PTO in a Pinch: Navigating Workload Surges

PTO requests can spike during the summer, holidays, or a particularly sunny day. As a result, this can feel like a tidal wave for HR professionals and managers. Fortunately, you don’t need to sacrifice your productivity or sanity to navigate this peak.

PTO 101

In the United States, small businesses are not required to offer their employees paid time off (PTO). However, you can still offer it to your team. PTO helps workers prevent burnout and avoid a stressful work environment. Additionally, it can improve their productivity and morale.

Moreover, understanding your company’s PTO policy will ensure that your employees’ benefits are maximized and that employees take time off in a way that fosters a healthy work-life balance without jeopardizing productivity.

Allowing a “long lunch” here and there as PTO builds your team and helps them relax. Have a friend in town? That is no problem; your employee may take a few hours for lunch. Yes, this practice possibly requires a little more oversight, but it hasn’t caused any issues in our company. We see an employee come in early or stay a little later to finish their work, but no one has taken undue advantage of this type of “bonus” PTO.

What is PTO?

The term “paid time off” refers to any paid leave employees receive from employers. These days can be used for vacations, sick days, personal days, or anything else employees need to take a break from work. Compared to the old-school system, where sick, vacation and personal days were kept in separate buckets, PTO simplifies things.

The types of leave available.

People commonly associate paid time off (PTO) with vacation or sick days. However, PTO can apply to any time an employee is paid while not working, and because of this, it comes in a variety of forms.

Among the most common types of PTO are:

• Bereavement leave
• Community service
• Floating holidays
• Jury duty
• Paid holidays
• Parental leave
• Personal days
• Sick time
• Vacation time

What is the typical amount of PTO?

The amount of PTO varies widely depending on factors such as the industry, the company’s size, and the employee’s role.

Typically, private-sector employees earn 15 days of paid vacation after five years of service. Upon reaching ten years of service, it increases to 17 days. A 20-day paid vacation is the average number of vacation days for employees with more than 20 years of service.

Again, personal time off is not guaranteed in the United States. These are simply averages.

The benefits of paid time off.

What’s all the fuss about PTO? Among the perks are:

• Employee satisfaction. Employees with PTO have more control over their time off, reducing stress and boosting morale.
• Reduced absenteeism. When sick days are eliminated, employees may stay home more often when truly ill.
• HR efficiency. The management of a single PTO bank simplifies administrative tasks.

The challenges of PTO.

However, it’s not all sunshine and rainbows. The following are some common challenges to overcome:

• Potential for abuse: Without clear guidelines, some employees may misuse PTO.
• Reduced leave overall. The number of days off available under some PTO policies is less than under traditional leave plans.
• Increased payout costs. In some states, companies may be required to pay out unused PTO.

How to Deal With a PTO Surge

Employees usually take more time off during holidays and peak vacation periods, resulting in a surge in PTO. Furthermore, end-of-year deadlines and the need to use up accrued leave before it expires can increase PTO requests. As such, it is helpful to plan ahead and have a flexible staffing strategy when dealing with surges like this.

Understanding the surge.

Identifying the reasons for PTO spikes is essential before putting forward solutions. Among the most common reasons are:

• Seasonal factors. Holidays, spring breaks, summer vacations.
• Company-specific events. Conferences, product launches, or company-wide shutdowns.
• Project deadlines. A team might schedule time off after completing a large project.
• Company culture. When work-life balance is strongly emphasized, PTO requests may be more frequent.
• Employee burnout. In some cases, a sudden increase can indicate an underlying problem.

By identifying the root cause, you can tailor your response and prevent future surges.

Clearly define PTO policies.

It’s important to note that a company’s PTO policy differs greatly from another. However, among the common elements are:

• Accrual. During the year, employees earn PTO based on how many hours they work.
• Bank. Whenever necessary, PTO can be taken from a single pool.
• Carryover. Depending on company policy, unused PTO might be carried over to the next year.
• Blackout periods. Is there a time when PTO is restricted?
• Payouts. Check your state’s laws regarding unused PTO payouts when an employee leaves.
• Request process. When and how should employees submit requests?
• Approval process. What is the approval process, and how long does it take?

