Considering PTO

Because of recent problems with our leave policies, we are considering going to a PTO structure. That would take us out of when ee can use their time. Some questions we had are the following: Any help you can give us would be appreciated.

1. We currently have annually for all FT staff, 20 days of vacation, 15 sick days (no STD), 4 emergency days for illness for spouse, parent, child, 4 bereavement days for each death, and 1 personal day. Adding all those up, obviously we could not give 44 days off annually. We could not run an operation like that. I'm sure our ee would expect us to because some of them whine about everything. That is one of the reasons we are looking into this. What is a good # of PTO days to give?

2. Would there be any liability on our part when employees leave the agency? Isn't vacation considered compensation so you must pay it out when someone leaves? Currently, we pay unused accrued vacation if someone terminates.

3. Should any PTO days roll over from one year to another. Currently, vacation must be taken by 12/31 and sick accrues up to 130 days.

4. Are there any issues with exempt staff and PTO? We currently do not dock the pay of exempt staff, but certain instances we would not pay them. We would not pay them full salary, if they are out for a full day or more and run out of vacation, sick, etc. From the way I read the regs, this is acceptable, as long as it is for a full day and we have a bona fide sick policy (541.118 of the regs).

Comments

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  • I am just replying so I can follow this thread as we are also toying with the PTO concept.
  • we have a PTO policy which is non accrual. We grant PTO based upon years of service Jan 1 the ee uses it all year and can carry over up to 80 hours and pay out the rest (or pay out all of it). we have separate policies for bereavement, jury,etc. -- they are separate from PTO. The holidays also came out of the PTO (reduced # of PTO days when they separated out holidays) and that is also a stand alone policy. We offer a voluntary STD so the ee chooses if. I tell new ees how PTO works -- if they have a lot of doc appts they can use PTO if not they can spend more time on the beach. Good luck.
  • We use a PTO system. First year ee's accrue at 4.6154 hrs per payroll(we pay bi-weekly) This amounts to 2 weeks vacation and 1 week sick per year.

    We do not let them roll over time - We have a "sick leave reserve account" any time still available at the end of their anniversary year (yep, we do accruals by individual anniversary dates, it is a nightmare!) goes into their "sick leave reserve account" There are guidelines for using that account and they cannot accrue more than 416 hours in sick leave reserve.
    As for paying out time in the event of a resignation or termination, yes, we pay out any PTO owed unless they are in their 1st 90 days.

    Good luck!
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