Unlimited Holiday Policy

What is an Unlimited Holiday policy?

An Unlimited Holiday policy is still the exception rather than the norm, but there has been a trend in the last few years to adopt more flexible paid time off policies. This trend is particularly prevalent in SaaS companies. 

Why is an Unlimited Holiday policy important?

By offering flexibility you may attract highly qualified candidates who require the flexibility of an unlimited holiday policy. The Company may also benefit because Staff will be encouraged to use holiday time, instead of simply accruing time off, with resultant increases in productivity. Staff who are encouraged to take time off – instead of simply accruing holiday time – may be more rested, relaxed, re-energized and, therefore, more productive.

Additionally, a policy that allows for unlimited time off may also encourage more efficient use of work time.

There are of course potential drawbacks. Some of the disadvantages include the fact that Staff will have less guidance regarding how much time off is permissible. Moreover, such a policy will not work for every type of worker. For instance, workers whose jobs require on-site presence, such as customer service positions, would not be able to take “unlimited vacation” and still perform the functions of their jobs.