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a different perspective on human capital

Unlimited Vacation for All


The dreaded feeling of realizing it is only July and you are down to one vacation day might be a thing of the past. Many progressive companies are instituting a new policy called the “unlimited vacation day honor system.” However, this isn’t just for the trendy tech start-ups who want to abandon all policies. Large, established companies such as Best Buy, Netflix, and Zynga have all dropped the old 2-week vacation policy.

This doesn’t exactly mean that employees can take off whenever they want for as long as they want. However, it allows employees to take off when they feel they need it and gives them the flexibility and freedom to know they have that option. It is a way to treat employees as adults and institute an overreaching philosophy of get your work done, however you are going to do it the best.

In an article from CNN, benefits expert Bruce Elliot at the Society for Human Resource Management, states “studies have shown that employees are more productive in more-flexible working environments. They’re more engaged, and turnover is lower.”

Ilya Pozin, CEO of Open Me and columnist for Forbes and LinkedIn, lists these reasons why the unlimited vacation day policy is a step in the right direction:

– It establishes employee responsibility: Offering unlimited vacation days is a way to show your employees you trust and respect them.

– Acts a recruiting perk: This is a great way to interest potential job candidates and set you apart.

– Keep employees engaged and productive: Allowing employees to take off when they need it most encourages a more productive work environment.

– Eliminates a sense of hierarchy: Gives your entire staff a fair shot at a flexible schedule.

Flexibility is something we value at Treehouse Partners. Working in Los Angeles we see all different companies with creative policies that have led them to be successful and innovative.

Have you instituted this policy in your business? What benefits have come of it and drawbacks, if any?

Sources: http://www.cnn.com/2013/09/02/us/unlimited-vacation/, http://www.linkedin.com/today/post/article/20130730145657-5799319-unlimited-vacation-days-treat-employees-like-adults