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PTO Policies

  • 1.  PTO Policies

    Posted 12-18-2018 15:47
    Dear Colleagues;

    In the process of reviewing our PTO Policy. I would like to hear recommendations from each of you regarding how you are managing them. I have the following questions and would like to hear your input about the pros/cons you have experienced administering and managing effectively.

    Grant - all up front.
    Accrual/earned - weekly
    Is it use it or lose it and if lose it how do you work it to avoid animosity
    Rollover/no rollover and how much?

    Your feedback will be well received no matter what it is.

    Thank you,
    Maria

    ------------------------------
    Maria Lopez-Ruiz
    Human Resources Manager
    Hog Technologies
    Stuart FL
    ------------------------------


  • 2.  RE: PTO Policies

    Posted 12-19-2018 13:21
    Hi Maria,

    In the state of CA, employers must pay their employees for their accrued PTO when employment ends.  Our employees accrue PTO once we have worked six months and we accrue 13 days a year.    We are paid semi-monthly, and we earn 4.33 hours per pay period.   Here's our policy on PTO.

    Paid Time Off (PTO)

    In addition to paid holidays, the Company maintains a paid personal time off (PTO) program for regular full-time employees. This program combines vacation and sick leave benefits into a single bank of time.  Temporary and regular part-time employees are not eligible for PTO benefits.   The program is designed to respond to employees' needs for time off and allows eligible employees to receive wages while off work on vacation or due to personal illness or injury.

    • PTO (Paid Time Off) Accrual: Regular full-time employees earn PTO benefits on an anniversary year basis, according to the schedule set forth below.

    Length of Service

    Amount of PTO Benefits Accrued

    First 6 months of continuous employment

    0 days

    Second 6 months of employment and continuing thereafter

    4.33 hours per pay period

     

    There is no accrual during the first six months of employment.  During the second six months of continuous employment, an employee who is scheduled to and does work 30 hours per week would normally accrue 6 1/2 working days of PTO.

    In the second years of continuous employment and thereafter, an employee who is scheduled to and does work 30 hours per week would normally accrue 13 working days of PTO.

     

    No PTO time may be taken until after completion of the first year of employment.

     

    In accordance with the leave of absence policies set forth in this Handbook, PTO hours will not accrue during unpaid leaves of absence.

    • Scheduling:

    PTO time may be used in increments of two (2) hours unless otherwise required by law.  You must schedule PTO with your Manager, Property Manager, or Regional Property Manager. PTO should be scheduled in advance to insure adequate coverage.  Your supervisor/manager will communicate with their employees the specific timeframe needed when requesting PTO.   PTO requests will be approved by your supervisor based upon a number of factors, including our business needs and staffing requirements.

    You may utilize accrued PTO to receive compensation during an unpaid leave of absence.

    • Maximum Accrual:

    You may not earn more than 26 days (208 hours) of PTO. Once this maximum is reached, all further accruals will cease. Your PTO accruals will resume after you have used some of your PTO and your accrued PTO has dropped below the maximum.

    Employees who are unable to report to work due to an illness or injury should notify their immediate supervisor at the earliest possible time, but no later than the first hour after the start of the scheduled workday, and for each additional day of absence.

    • Pay in Lieu of Time Off:

    No employee will receive PTO benefits in lieu of taking time off, except upon termination of employment. Accrued PTO benefits that have not been used will be paid to employees at the time of termination of employment at the employee's final rate of pay at the time of separation.

    • PTO Pay:

    Time off is paid on the basis of your base hourly rate, excluding premiums and overtime compensations, if any.  Non-exempt employees should mark "PTO" on their time records.

    • Holidays:

    If a holiday occurs during your PTO period, that day will not be counted as a PTO day.



    ------------------------------
    Anita Cornman SHRM-CP
    Director of Human Resources
    A G Spanos Companies
    Stkn CA
    ------------------------------



  • 3.  RE: PTO Policies

    Posted 12-19-2018 13:53
    We are starting a PTO in 2019, rolling our vaca to PTO and our sick to an extended leave bank of time.

    Grant - all up front., no we accrue each pay day
    Accrual/earned - weekly 0-5 years gets 17 days, we pay 2x a month
    Is it use it or lose it and if lose it how do you work it to avoid animosity  we allow a roll over
    Rollover/no rollover and how much?  can have up to 160 hours roll over (this is equal to 2 years of what  was the vacation accrual of 80 hours of year)  Additional time and roll over at 5th, and 10th anniversary.



    ------------------------------
    Kristie Duggan SHRM-CP
    Manager
    Lynden International
    Seatac
    ------------------------------



  • 4.  RE: PTO Policies

    Posted 12-19-2018 13:58
    Hi Maria!

    I work with small employers as an outsourced HR department.  Here's the trends we see, a little depends (I think) on the sophistication (or lack thereof) of their HRIS. Most of my clients are under 50 employees.

    • Small employers (usually with less sophisticated HRIS) grant it all up front so they're not having to constantly monitor accruals.
    • It is a 50/50 mix of use it lose it/rollover
    But in any case where they allow rollovers, it is usually no more than 1 workweek (40 hours).

    I hope this helps.  I'll be interested in what others tell you.
    --

    Kindest regards,

    Kate Dashner

    President, Simple HR Solutions








  • 5.  RE: PTO Policies

    Posted 12-19-2018 14:58
    i am interested as well, but am most interested in hearing what other companies in an industrial or manufacturing setting have done to be successful in the area of a PTO policy!

    ------------------------------
    Jennifer Nesbitt SHRM-SCP
    VP of Human Resources
    Beck Steel Inc
    Lubbock TX
    ------------------------------



  • 6.  RE: PTO Policies

    Posted 12-19-2018 15:39
    Every company I've worked for has had an accrual policy--based upon tenure, employees earn a certain amount per pay period (my current company pays bi-weekly).

    Both my current company and the previous company I worked for has a use-it-or-lose-it policy. The most push back I get from employees are those who think that it is illegal to not pay out (I am in Utah--there are no state laws governing this). For the most part, though, employees are fine with it. We approach it from the direction of we WANT them to take vacation and by having a use-it-or-lose-it policy along with a rollover cap (we cap them at 160 hours), it encourages employees to take their vacation. We also have the culture here at the company that it is good to take vacations--all the management take vacations and so it is not seen as a strength to not go.

    My previous company did allow hourly employees the option to sell back to the company up to 40 hours of PTO once a year. We had a few requirements around it: 1) they had to actually sign up for the option during open enrollment; 2) if they ended up selling back time to the company, they had to make sure they still had at least 40 hours remaining in their PTO bank after they sold back time (we didn't want them to sell back time and then fall sick and not have anything to use); and 3) it was their responsibility to tell us if, when, and how much they wanted (up to 40 hours) to sell back. We would then process it on the next payroll. As I mentioned, this was only an option for hourly employees.

    My previous company also had a much higher roll over cap. They had LTD policies for FT employees, so the cap was based on allowing employees to be able to accrue PTO up to the elimination period for LTD (about 520 hours).

    I hopes this helps.

    JoyLynn Jeppson
    HR Director
    MIRO Industries
    Heber City, UT