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Unlimited PTO…  The Pretend Time Off with Addam Gordon & Ulises Orozco of PTO Genius


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But we have unlimited time off! Why would anyone not want to join a company with such a progressive time off schedule? Asked founder Sanjeev. 

Two reasons, One PTO is a perk not a reason for joining a company. People will join and stay at your company when they believe in your vision and experience professional growth. 

And Two, your company is a start up. No one is going to believe that with the aggressive production cycles that they can just take off and take advantage of this policy. 

Our guest today: Adam Gordon & Ulises Orozco, Co-Founders of PTO Genius

With over 30 years of HR tech experience and a focus on employee benefits and leave management.

Adam & Ulises are serial entrepreneurs who founded PTO Genius to help companies increase job satisfaction, attract/retain top talent and lower payroll liability by re-imagining what employees can do with paid time off.

Today we discuss:

  • The pros & cons of Paid time off structures
  • How to implement the right structure for your unique company
  • Challenge today with Paid Time Off?

    Potential liability for the company because it creates an environment where not self managed, managed like a traditional policy. Too dependent on the individual manager approval.

    • Using unlimited as a marketing tool. But there really is no unlimited
    • Creates more legal liability
    • People either don't take time off or too much time off
    • The bedrock to unlimited PTO is good culture. The bedrock of trust which can NOT be managed by managers. 
    • Why is this important to the company?

      • Culture
        • Trust
        • Mutual respect
        • Accountability
        • Unlimited PTO looks desirable to avoid the liability of the employment contract
          • Avoid the management 
          • Payout at the end of employment
          • Rick’s Nuggets

            • PTO is not a reason why people join your organization
            • How PTO is managed/supported is a snapshot of your leadership style (which is the root of why people stay or leave your company)
            • Benefits & perks are icing not the cake.
            • How do we do implement the right PTO policy?

              Questions to Ask First: Can we trust our employees? Do I want to give managers the authority to manage when people are away?

              • Starts with leadership and how you value the employee
              • Communication- transparency
              • Being Vulnerable as leaders
              • Start with the right culture. Most startups should start with a traditional PTO model

                • Better to keep yourself out of a legal liability. 
                • Can't eat the cost of litigation
                • Employees with unlimited PTO end up taking fewer vacation days than their limited PTO counterparts (13 days versus 15 days).  SHRM source link HERE
                • If you want to implement an unlimited PTO policy

                  • Ask yourself if you are really built for it?
                  • Don't call it a “unlimited” policy but a “Self Directed” PTO
                  • Document the policy
                    • Define non starters- set up bumpers
                    • Manage that everyone has access to time off
                    • Encourage time off
                      • Creative time off incentives
                      • Assignment & tracking should be no disruption to workflow
                        • Set up a calendar where people know when people are off
                        • Hand off before someone goes away
                        • Rick’s Nuggets

                          • Look at your company values and align your PTO policy with that which aligns with your leadership style
                          • Key Takeaways:

                            • Unlimited policy- do you meet the above criteria. Is it truly self directed?
                            • Proactive hand offs
                            • Guest Contacts:

                              Website: PTO Genius

                              LinkedIn: Adam Gordon or Ulises Orozco

                              Twitter: Adam Gordon or Ulises Orozco

                              ...more
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