Many employers reward employees with Paid Time Off (PTO) benefits, offering workers a set amount of time they can use for personal reasons. Managing PTO requests can become difficult for human resource managers, but employee benefit consultants can offer tips and tools employers can use to maintain effective time management records.
Companies may provide PTO to employees in the form of vacation days, holidays, personal leave and sick leave. Many employers offer workers a set number of days they can use for PTO. For example, a business may provide an employee 10 business days she can use throughout the year. Organizations may offer workers additional PTO based on tenure at an organization, increasing the number of days they receive after one, two or five years. In addition, some businesses allow employees to carry PTO from year-to-year, while workers may risk losing PTO if they do not use the days before the end of the year.
PTO can be used for a variety of reasons, and an employee does not necessarily need to disclose the reason for using the time. Regardless of the purpose, workers are compensated with the regular rate of pay they receive on a daily basis or a prorated amount based on the number of hours they use. For instance, an employee may request four hours for PTO from an eight-hour work day, and would receive 50 percent of her regular pay. Many businesses provide PTO to remain competitive in the job market, making organizations more attractive to job-seekers.
Companies can employ employee benefit consulting agencies to assist human resource managers with PTO benefits. Consultants provide information about setting up PTO benefits and creating a PTO management system for supervisors and employees, giving employers a reliable resource.
