Thinking of implementing an unlimited PTO policy? Keep these 5 points in mind
If your company is taking a fresh look at benefits, you should consider looking into unlimited PTO. For the uninitiated, unlimited Paid Time Off is a policy that provides a bank of hours in which the employer pools vacation days, sick days, and personal days that employees are allowed to use as per their discretion. This policy has its fair share of advocates and opponents. While some believe that this policy can help employees strike a work-life balance, others worry that adopting an unlimited vacation policy can harm a company’s productivity.
Here are five tips for a successful unlimited PTO policy:
Make it appealing
Your PTO policy needs to be attractive for both prospective as well as long-term employees as it will determine if you are able to hire and retain top talent. In addition to making it enticing for new employees, it’s important that you structure it to reward tenure. Also, make sure you anchor the policy to your company’s core values. When your vacation policy is aligned with your company values, you can help your team understand why you have it and how to navigate it.
Opt for less sensational names
Instead of unlimited PTO, opt for a name that does not grab headlines. Your policy is obviously going to outline limits with regards to the amount of time your employees can take off, especially if work isn’t getting done. ‘Unlimited PTO’ leans towards self-indulgence instead of emphasizing professionalism and collaboration. You can opt for terms like ‘flexible’ or ‘responsible’ PTO to convey the purpose behind the policy.
Make it viable
In spite of having an unlimited PTO policy, managers at some companies frown down on people who opt for time off. What’s the use of having the best PTO policy in the world if your employees can’t make the most of it? If word gets out that your employees aren’t allowed to take advantage of your existing PTO policy because of company culture, you are undermining your chances of drawing top talent.
Ensure it is a two-way street
Let your employees know that the unlimited PTO policy is a two-way street. In return for offering your employees flexibility, you expect your employees to invest themselves in your company mission. If your company is doing its part to help your employees maintain a healthy work-life balance, your employees too need to ensure their work gets done well and the organization thrives.
See it through
Most employees refrain from taking additional vacation time in spite of having an unlimited PTO policy. Several individuals admit to working even when they are on leave. However, it has been proven time and again that when employees take breaks, they are more productive as they’ve had the chance to recharge. You can offer incentives to employees and encourage them to take a vacation.
If you think an unlimited PTO policy would work for your company, go for it. Keep the above-mentioned tips in mind to make it a successful one.