Encouraging Paid Time Off: A Key to Avoiding Burnout and Retaining Talent

Paid time off is a valued employee benefit, particularly at larger organizations. According to the U.S. Bureau of Labor Statistics, 91% of private-industry workers at organizations with 500 or more employees have access to paid vacation.

But simply offering paid time off doesn’t mean employees will use it. Pew Research Center found that 46% of workers with access to paid time off take less time than they are offered. Among those who don’t use all their PTO, 49% say they worry about falling behind at work, while 43% say they feel bad about coworkers having to take on additional work.

That disconnect matters for employers. Leave continues to rank among the benefits employers consider most important to their workforce. In the 2026 Employee Benefits Survey, SHRM found that 82% of employers rated leave benefits as “very important” or “extremely important,” tying with retirement benefits as the second-highest-rated category behind healthcare.

Offering PTO is only part of the equation. Employers also need to create a workplace culture where employees feel comfortable stepping away from work and are encouraged to use the time available to them.

Encouraging Employee PTO Use

Ultimately, the success of your PTO comes down to company culture and how accessible, acceptable and permissible your company makes it to use that PTO.

Creating a culture that encourages using PTO (either directly or indirectly) requires a concerted effort from all levels of leadership, from the CEO to managers to administrators.

1. Lead by Example

Technology makes it easy for employees to stay connected to work even when they’re supposed to be off. When leaders respond to emails, messages and texts while on PTO, they can unintentionally signal that employees are expected to do the same.

Leaders, from CEOs to office managers to team leaders, should start disconnecting from work when taking PTO.

2. Discuss PTO Openly

This doesn’t mean employees need to share how they will spend their paid time off, but companies should regularly remind employees to use their PTO, whether it’s for vacation, volunteer work or a sick day. If a manager sees an employee continuing to work while sick, remind the employee that it’s okay to use PTO or the appropriate policy to recover fully.

Consider incorporating PTO discussions into one-on-one meetings, discussing the value of time off to avoid burnout. If you notice or hear from an employee that they are burnt out, encourage them to use PTO.

Be careful not to interrogate about reasons for PTO in these discussions. Employees use PTO for a variety of reasons (e.g., kids staying home from school, doctor appointments, car trouble and personal time). Unless your PTO structure has specific categories, avoid grilling employees about why they’re using PTO. A manager operating within a PTO bank policy may simply be conversational when asking, “Why are you taking PTO?” But an employee may interpret that as a validity test for their PTO, worrying that the request may be rejected if they give the “wrong” answer. Approving time off before asking such questions may help dissuade such feelings. As a rule, employees shouldn’t feel like they need to justify their PTO as long as they’re complying with the policy.

3. Manage Workload and Ensure Coverage

Many employees don’t use their allotted PTO because of the stress of managing their workload upon their return. Though not all PTO is planned for (e.g., sick days, family emergencies, etc.), there is a certain amount of planning that can be done to mitigate the stress of coming back to a mountain of work.

• Ensure employees are communicating with managers about planned time off.
• Communicate team PTO calendars so projects and tasks can be completed on time or shifted to other individuals.
• Establish back-ups for each team member to cover needs while someone is out.
• Regularly check in with employees to ensure they aren’t buried in work beyond their means (regardless of PTO).

4. Consider Rollover Policies Carefully

Some companies may consider a “use-it-or-lose-it” PTO policy, in which any unused vacation days are forfeited. Others may allow only a limited number of days to roll over into the next year’s schedule. Both methods encourage employees to use their full amount of paid time off.

5. Determine a PTO Policy That Works for Your Employees

Understanding the PTO policies in place is instrumental in helping encourage your employees to take time off. There are many different approaches to paid time off. Some companies may have separate policies for sick days, personal days, volunteer days or vacation days. Others may have a bucket of personal days and a different policy for sick days. Still others may have unlimited, open-vacation, flexible or self-managed PTO, in which there is a bottomless PTO bank. It’s also imperative to consider whether PTO is offered upfront, accrued or tiered.

If your PTO policy isn’t structured in a way that works for your employees, they may find themselves leaving PTO on the table. For example, if an employee decides they are hitting a wall and need a mental health day, but they are out of sick days and don’t think their bank of vacation time works for a mental health day, they may decide to continue working, therefore not taking the break they need. Regardless of your policy approach, be sure you clearly communicate PTO expectations with employees.

Employees’ engagement and sense of value are directly related. Burnout is a very real concern for employers and employees alike. Make sure your company culture supports PTO so you can keep your employees healthy, engaged and productive.

The above information does not constitute advice. Always contact your employee benefits broker or trusted advisor for insurance-related questions.