Was talking with a friend about her SO's company moving towards PTO Banking and we were trying to figure out what the advantage was to the company offering it and how it might disadvantage the workers.

Off the top of my head here's a couple things I came up with:

  • Have to earn which means an ongoing emergency that taps you out before you can bank it can leave you screwed
  • If your hours change, the amount of PTO Banking you get for the year might as well.
  • In some states unused vacation time is paid out on separation, meaning with PTO Banking you haven't banked yet, you're SOL.

I think those are right, but if anyone has a decent write up that's known to be accurate that I can share instead of my own ramblings that'd be great.

Edit: Apologies, I switched over from PTO Banking (typical term for earning time off that combines sick and vacation days) in the title to just PTO in post and think that may have caused some confusions. I've fixed it. Thanks for the answers so far, looking forward to more.

  • SuperZutsuki [they/them, any]
    ·
    11 months ago

    I've had PTO banking before and have a vacation system now. The main difference is that I get my full vacation allotment regardless of hours worked. With a PTO system, one could end up with less available PTO due to cuts to hours because business is down. It's also a way to obfuscate how much time off an employee will actually get. For me I know exactly how much time off I get every year, when it will increase, and by how much with no estimation of hours or math required.