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How to Implement an Effective Unlimited Vacation Policy

How to Implement an Effective Unlimited Vacation Policy

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If all startups around the world had a joined Slack account, then the Unlimited PTO policy would be the most commented thread. Unlimited PTO policy was able to become a hot topic and a preferred “benefit” of the modern workspace, with companies like Glassdoor and Dropbox pioneering it. Today, we’re going to discover what is it and how to implement an effective unlimited vacation policy at your workplace.

So, what the Unlimited Vacation Policy is?

Imagine you’re working in a company where your boss allows you to take as many vacation days as you want, as long as you get your job done. This is not a mere dream but a reality for a growing number of employees around the world. Those employees are working under the Unlimited Vacation Policy (PTO). However, even though this sounds fun, managers are often worried about whether the employer should pay for vacation days, does it increase the chance of burnout as well as the potential abuse of this policy. This is why organizations should think about ways of making an effective unlimited vacation policy before they start making changes.

The best tip on how to implement an effective Unlimited PTO policy would be to establish clear rules

This rule applies to almost everything in life. Simply, to make anything work, you have to make clear rules. When it comes to the Unlimited PTO policy, organizations have to ensure that employees take turns when going on vacation. You don’t want to come one day to work and find an empty office, right? Tailor the Unlimited PTO policy to your business’s needs, make a list of do’s and don’ts and make sure everyone within the organization is on the same page.

Don’t let the “unlimited vacation option” turn into a “no vacation” at all

Some statistics say that people on the Unlimited PTO policy have fewer days off than the ones on more traditional policies. To make an effective Unlimited vacation policy, you have to make sure you’re leading by example. This means you, as a manager or a boss, have to take some time off as well. By doing this, you’ll make your employees more comfortable to take time off too.  Make sure you’re showing interest in your employees’ lives and make sure they don’t head for burnout before it’s too late.

To implement an effective Unlimited vacation policy, you have to track leave

HR managers dread leave tracking; however, this is part of their mandatory weekly tasks. We agree it’s time-consuming and tedious, and they should focus their time and effort on more important things. This is why we made Vacation Tracker, a software that makes tracking leave bearable and easy. A clean and simple interface will enable managers to see their workforce capacity at any given moment, which will significantly speed up the process of approving and requesting leave. There’s not a single reason why you shouldn’t take it for a spin. Especially if you know the first 7 days are free!

Switch priorities to make an effective Unlimited vacation policy

Traditional 9 to 5 jobs are long gone, which means our focus changed. We don’t want employees just sitting there for eight hours. We want them to do things. If they can do their job in two hours – great for them! For an active Unlimited vacation, the policy makes sure you’re evaluating a task completion rather than actual hours. This way, your employees will know you appreciate their work, rather than their mere physical presence.


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