This policy must be communicated clearly to all employees. It should be available online for easy access and referred to during onboarding.

Develop a robust tracking system for PTO.

When dealing with a surge, manual tracking is a recipe for disaster. Instead, take advantage of time-off management tools that:

• Centralizes requests. Requests are collected in one place.
• Automates approvals. Streamlines the approval process.
• Provides visibility. It’s easy to see when and who’s out.
• Generates reports. Analyzes PTO usage patterns.

In addition to standalone PTO software, HRIS systems have built-in time-off features.

Create a culture of communication.

To prevent scheduling conflicts and ensure adequate coverage, open communication is essential. Ensure that:

• Advance planning. Requests should be submitted well in advance by employees.
• Team collaboration. Encourage teams to coordinate their coverage.
• Flexible work arrangements. Consider remote work and compressed workweeks to accommodate requests, such as during the summer or holiday season.

Additionally, regular team meetings can help prevent potential problems from escalating.

Analyze and prioritize requests.

• Urgency. If the request is time-sensitive, the approval process might need to be sped up.
• Business impact. If an employee is absent from a project, consider the potential impact on the team.
• Fairness. Make sure everyone has a fair chance to take time off. For example, you could rotate PTO among your team members.

Ultimately, strategically prioritizing requests can ensure employee satisfaction and business success.

Backup plans and cross-training.

Invest in cross-training to mitigate the impact of unexpected absences. As a result, employees are empowered to cover for colleagues and business continuity is ensured.

In addition, contingency plans should be developed for critical roles. There are several possibilities here:

• Overtime. If extra hours are needed, identify employees willing to work them.
• Temporary staffing. During peak periods, consider hiring temporary workers.
• Creating backup plans. Identify candidates who might be able to fill critical positions.

Remember, the best way to minimize disruptions to workflow is to be prepared for unexpected absences.

When possible, offer flexibility.

Even though business operations must be maintained, employees can become more productive if they are shown flexibility. Among the options to consider are:

• Flexible scheduling. Employees should be allowed to adjust their hours to meet their personal needs.
• Compensatory time off. Instead of overtime, offer extra time off — it costs less.
• Remote work options. Provide employees with the option of working from home when possible.

Be proactive in addressing burnout.

Watch for underlying issues like burnout when PTO requests spike suddenly. As such, you should pay attention to the well-being of your employees by:

• Encourage time off. Provide employees with reminders about the importance of taking breaks.
• Offer wellness programs. Assist individuals in managing stress and maintaining mental health. We added a small gym in one of the conference rooms this year, and it’s made a big difference for everyone working in the office.
• Make sure leadership is on board. Time off should be supported in the workplace by leaders.
• Evaluate workloads. Determine areas for reducing workload or redistributing it.

Conclusion

PTO can be an essential tool for attracting and retaining top talent. When creating your company’s PTO policy; it is important to consider your company’s unique needs and legal obligations to ensure its benefit to both employees and the company.

FAQs

What’s the difference between a paid leave policy and PTO?

In traditional paid leave policies, vacation, sick leave, and personal days are separated. Using PTO, employees get a single bank of time to use whenever they need it.

Should I give employees credit for holidays falling during their vacation?

This is undoubtedly best practice. Employees who take vacation during a week with company holidays should be credited for those days.

Do I have to offer PTO to contractors or part-time employees?

The law does not require it. Offering PTO can, however, attract top talent, especially in today’s competitive job market.

How much notice should employees give for PTO requests?

It is generally recommended that requests exceeding 2-3 days be given two weeks’ notice. This will allow staffing and workload to be managed more effectively.

Image Credit: Markus Winkler; Pexels