PROMOTING WELLBEING THROUGH LEADERSHIP
While unlimited PTO plans have established a negative reputation due to statistics showing people may be inclined to take less time away, this strategy can only be successful in organizations with strong leadership and managers who truly have their employees’ well-being at the top of their minds.
We extended our unlimited PTO policy in 2023 from directors and above to include all corporate employees. Thankfully, with the leadership team having already established these norms for themselves, our teammates were able to utilize this new benefit knowing they would have generally supportive managers.
From a bottom-line standpoint, this company policy change has positive implications for operations, recruiting, and financial significance as opposed to banked time, but it also provides a great benefit to the mental health of the employees themselves.
Brianna Cox, People Experience Manager, Marathon Health
CULTIVATING INNOVATION WITH RESTED TEAMS
We offer unlimited vacation to prioritize employee well-being and foster a culture of trust and accountability. Our philosophy is that a well-rested and satisfied team is more innovative and productive, aligning with our commitment to sustainability and ethical practices.
A unique example of this policy’s success is when one of our team members took extended time off to volunteer for an environmental conservation project overseas. Not only did this experience enrich their personal growth, but it also provided valuable insights and inspiration that they brought back to our company. This initiative led to the development of a new product line made from recycled ocean plastics, directly influenced by their volunteer work. The impact was substantial.
Employee satisfaction scores increased by 27%, reflecting a happier, more engaged workforce. Additionally, our new product line contributed to a 33% rise in sales within six months, demonstrating the tangible business benefits of our unlimited vacation policy. This approach not only supports our employees’ personal development but also drives our mission forward, proving that investing in our team’s well-being translates to business success and innovation.
Chaitsi Ahuja, Founder and CEO, Brown Living
EMPOWERING EMPLOYEES WITH TRUST
Unlimited PTO is easier to manage at a high level, and it also shows our employees that we trust them and encourage flexibility. If they want to take time off and are getting their work done, then we want them to be empowered to take time off when needed.
Corey Schwitz, CEO and Founder, Skydog Ops
ENHANCING CREATIVITY WITH TIME TO RECHARGE
Our employees often face high-pressure situations, particularly around major holidays and events. Providing unlimited vacation allows them to take necessary breaks to decompress and recharge, leading to better performance and more innovative ideas when they return.
For example, one of our lead designers took an extended vacation to explore botanical gardens and flower markets in different countries. This time off allowed her to gain new inspirations and insights, which she then incorporated into our product offerings. The resulting designs were a hit with our customers, demonstrating that the freedom to take extended breaks can directly enhance our creative output and business success.
Additionally, the unlimited vacation policy has fostered a culture of trust and mutual respect. Employees are more motivated and engaged because they feel valued and trusted to manage their time responsibly. This policy has also been a key differentiator in attracting and retaining talented individuals who appreciate the flexibility and autonomy it offers.
Rishi Dhuck, Director of Business Development, Bloomen
RESULTS-ORIENTED APPROACH TO TIME OFF
We have a few reasons for this approach to time off:
1) We’re results-oriented rather than hours-oriented. As long as our employees are getting their assigned tasks done, the exact hours they work isn’t important to us. This is true both on a daily scale, with flexible hours, but also on a broader scale. If someone can knock out a project fast enough to have a week or two clear in their schedule, then taking some time off isn’t going to negatively impact anything.
2) Turnover is expensive. We spend far more money on recruiting, interviewing, training, and onboarding new hires than we do on lost productivity due to vacation time. By providing employees with the time off they need to manage their lives, we’re fostering loyalty and longevity, which benefits the company in the long run.
3) It makes HR practices easier. We don’t have to worry about tracking PTO hours, paying them out to departing employees, or any of that paperwork.
Nick Valentino, VP of Market Operations, Bellhop
UNLIMITED VACATION AS EMPOWERMENT STRATEGY
At the Ling app, the introduction of an unlimited vacation policy is more than a lucrative benefit—it’s our way of exhibiting trust in our employees and acknowledging their hard work.
