Three clients have accepted jobs in September that came with attractive compensation, including “unlimited paid time off.”  Congratulations!  

For knowledge worker roles, Unlimited PTO has been common practice in start-ups. Now more traditional organizations are joining in to attract and retain top talent during the Year of Resignations. 

 Here’s what you should consider:

1. Unlimited PTO signals a focus on the outcome of your work rather than on how you get the work done. This is terrific for most. This requires a mindset shift for some.

2. Paradoxically, research indicates that some of us take too few, truly relaxing PTO spurts when the time is unlimited, so watch out for burnout.

3. Every organizational culture will have some point at which you’re taking too much “unlimited” PTO, so it isn’t exactly unlimited.  Even in Unlimited PTO environments, the typical PTO taken is trending at ~4 weeks. 

4. There’s a heightened need to be aware of the impact your PTO may have on others since unlimited PTO can often come in smaller bursts with less planning and transparency.

Every behavior incentive comes with pros and cons. Unlimited PTO is no exception. The good news is that we are in control of the potential cons of Unlimited PTO if we’re mindful.