e3 consulting logo

contact us e3 services

The rise of unlimited paid time off (PTO)

The concept of unlimited PTO

Since the start-up world disrupted corporate culture, many of its original offerings have bled into our work culture across industries. One thing everyone pays attention to when combing through the details of a job offer is vacation time and built-in days off in a calendar year. 


Unlimited paid time off means that upper management doesn’t track days off from work, but entrusts employees with getting what they need to get done before or while taking time off. This concept shifted greatly in the time of COVID as most people were not required to show up to the office and could work remotely from anywhere. 


The concept of unlimited paid time off sounds great, but how does that work? Or rather, does it work?

Perks of unlimited PTO

Unlimited paid time off is an attractive offering to many job seekers these days. People want the security of a job with the freedom and flexibility to live their lives. And, with the rise of burnout culture, people are putting more value on work/life balance than ever before. 


It does work in the sense that it can get talent to join the team and it instills a sense of trust between employee and employer, but it is something that should be monitored so no one is taking advantage of the benefit. It also evens the playing field for all employees when it comes to taking time off.


But, sometimes it seems to be an over-promise and more of a marketing campaign to draw in talent who might not reep the benefits as they originally thought. 

Drawbacks of unlimited PTO

There are drawbacks to the concept of unlimited PTO. For example, if it’s crunch time and a significant number of staff wants to take time off, it’s unreasonable to grant them all the same days off. So, companies might set blackout dates in order to ensure staffing during busy times. Or, employees could take advantage of the benefit and go over the amount of time that most others are allowing themselves to take. Really, it’s all up to the company to decide what is right and within reason for them while still making the employees happy with whatever they do decide. 

Deciding on offering untitled PTO or not

Unlimited paid time off is something that is possible to incorporate into your employee contracts, but rules and guidelines need to be set. If you’re going to pay people while they are on vacation, the expectations of what is done while back on the job might go above what it would be if people only had two weeks of vacation. 


The main deciding factor in unlimited vacation is to establish strong communication between employees and their managers in order to have all bases covered. And, management needs to stay organized to make sure there are enough people to keep departments running while others are out on paid leave. And, it’s important to remember that not all paid time off must be used for vacation, but sick and mental health days as well. 

E3 Consulting can help 

With the ever-changing landscape of the workforce, what employees are looking for from their job changes as well. We can help walk you through programs and benefits that help create a mindful workplace, with or without offering unlimited paid time off.

Contact Us

About the Author

Leave a Reply