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PTO Benefits for Employers: How Employee Time Off Can Boost Productivity

11/14/2023 Written by: AP Employee Benefits

Employers who encourage their employees to leverage their available paid time off benefits oftentimes realize increased productivity levels amongst their employee population. Paid time off is often seen as one of the most valuable benefits to an employee when evaluating a position, yet it can often be one of the most underutilized benefits. By encouraging employees to use their paid time off, employers can anticipate them to come back rejuvenated and more productive.

In a recent survey from Deloitte, 77% of respondents indicated that they have experienced burnout in their current roles. Burnout can include a broad spectrum of engagement from working extended hours, decreased interest in daily tasks, and lowered engagement in company culture. The survey also found that burnout is not specific to one gender or generation and that it is widely felt across all demographics and seniority levels of an organization.

Let’s explore some of the potential benefits that an employer may notice when they’ve encouraged their employees to leverage their paid time off.

  1. Stress Reduction and Mental Health Improvement – Using available paid time off can significantly support an employee’s ability to de-stress and disconnect from the workplace. When an employee’s overall job satisfaction increases, they oftentimes are more engaged and innovative in their work.
  2. Increased Employee Engagement – When an organization has employees who are engaged in the workplace, they often see results directly correlating to productivity levels and a renewed sense of collaboration across teams and departments.
  3. Work-Life Balance – The pandemic brought about a renewed sense and importance surrounding an employee’s work-life balance. Ensuring that an employee uses their PTO to keep this balance in check can be a great way to improve this rating throughout your organization. This can demonstrate to your employee population that you value their time spent outside of work with their families.
  4. Enhanced Problem Solving – Taking time away from work in creative environments can help an employee come back to work with a fresh perspective and more innovative thinking processes. Encouraging employees to take a creative sabbatical with their PTO can be a great way to demonstrate an organization’s dedication to innovation.
  5. Burnout Prevention – The consequences of employee burnout are far-reaching. From job dissatisfaction and employee disengagement to lower productivity rates, burnout can have a significant negative impact on an organization.
  6. Increased Talent Attraction and Retention – Offering competitive paid time off packages is one way that employers can not only attract top talent but also retain the talent they currently have. Having employees who are satisfied with this employer benefit makes them less likely to be looking for better options in the marketplace.
  7. Improved Employee Health and Well-Being – Employees who take paid time off regularly are less prone to chronic conditions. Having a healthy workforce leads to a more productive workforce.

Ensuring that PTO utilization is included in the communications plans of your organization’s wellness program will promote the value the organization places on the well-being of its employees. Now is a great time to review and refresh your organization’s paid time off policies and evaluate if they are being used as a tool to attract and retain your top talent. Connect with your local AssuredPartners office to explore communication strategies that encourage the utilization and responsible scheduling of PTO.


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