Employees need to take short breaks during the day to recharge during work. If they don’t, they can become burnt out and less productive. Likewise, employees need longer breaks during the year to recharge on an even deeper level. Offering paid vacation time can improve an employee’s long term health and well being within the company.
If you’re interested in allocating time off, try our free calculator.
Vacation time is just as important as the lunch break and two fifteens, if not more. Without it, an employee’s work will start to suffer. Holidays and vacations allow employees the chance to spend time with family and friends, take time out for themselves, work on new projects, or discover new places. When they do this, they return to work recharged and more productive.
HR Tools analyzed vacation and productivity in a recent article saying,
“The most productive, successful employees are typically those that utilize their vacation time and return to the office with a renewed sense of drive and determination.”
Taking time to switch focus can have a huge impact in our work and, when we’re talking productivity, we’re talking dollars. Without paid vacation time, employee productivity wanes, which is costly. Allowing employees to recharge once or twice a year helps employees to do more, better quality work.
Paid Vacation Time Laws
In the US, there are no laws mandating paid vacation time. This is not the case in many other countries, however. Look at this bar graph to see the requirements for paid time off around the world.
Some states, like California, do consider vacation time as wages. So if you offer vacation time, you must pay it out like wages upon termination of employment.
How Much Paid Vacation Companies Offer
Typically, the longer employees work for a company, the more vacation time they get. According to the Bureau of Labor Statistics, 73% of all civilian workers had access to paid vacations.
It is typical for employers to offer employees up to:
- 11 days after their first year of service
- 15 days after five years of service
- 17 days after ten years of service
These are averages reported by the BLS. The average number of vacation days varies depending on the company size as well.
Smaller and, in particular, younger companies may offer less vacation time. However, this is not always the case.
Offering Standard Paid Holidays
Paid holidays are another important benefit. These are days people typically spend with friends and family or engage in special events. They are important days because they bring us closer to the ones we love, and love and friendship make us healthier people!
Not everyone takes advantage of holidays in this way, for most of us, we’ll be picnicking in the park or cozying up by the fire with family on these special days. We then return to work with a renewed sense of calm and drive, which is always great for business.
There are about 10 yearly holidays in the US, but the most common paid holidays are the following:
- New Years Day
- Memorial Day
- Fourth of July
- Labor Day
Tracking Paid Vacation Time
The Timesheets.com accruals tracking software offers full time off tracking to make the tracking process simple. Each employee will have their own accruals set up so that their amount to accrue and even their accrual rate will be specific to them. Then, employees enter requests which employers either approve or deny.