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Paid Time Off Policy

Author: Brightmine Editorial Team

When to Use

Paid time off (PTO) is an important employee benefit that improves work-life balance, performance and engagement. It also supports recruitment and retention. To maximize the benefits of PTO, employers should clearly define the way that it is earned and when it can be used.

While a handful of jurisdictions require covered employers to provide leave for any reason, most states do not require an employer to offer PTO. However, if your organization offers PTO, it should consider implementing a PTO policy to support employees, manage employee expectations, maintain the needed level of staff in all areas of the company at all times and ensure compliance with all applicable laws. To get you started, below is a customizable template with key provisions to include in your PTO policy.

Customizable Policy