Most American workers are workaholics and refuse to take time off work. Studies reveal that more than half are leaving their vacation time unused. While most businesses appreciate the dedication and commitment of hardworking employees, employers need to encourage workers to take time off and enjoy their summer vacations. It will do wonders not only for their physical and mental health but their overall job-performance in the company.
Employees need a break from the job and office. Vacations show employees that you care about their hard work and contributions to the company, and you are willing to give them time off to relax and enjoy time with their families.
Now Companies Are Offering Flexible or Unlimited Vacation Time
Many managers are not just encouraging employees to take summer vacations but urging them to take needed vacations throughout the year. In fact, more companies are flirting with the unique concept, called flexible or unlimited vacation time. An unlimited vacation policy in your employee benefits & compensation package can work as effective employee benefits in some company environments and cultures.
With unlimited vacation time, employees can take as much vacation as they like as long as they get their work done. Unlimited vacation is relatively new, and the concept became popular among innovative companies in Silicon Valley. However, companies outside Silicon Valley are slowly attempting to incorporate it into employee perks for new-hires.
Offering unlimited vacation time can attract and retain top talent. Furthermore, with unlimited vacation time, companies do not have to pay employees for unused vacation time when the employee leaves the firm, or the company downsizes. So, there is a financial benefit to companies who incorporate these policies into their employee benefits packages.
In most cases, unlimited vacation time is offered to salaried, “exempt” employees and not hourly employees (nonexempt) since vacation days or time are considered a part of hourly workers’ pay. Nonexempt employees usually follow traditional vacation policies for paid time off.
The Rewards of Encouraging Employees to Take Vacations
Whether your company embraces an unlimited vacation time or traditional vacation time policy, the benefits and rewards for your company and employees are the same. Companies who encourage their employees to take a well-deserved vacation may cause their employees to experience the following positive results:
• More Energy and Rejuvenation
Vacations can rejuvenate your employees and boost their energy level. Abandoning the everyday work routine and escaping to a summer getaway can help employees recharge and return to work with new perspectives and insights regarding their work and the company.
• An Increase in Job Promotions and Raises
The more vacations an employee takes can impact their job promotions and career advancement. An article in Harvard Business Review, states that “people who took fewer than 10 of their vacation days per year had a 34.6% likelihood of receiving a raise or bonus in a three-year period of time. People who took more than 10 of their vacation days had a 65.4% chance of receiving a raise or bonus.”
• Enjoy Better Health and Well-being
Taking vacations can reduce the risk of chronic health problems. The Framingham Heart Study discovered that individuals who did not take vacations for several years were more prone to experiencing heart attacks or develop coronary heart disease than their co-workers who chose to enjoy a relaxing vacation. Vacations will keep employers healthier, which will reduce company health care costs. Healthier employees will boost productivity.
Companies should view their employee benefits plans and policies for vacation time as a valuable investment to the company. Moreover, CEOs and upper management should lead by example and take time to enjoy a vacation and break from the office, too.
When your employees see that you are taking advantage of vacation time, they will realize the value of taking vacations and follow your example.
Encouraging your employees to take a vacation not only makes good practical sense but, it makes good business sense as well. Making sure your employees take summer or periodical vacations throughout the year will keep them healthy, engaged, loyal, and productive to the company.