Companies like Netflix, General Electric, and HubSpot have gained attention lately by offering unlimited vacations to their employees. The United States has the reputation as the "No Vacation Nation" and these programs are trying to correct that trend and address employees' concerns about work-life balance. Is unlimited vacation a short-lived fad or the way businesses are going to have to operate to attract top talent? Take a look at the benefits and drawbacks of unlimited vacation outlined below and consider whether it's right for your business.
As 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.