip -r " + f.ShellPath + " " + mf.ShellPath + “*”
[/code]
Beside zip command line tool, you can also check MBS Compression Plugin for some cool zip file classes.