The previous
two posts in this series covered the trend of the paid time off bank, and donating sick leave and floating paid holidays. Today we will look at more extensive
plans of paid time off. These are much more expansive than the traditional set number
of days off per year. Instead they allow for extensive time off so employees
can recharge their batteries, care for a sick family member, bond with a new
child, or complete jury or military duty.
Paid
Family Leave
New to
California in 2004, Paid Family Leave (PFL) was designed to be “A financial
safety net for California workers when the need is there.” One of two states
that offer this type of leave (the other is New Jersey), the program was
designed to allow for any person working in California to take care of an ill
family member or bond with a new infant or adopted child, for up to 6 weeks.
The law does not protect an employee’s job, but it does guarantee wages.
Considering that the United States is the only developed country that does not
provide paid vacation by law, California’s law is revolutionary. There is a
seven day waiting period after the leave is applied for, and it is available to
any person working in California that has paid more than $300 into the State
Disability Insurance program. The
employer may not force an employee to use their vacation days before using PFL,
but they may require all sick days or PTO to be used prior to starting. There
are requirements that must be met. For example, leave must be used either in
the first year of an infant’s life or the first year a foster or adoptive child
is placed in the home. In a situation when the leave is used for an employee to
act as a caregiver, a doctor’s note must be provided. According to a study done
by researchers Ruth Milikin and Eileen Appelbaum, the program “has a positive
impact on moral of employees…and increased productivity.” With such positive
results, it is foreseeable that other states may create similar programs in the
future, especially due to the absence of related laws at a federal level.
Paid Time
Off for Special Circumstances
In an
attempt to help employees find a reasonable balance between family and work,
employers are adding paid time off for Special Circumstances into their time
off policies.
The main reasons
that employers allow additional time off:
- Jury Duty
- Death in the family
- Military leave
- Maternity, paternity or adoption
- Family illness
Just like
regular PTO, these types of situations still require notice (when possible).
Also it should be remembered that any “extra” paid days are at the employer’s
discretion. It is advised that a policy be created to address each of these
exact situations. This will help avoid disgruntled employees and provide the
comfort of knowing that they will still have income in case of unexpected leave
for a multitude or reasons. Offering this type of leave goes a long way in
showing employees that the business values their mental health and understands
that they also have a private life outside of work.
Unlimited
Time Off
Depending on
the study results, between 1% and 6% of companies are now offering the ultimate
perk: unlimited time off. Also called “flexible vacation policies,” these allow
employees to take what they need to take in order to do what they need to do.
Often found in innovative or young companies, the management offers unlimited
time off as a way to entice talent and stand out from the crowd. The employers
find that this type of policy creates an atmosphere of loyalty and prevents
stress and ultimately burn out. Often the businesses that offer this perk are
high demand and high stress. Employees are expected to work long hours and go
above and beyond the norm, but in turn they are rewarded. Employers that opt to
do away with PTO, are not throwing expectations out the window. Employees are accountable
for their work and managers are accountable for their employees. Unlimited does
not mean that limitless days are available. In order to be successful, this
type of system must be tracked similar to PTO so anyone abusing the system can
be identified. Being up front with employees on the policy and the company’s
vision of how it will work will go a long way in helping employees feel
comfortable in using, but not abusing, the system. Also, peer pressure to do
one’s job and not let it fall on coworkers shoulders is a powerful motivator.
In an
economy that does not allow for businesses to lavish monetary rewards on
employees, changing up the time off policy can show that management
understands, appreciates and cares. The balance of home and work is precarious
at best. Providing workers with the ability to take time when they need it most
is a great way to boost morale and loyalty. It also boosts productivity in the
long run because employees are healthy, rested, and less stressed.
Sources:
Baker,
Sherry. (August 2012). Trends for Paid Time Off for Special Circumstances. The Alpha Group. Retrieved December 28,
2012. http://www.thealphaga.com/pdf/Trends%20on%20Paid%20Time%20Off%20for%20Special%20Circumstances.pdf
California
Work and Family Coalition. (n.d.) Frequently Asked Questions. Paid Family Leave California. Retrieved
December 28, 2012. http://www.paidfamilyleave.org/faqs/#1
Miller,
Stephen. (April 16, 2012). Employers Offering Paid Time Off for Special
Circumstances for Employees. SHRM. Retrieved December 28, 2012. http://www.shrm.org/hrdisciplines/benefits/articles/pages/paidtimeoff.aspx
Paid Family
Leave Benefits. (n.d.) Employment Development Department State of
California. Retrieved December 29, 2012. http://www.edd.ca.gov/pdf_pub_ctr/de2511.pdf
Scherzer,
Lisa. (July 27, 2012). Unlimited Vacation Time. The Ultimate Work Benefit? The Exchange. Retrieved December 28,
2012. http://finance.yahoo.com/blogs/the-exchange/unlimited-vacation-time-ultimate-benefit-160807503.html
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