A human resources professional claims that if a company boasts an unlimited paid time off plan, the offer may not be as exciting as it sounds.
In a now-viral video, TikTok user Amy (@hackyourhr) defined two PTO plans companies typically provide: accrued and unlimited. Amy explained that with accrued plans, employees are compensated for their unused time off when they leave the job. However, she said the same is not guaranteed for unlimited PTO.
“It saves the company a ton of money not to carry this on the books, the amount of accrued PTO that they have to pay out when someone leaves,” Amy cautioned.
Amy, who has an accrued plan, urged viewers interviewing at workplaces that offer unlimited PTO to ask how workers are encouraged to take time off throughout the year.
“The best companies that I’ve seen that have unlimited call it flexible time off,” Amy advised. “[They] offer a financial incentive if you take at least five days in a row.”
@hackyourhr Accrued PTO > Unlimited #hackyourhr #corporate ♬ original sound – Amy | Hack Your HR
According to the BBC, office culture can be a huge factor in how much time off an employee decides to take. Several companies have eliminated unlimited PTO after finding that employees took less time off than they did with a fixed plan.
Despite this, many viewers gathered in the comments section of Amy’s video to praise unlimited PTO.
“My company offers unlimited PTO,” one user wrote. “My [management] encourages at least 4 weeks a year. I take 30+ days lol.”
“Unlimited PTO is the best thing invented!” another praised. “My company encourages it and never denies any day I want.”
Some viewers even pointed out the pitfalls in accrued plans.
“I have accrued. It took me 5 months to accrue 3 days, had to use those when MY DAD DIED b/c no bereavement. I’ll take unlimited over this,” one viewer shared.
However, others stood firm on the side of accrued holiday policies.
“I refuse to go for a job that has unlimited PTO,” one user contested. “My job has 4 weeks accrued pto and you can accrue up to 600 hours and sell it back.”
The Daily Dot reached out to Amy via TikTok comment.