A few years ago, I was approached for an interview by a company which offered a very unique perk: unlimited paid holiday.
It was the first I’d heard of this perk and it seems to be predominantly offered from tech companies. It got my interest certainly, but I decided the overall role wasn’t quite right for me.
It did get me thinking though – why do companies offer unlimited paid holidays? I researched a little about it and spoke to a few people to get their thoughts. Common feedback was: ‘No one would ever go to work!’, ‘Staff would just abuse it’ and ‘Surely they wouldn’t actually give you as much as you want.’.
I didn’t look past these common objections, but the more I looked into it, the more they seemed less like objections and more like misconceptions. Forbes covered this in depth in an article, as did Sky News. An extract from Forbes stated that ‘research shows that if you consistently work more than 40 hours a week and don’t take vacation, you become ill, your family is negatively impacted and your productivity goes down.’.
I remember reading a transcript of an interview between a journalist and Netflix’s CEO wherein the CEO was asked whether staff abuse the perk, the CEO said, ‘We have no dress code policy, but staff don’t come in naked.’.
From looking into the topic myself, these seem to be the top 3 reasons why more and more companies are offering this perk to their staff.
Finding and hiring the best staff is very important to a company’s success. A company which offers a great working environment and perks attract the over top talent. They get more applications for a vacant position and ultimately a better pool of candidates to choose from.
The very best staff want to work – they want to challenge themselves. They want to work with like minded people. These top staff are extremely unlikely to accept a role where the working environment is awesome and then abuse it.
Staff are happier and also more productive when they know they can take time off whenever needed. It’s like being in a room, you become more desperate to leave if the door is locked, rather than open.
Companies which offer this perk will have staff in the offices who want to be there. They won’t be discussing their lack of holiday and wanting to get away, they will be working hard and with energy.
No severance issues with holiday pay
Every time a member of staff does move on, HR have the job of calculating how much time off the member of staff is owed (or owes). This perk negates the need to do this, as the member of staff simply leaves without having anything owed to them.
Offering unlimited paid holiday seems not only beneficial to finding the best staff, but also serves as a great way to look after them.
Over to you!
What are your thoughts on this perk? Do you believe this perk will help attract the best staff?