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Employee vacations are on the rise – but so is work-related stress

An uneven work-life balance can make for an unhappy team, which can result in poor productivity and work quality — even causing some to look elsewhere for a new role. So, why are employees still suffering from an uneven work-life balance in the trend of unlimited PTO? Many still don't take the needed break from the daily grind to rest and recharge, ultimately increasing work-related stress. Let's explore more about unlimited PTO, the rise in work-related stress, and how you as an employer can help address uneven work-life balance for your teams.

What is unlimited PTO?

Unlimited PTO is exactly what you think it is, a policy that allows employees to take as much time off as they need. The stipulation that goes alongside this policy is that time off shouldn't interfere with their work or business operations. This type of policy deviates heavily from the traditional set number of days of PTO an employee can accrue in a given year.

This policy works by an employee requesting days off — much like a traditional PTO — with their manager being the ultimate deciding factor when it comes to approval. These days off can range from a day or two to several weeks at a time, which can make employees feel like they have more control over their time and can help them balance their home life with their work duties.

Why is stress also trending?

Companies that utilize this type of PTO policy might actually see employees underusing their time off. As the Society for Human Resource Management states that a common problem observed by organizations that use this type of policy is that some employees take far less PTO than those who accrue the typical two paid weeks per year. This can result in employees spending far more time at work than at home, causing burnout and stress.

Employees may also feel that there are no clear expectations regarding PTO, causing confusion and hesitation when it comes to using this time for vacation, holidays, or other periods where time off is needed. If your team doesn't have faith in its leadership, this may also result in stress as they might fear that even requesting time off might result in its disapproval, or even repercussions associated with taking time off.

"As an employer, it's important that you cultivate a culture and policies that encourage your workers to take their vacation time so that they can come back feeling rested and recharged."

What does this mean for you?

While a moderate level of stress can be viewed as evidence that your employees are invested in their work, extreme and pervasive stress can be seriously detrimental to workers' productivity and job satisfaction. Stress, development, and work-life balance are a few of the factors that contributed to one in three workers looking for new employment in 2023.

And that's not to mention the impact of stress on employees' overall well-being. Some side effects employees may suffer from when it comes to stress and poor work-life balance include:

  • Loss of sleep
  • Feeling depressed
  • Weight gain
  • Nightmares about work
  • Physical illness
  • Fights with spouse or significant other
  • Fights with coworkers
  • Strained relationship with family
  • Weight loss

Strategies to reduce employee stress

There are many different strategies to employ that can help reduce employee stress, enhance work-life balance, reduce turnover, and improve employee morale. Some may be simple — such as implementing complementary policies — while some may be more challenging, including a shift in manager mentalities. Here are some strategies to consider:

Implement a PTO minimum

Provide more direction to your team by adding in details to the unlimited PTO policy that outlines the minimum number of days everyone has to take each year. This can start at two weeks, which is common among accrual PTO policies. This ensures that your team is at least taking time off. Some policies may also outline the number of consecutive days off someone must take at least once a year. This prevents team members from only taking a day or two off sporadically throughout the year.

Foster a culture of work-life balance

Work-life balance starts at the top of the company hierarchy. Your team won't want to take advantage of the unlimited PTO policy if the leadership team doesn't. Ensure that not only team members but also managers and executives take time away from the workplace to recharge. This can make your team feel more comfortable requesting time off themselves.

Support your employees and managers

When it comes to the stress around requesting time off and the approval process, ensure your employees feel supported. Implementing policies that help prevent unilateral denial, requiring those who are denying the PTO request to submit support that shows why a team member might not be able to take time off at that time. This can help your employees feel more at ease and trust their managers when it comes to requesting vacation time.

Vacation time is a major factor in maintaining a healthy work-life balance. However, as the numbers show, there's more to it than just using vacation days. As an employer, it's important that you cultivate a culture and policies that encourage your workers to take their vacation time so that they can come back feeling rested and recharged.

More tips for improving employee satisfaction

Employee engagement surveys are a great way to learn about your team and how they feel about their work experience, which can give direction when it comes to addressing satisfaction.

Learning other ways to improve the employee experience can also help boost staff satisfaction and reduce turnover.

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