The vacation policy offered an attractive incentive. Jennifer, a media specialist in Atlanta, took 28 days of vacation during her first year at work. She said that her managers encouraged a healthy work-life balance.
The company eventually changed its mind and began offering unlimited paid time off. Jennifer, a travel enthusiast, was initially thrilled. What was meant to be an added benefit soon turned out to not be so. Hoarding and snitching took place during the time off.
Jennifer, who did not want to be identified, said: “It reached the point that people started counting other people’s paid leave.” Travel + Leisure, “and saying ‘So and so took 67 days off, I’ve only taken 35, how is that fair?'”
Jennifer’s employer is currently in the process to revoke the policy for the department.
“People hear you have it and are like ‘Oh my gosh, I’m so jealous, you have unlimited PTO.’ My experience has shown that it’s really not what it seems.
Are unlimited PTO policies the dream workplace policy of well-off travelers, or should you be careful with what you wish?
Perception and Reality
In the last decade, employers have hailed unlimited PTO as the ultimate recruitment tool. They are trying to achieve work-life harmony.
While still rare—data from the Society for Human Resource Management or SHRM indicates just 7 percent of American employers offer it—the policy is very much in demand. A recent survey from Empower The study found that one-fifth of American employees would not be interested in a job if the company did not provide unlimited vacation time.
Julie Schweber is a senior advisor with SHRM. She told T+L that “there’s a powerful message” when an organization offers unlimited PTO. “It says ‘We value you. We believe in you. We believe you will complete your task. I can’t come up with a better way to motivate or retain employees.”
As one senior systems engineer in the Detroit area, who asked to remain anonymous, found out, this retention tool can go awry quickly. He has not reaped the benefits of his company’s unlimited PTO. My manager has subtly informed me that I am perceived to be taking too much vacation time. How do you intend to travel when that is hanging over your heads?
The unlimited days cannot be deposited or paid at the end. He has given up on the concept. “I think the idea of unlimited PTO is more of a PR trick and a way that a company can avoid having to provide a quantifiable advantage,” he said.
The Option
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A.J. Stackawitz is a senior executive and office manager for a small business in Denver. She loves the unlimited PTO policy of her team. Her husband is an airline pilot, and traveling is important to her family. She admits that flexibility is a plus, even though it doesn’t allow her to completely unplug. She must stay on top of her critical tasks and respond to calls, emails or texts even when she is taking time off.
“We should be doing the things that we need,” she said. “I might be in Hawaii with my family for two weeks but I need to check my email or book someone’s flight on one of those occasions.”
It is important to note that sick leave is distinct from other forms of leave. Stackawitz does a thorough clean-up before she leaves and is fine with an occasional check in. She claims that the policy is working well for her.
She said, “It’s hard to turn back now.” Just knowing that there is an option to choose from can boost morale. It’s an exchange that I can appreciate and, in the end, it’s well worth it.
The Balance Question
For every company, unlimited PTO is not the best option. Before implementing it, employers need to consider these factors:
- The importance of a culture that values trust and respect.
- The management of workload and performance must be effective. For example, you might need to set limits on the number of days off that employees can take during certain seasons or get prior approval.
- The policy must also be clear and fair.
Schweber added, “Otherwise you get this guilt creep. Shaming someone for taking PTO.”
The creeper is widespread. This creep is widespread. recent Harris Poll Nearly half of American workers (47%) report feeling guilty about taking time off, and nearly the same number (49%) get nervous when requesting time off.
If people are afraid to disconnect, even unlimited time off will not fix this problem. It is true that when implemented well, it allows employees to unplug and travel. A lack of clarity or guardrails could turn what is perceived as an excellent perk into something that’s a pain.
Jennifer has experienced this first-hand.
“If I heard ‘unlimited PTO’ now, it wouldn’t have the same appeal,” she said.
