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The idea of giving your employees more than the legally required number of paid leaves or vacation time might seem counter-intuitive to a business owner. However, the benefits of giving employees some extra vacation time outweigh its cost to business.

As an employer, it’s essential that you understand the importance of providing paid holidays and vacations. These two benefits allow employees to rest and relax with family and friends, and come back to work rejuvenated and more productive.

While having a vacation policy that includes enough paid leaves is essential, you should also make sure that employees take advantage of the allotted leaves. A 2014 study commissioned by US-based staffing firm OfficeTeam found that only one-third of American workers actually use all their vacation days stating that employees worry about falling behind at work or are saving days in case they need them later.

Managers may be hesitant to take extended time off because they fear their absence will be a hardship on staff; while other workers may see their managers or colleagues skipping vacations and feel guilty about taking time off themselves.

Companies must discourage this behaviour by addressing managers and asking them to schedule time away from work. When employees see their managers taking time off and managing their work, they too are inspired to take use up their leaves.

Time away from work allows workers to recharge and regain motivation for their jobs. By taking a vacation, they can return to work with a fresh perspective and renewed energy, which can boost their productivity and effectiveness.

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Benefits of giving and encouraging employees to take paid leaves:


Increases productivity

Employees who don’t take vacation time-off are missing out on the chance to refocus and even the most positive of employees are subject to burnout. The fact is that employees who do not take time-off are less productive.

More employee satisfaction

The idea of an employee keeping work at work and home at home is antiquated. Paid vacation time-off allows an employee to take care of their physical and mental well-being.

Allows time for personal commitments

Whether it’s time with family, friends or just time out exploring the world on their own, paid vacation time lets employees focus on what they consider most important in their lives. In the process, this will help them realize how important work is to keep that balance.

Creates a better work environment

Employees can become distracted when they have outstanding and unresolved (personal or workplace) issues, when they are tired or when they’re not focused. Paid vacation time off provides employees with the time away from the workplace that they need to recharge and come back refreshed.

Attracts more talent

Not all employers can be pay leaders. For some workers, the right combination of pay and paid vacation time-off can make a lower-paying job more attractive than a slightly better-paying job elsewhere. Employers can entice better talent to join them by offering them more off time.