Why Employee Vacations Benefit your Business

why employee vacations benefit your businessAs small and large businesses fight to save money and become leaner in the face of rising costs, many employees neglect their vacation benefits, allowing them to expire or rollover. In fact, a 2010 survey found that 66 percent of employees had not used their paid vacation from the previous year. While that may be the sign of a dedicated employee, employers need to monitor and encourage vacation time for their employees. Here are just a few of the reasons that employees and employers benefit from employee vacation. 

Increased Creativity

Every professional has experienced seeing the trees but not the forest during a project. They've been so focused on the details of a project that they've failed to see the bigger picture until they’ve stepped away or someone else stepped in. This focus may have been well-meaning, but ultimately cost their company time and resources. Time away from a problem gives employees time to rest, recharge, and re-imagine their work challenges in new and innovative ways. By encouraging vacations, employers can reap the benefits of their employees' increased creativity. 

Better Morale and Retention

A 2014 survey by Robert Half, a Canadian staffing firm, found that nearly 40 percent of employees who did not take their vacation time during the previous year cited a lack of support and fear of falling behind if they did take their vacation. While every employee may seem indispensable, having indispensable employees is a burden to them and a risk to the company. Employees need to have support to cover scheduled and unexpected time off. This not only provides the company with uninterrupted service, but provides employees with assurance that they can take needed time off for their mental and physical health when needed. Ensuring that employees have necessary support means better morale around the workplace and better employee retention. Rather than staff feeling stressed out and overwhelmed, they can attend to their own health and wellness, saving your business time and money. 

Improved Customer Service

Everyone has a bad customer service experience where the person they were speaking to just seemed annoyed with life in general. While bad days happen, they happen more often when employees are overworked and stressed. They happen when employees are working their fourth weekend in a row or missing out on their child's recital because they couldn't find coverage. Worse, customers notice. Offering vacation time can't just be an empty promise because it affects your customers. Employees need time to attend to their sick child or take a week off at the beach to recharge. When they come back, they are not only more relaxed but happier with their employer for allowing that time off, which leads to better interactions with your customer base. 

Attract New Employees

You want to hire the best employees possible and you aren't the only one. Any employee worth their salt is being pursued by others in your industry and in today's workforce, salary isn't the only factor that makes a difference – benefits do too. Employees want to work in a culture that encourages both their growth and their personal life. By not only offering vacation time but also encouraging employees to take their vacation time, you present yourself as an employer who supports a healthy work-life balance. 

Making vacation as necessary as employee training in your workplace is essential to maintaining a healthy workforce. Mandate that managers encourage employees to use their time off and support that use by providing trained help during times off. By ensuring that employees have time to relax and enjoy time away from work, you can strengthen your own workplace. 


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