Hello, my company is looking to implement an accrued vacation plan.
Currently, all employees receive 3 weeks. Does anyone have any suggestions of when vacation should increase with years of service and how much? I'd like to propose a generous, but fair vacation policy.
Does your company distinguish vacation from sick time? Certain jurisdictions require minimum paid time for personal or family illness and this benefit can require rollover at yr end. This benefit can typically be covered by a PTO policy but may impact carry over policy. Also, some states require payout of unused vacation/PTO time. It would be beneficial to determine these requirements, particularly if you have offices in more than one state and or urban area (IL, CA, NJ, NY come to mind in). This will ensure that you create a policy that has equitable benefit between locations and does not trigger unexpected cash payouts for your company. I would also suggest that this is a good time to review your FMLA policy to make sure it aligns with jursidictional requirements and both your employee and management expectations for paid FMLA leave.
Is there a max your company is willing to give?
The best I ever saw was 2 weeks the first year, an additional week on each 1 year anniversary capped at 6 weeks on the 5 year anniversary.