Here’s How Many Days Employees with Unlimited PTO Take

Unlimited paid time off (PTO) is a top benefit desired by employees, with new data from retirement plan provider Empower finding that roughly 1 in 5 U.S. residents say they would decline a new job if it didn’t offer the benefit.

But while some employers are hesitant about such policies, worried that employees would be away from work too often, the data reveals that employees who work at companies with unlimited PTO policies don’t take much more time off than those who work at companies with specific time off policies.

On average, employees with unlimited time off policies take 16 days off per year, compared to the 14 days that employees with specific time off take, according to the Empower report.

The data should help dispel any assumptions that employees with unlimited PTO abuse the benefit, as it asserts that most employees take a reasonable amount of time off, said Caitlin Collins, organizational psychologist and program strategy director at software firm Betterworks.

“Especially in the United States, where there is an expectation to work more than in other countries, employees may be hesitant to take too much time off, even when given the freedom to do so,” she said. “The report likely reflects how workplace culture, and leader and peer behavior, can influence individual decisions, regardless of policies.”

Overall, the Empower report reveals sentiment over unlimited time off policies. Roughly a quarter of employees (26%) say they would consider a lower-paying job if it offered unlimited PTO, while 19% say they wouldn’t accept a new job without the benefit. And 43% say that all companies should offer unlimited PTO. On average, employees need at least 15 PTO days annually to consider taking a new job. 

Collins said that unlimited PTO policies are in demand because they “offer employees the perception of increased flexibility and autonomy over their work/life balance.”

“Employees value the freedom to take time off when needed without feeling constrained by rigid allotments of vacation days, and they work better when they feel empowered to manage their time off without fear of retribution,” Collins said. “This kind of flexibility can help reduce stress and improve overall job satisfaction, especially in a work culture that increasingly values personal well-being and balance.”

Although popular with employees, unlimited and open leave policies are still fairly rare. The 2024 SHRM Employee Benefits Survey finds that the vast majority of employers offer separate vacation and sick leave policies for employees (98% and 96% respectively), and just 7% offer a paid open or unlimited leave policy.

To make an unlimited PTO policy successful, Collins said employers need to be intentional about communication and leadership role modeling to create a culture where employees feel comfortable taking time off. “Managers can set clear guidelines to ensure that the workload is managed properly and that no team is left overburdened due to multiple employees being off at the same time,” she said, adding that organizations should also keep in mind the benefits of having such a policy in place.

“Unlimited PTO can contribute to a healthier, more engaged workforce when managed well,” Collins said. “When employees feel supported in taking time off, they are more likely to maintain a better work/life balance, which can lead to higher productivity and job satisfaction.”

Worried About Taking Time Off

Overall, the Empower survey finds that employees overwhelmingly value their PTO and say it’s beneficial for their mental health—but at the same time, many are worried about work even while on vacation.

Half of employees say they check emails on vacation, and 35% say they get anxious when requesting PTO days for vacation, according to Empower.

That’s a sentiment seen in other recent data. While SHRM research finds that employers say paid-leave benefits are tied with retirement benefits as the second most important benefits type—with 81% of HR leaders saying those benefits are “very important” or “extremely important,” behind only health care benefits in importance—employees who are taking time off work aren’t getting the full benefits of the time away.

A Harris Poll from April found that even when employees did take time off, 60% said they struggled to fully disconnect from work, 86% said they would check emails from their boss, and 56% took work-related calls during their time off. Nearly half said they felt guilty about taking time off in the first place. And another survey of workers from online learning platform ELVTR found that a large majority of employees (68%) admitted to working during vacations.

That’s a problem employers may want to step up to address, with experts telling SHRM that having employees work during their time off can take a hit on retention and employee mental health.

“If an employer truly values mental wellness in their workforce, they prioritize a work culture that supports employees and their managers taking time off,” said Mark Debus, manager of behavioral health at Sedgwick, a third-party claims administrator that works with employers. “Companies should encourage employees to unplug and decompress when out of the office.”