From my experience as the HR manager, I’ve found that providing this policy fosters an environment where employees feel more in control of their work-life balance, leading to reduced burnout and increased productivity. A memorable instance was when one of our developers utilized this policy to take periodic stress-relieving breaks. Not only did his overall performance improve, but, relaxed and inspired, he concocted innovative ideas that considerably amplified app functionality.
Unlimited vacation fosters personal accountability too. When entrusted with this liberty, our team members tend to prioritize their responsibilities effectively. They better align their work schedule with the company’s needs, ensuring their absence doesn’t impact the team’s function. It’s much more than a perk; it’s an empowerment strategy, driving home the belief that our employees are our most valuable asset. And it works—our team expansion and user growth are direct testimonies to this practice.
Jarir Mallah, Human Resources Manager, Ling
FLEXIBILITY TIED TO CLEAR PERFORMANCE STANDARDS
Our goal, especially as we look to keep our team and employees happy from 2024 onward, is to offer maximum flexibility while maintaining clear standards. Our main point is this: You have to hit your targets. If you can achieve your goals in fewer hours each day or get everything done ahead of time, then your time is yours, and that’s perfectly fine.
This approach also simplifies our administration. We don’t need to track vacation days or have a complicated approval process for time off. This creates more freedom and simplicity for our internal teams, especially HR. Since everyone has metrics to meet, we know when they’re performing well. We don’t worry about how much time off they take. A few extra days here and there don’t really matter in the long run.
Krish Chopra, Founder and CEO, NPHub
UNLIMITED PTO WITH REASONABLE LIMITS
We offer an unlimited PTO benefit with limitations. For example, we allow team members to take up to two weeks off whenever they need to, but this isn’t something that can be done every month.
We offer this benefit because we know firsthand that sometimes things come up and you need to step away, whether it’s a planned vacation, burnout, or an emergency. We want our team members to feel confident that they can take a considerable chunk of time off and still have a job.
The reason we coined it as “unlimited” is there’s no hard number we follow. It’s very flexible, and we are always willing to work with team members when they need to use this benefit.
Chris Christoff, Co-founder, MonsterInsights
AUTONOMY AS THE ULTIMATE PERK
Our policy as a “remote-first” company is to treat our employees as professionals who don’t need strict supervision, so we believe that giving independence and autonomy is the best vacation of all. We don’t restrict employees from taking time off work whenever they desire, but we do expect our work to get done on time and to be done well.
However, how they spend their time away is up to them. Our employees are adults who can act responsibly, and we want to create an environment where they feel trusted and valued. We don’t want to present them with a list of rules that they must follow.
As long as they do their job well, we don’t restrict their personal lives. Vacation can be 365 days a year as long as they find the time to “do the work”—and if you love your work, are you ever really working?
Jason Smit, CEO, Contentellect
TRUST IN QUALITY WORK OVER QUANTITY
You’ve spent all the time and money to hire the best people you can. Trust them to make good decisions about how they spend their time. In the end, what matters to us as a company is delivered work (and quality over quantity at that).
Unlimited PTO helps people be their best selves, and their work quality will always be better. Somewhat ironically, the biggest issue we’ve found with offering unlimited PTO is convincing folks to take it at all.
Setting a good example as a manager and taking time off yourself is essential to encourage others to do the same.
Taylor Sloane, Co-founder, HelpDocs
UNLIMITED VACATION AS EMPLOYEE FILTERING
Offering unlimited vacations actually acts as an employee-filtering strategy. We are a boutique agency, so we can’t afford to have employees who have a normal “employee” mentality. I need people who take maximum responsibility for their work (essentially, people who could be business owners). If a person looks at unlimited vacations as a selling point to join our company, they are probably not a great fit.
I think the concept of paid time off is outdated. Task-oriented focus is better, not only for the business but also for work-life balance.
Chad DeBolt, Founder, Surchability
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