Photo by Toa Heftiba on Unsplash
This week I have had some discussions around paid time off and
about hiring/retention. They are interrelated. Most companies offer time off to
be competitive in recruitment and retention. However, paid time off is also
important for employee health, and it is a good internal control measure for
the company. However, let's focus on paid time off as a recruitment and
retention tool. Paid time off is especially appreciated by younger employees.
Many employers try to keep track of what other employers are doing
in order to stay competitive in the marketplace. Since there are really no
rules federally or in Texas for vacation/sick/PTO/holiday time, employers can
be fairly creative in designing their programs and have a lot of options for
how they structure their paid time off programs.
There are still some companies that have no paid time off or any
kind, but most companies have at least some. Here are a couple of questions for
consideration:
- If an
employer feels that an employee who takes all of the time allowed under
their policy is somehow taking advantage of the employer, then should you
be offering that much paid time off?
- If an
employee feels they cannot take the time off permitted under their
employer's policy (regardless of the reason), then is your paid time off
really an effective retention tool or could it be a source of
dissatisfaction?
In asking these questions, I am not talking about unscheduled time
off. It is always a problem to have to shuffle schedules without notice,
although there is no way to avoid it occasionally. What I am talking about is
scheduled time off that does not exceed the amount of time permitted under the
policy you made.
Paid time off is a part of an employee's compensation. Just as an
employee would feel cheated if you shorted their paycheck, they often feel
cheated if you short them on time, whether it is because you express
frustration if they ask for time off or they know there is so much work to do
that taking the time makes them feel guilty.
Is your time off policy a true reflection of the benefit your
company offers or is it a false promise?
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