Unlimited vacations actually increases productivity

Photo by VisualPanic

FastCompany has an interesting article about businesses which have abandoned any vacation policy tracking, or at least given employees the option of how much vacation they want / need, that the reality is that people end up putting more into their work, and if anything, the company needs to watch out for burnout of employees!

Is it any wonder then, that plenty of businesses like Accessibility Partners, IBM, and Netflix have sent their vacation policies packing? The concept unlimited time off hasn’t reduced workplaces to chaotic anarchies. Instead, it’s created more efficiency, at least according to Dharmesh Shah, cofounder and CTO of Hubspot.

Unlimited vacation fosters productivity and loyalty because it favors results over input. “We don’t judge employees based on the number of lines of code they write, but instead on the impact their innovative ideas have on our users,” he says. “If we trust employees to make the right decisions with the time they spend at work in pursuit of our aggressive goals, we can trust them to make responsible decisions about when they choose to take time off of work.”

GoHealthInsurance.com also implemented an unlimited vacation policy, in keeping with the company’s free-spirited culture, which includes a (hopefully tongue in cheek) “no pants and purple hats” dress code, i.e.: no policy at all. With a business model similar to Priceline, the company recorded a 200% increase in growth this year.

4 thoughts on “Unlimited vacations actually increases productivity

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