Paid time-off (PTO) is something every employee weighs heavily on when making the decision to accept or decline a job offer. The basic principle of this service is simple – workers are provided with a certain number of days when they may choose to take vacation. There are many different versions of these programs – sometimes days may carry over from year-to-year if they remain unused, but other plans specifically limit the PTO to one year. Recently, PTO program trends have become less generous as employers attempt to balance benefits with the increasing demands of the younger generation.
Human resources personnel have been faced with a difficult economy during recent times, and rising healthcare costs have contributed to benefit cuts in other areas. Essentially, the question presented to employees is "What is more important – health insurance or PTO?" Unfortunately, the answer is always health insurance. Even the most affluent and respected workers acknowledge this. According to Human Resource Executive (HRE) online, PTO is not much less giving than in the past, with programs often including carryover restrictions and non-negotiable clauses.
In addition to limits in PTO plans, HRE also identified some of the future trends that may be seen in the employee benefits industry. Flexible-work arrangements (including working from home and job sharing) have remained unpopular as healthcare premiums rise, and may not see a surge in the near future. Voluntary insurance programs such as long-term care and critical illness insurance are gaining momentum, for their time-sensitive benefits will not cost a company added financial expenditure in the short term.
By employing a voluntary benefits program, it may free up some capital for increased PTO. An employee who wishes to negotiate more PTO should consider one of these flexible spending ideas as a solution.
