Unlimited PTO research summary. Having the freedom to take time off as needed is becoming increasingly popular. Unlike the alternative, where you only get a few days off a year, this option provides unparalleled flexibility. We’ve gathered all the latest unlimited PTO statistics, and according to our extensive research:
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Jobs offering unlimited PTO increased by 178% between 2015-2019. Between 2019-2023, they increased by 40%.
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On average, employees with unlimited PTO take 13 days off per year.
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10% of workers have unlimited PTO in 2023.
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Only 8% of companies offer unlimited PTO.
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72% of employees want unlimited PTO.
For further analysis, we broke down the data in the following ways: Unlimited vs. Traditional | Demographics | Employees With Unlimited PTO
Unlimited PTO vs. traditional PTO
More and more employees want unlimited PTO, but what makes unlimited and traditional PTO so different? To find out, we’ve gathered valuable facts that contrast the two:
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Employees take 2 days off less under an unlimited PTO policy.
You’d probably assume that employees would take more days off with an unlimited PTO policy, but this isn’t the case. On average, unlimited PTO employees take 13 days off, compared to 15 days for employees with the traditional policy.
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62% of employees with unlimited PTO report having a healthy work-life.
Conversely, only 53% of traditional PTO employees say the same. Despite taking fewer days off on average, employees with unlimited PTO feel like their work-life balance is better.
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US employees are owed up to $318 billion in unused PTO days.
When employees don’t use their PTO days, companies are liable for paying them. In this way, unlimited PTO tends to benefit employers by reducing payouts.
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50% of employees would prefer unlimited PTO to a higher salary.
Unlimited PTO sounds more valuable to half of Americans than a higher salary. Showing yet another way companies can save costs while pleasing employees.
Unlimited PTO demographics
Unlimited PTO is far more common in some industries and with certain demographics. Younger generations and those in tech fields are more likely to want. Here are some examples of the demographic differences:
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74% of Gen Z want unlimited PTO.
By contrast, only 45% of Baby Boomers want PTO. The younger the generation, the more likely someone will want unlimited PTO.
Desire for unlimited PTO by generation
Generation Share of people who want unlimited PTO Gen Z 74% Millennials 70% Gen X 68% Baby Boomers 45% -
20% of tech, media, and finance companies offer unlimited PTO.
Comparably, only 4% of all US companies offer unlimited PTO, making it 5x more common in these industries. Some of the biggest companies in these industries that offer unlimited PTO are Microsoft, Netflix, and Zoom.
Employees with unlimited PTO
Sure, most employees want unlimited PTO, but how do employees with it actually feel about it? To find out, we’ve gathered information about the employees who do have it:
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72% of employees with unlimited PTO name it as their #1 most valued benefit.
That means they rank it above wellness programs, retirement plans, on-site medical care, and paid sabbaticals.
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37% of employees with unlimited PTO work during vacations
You might think employees with unlimited PTO have an easier time disconnecting from the workplace, but this isn’t the case. Over a third of people with the benefit choose to work on their vacations.
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42% of employees with unlimited PTO always log on to work email during vacations.
Even if remote workers aren’t working on vacation directly, they still refuse to disconnect from their work emails.
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82% of employees with unlimited PTO feel positive about the policy.
Despite often working through their PTO, four-fifths of all unlimited PTO employees feel positive about the policy. This is likely due to the freedom to choose.
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43.7% of employees with unlimited PTO don’t feel they take enough vacation time.
Many workers with unlimited PTO feel like they aren’t making full use of their vacation time. In part, this can be the fault of unclear expectations by the employer.
Unlimited PTO FAQ
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What are the major reasons behind workplace conflict?
Unlimited PTO is very effective for boosting employee morale and saving companies money. 82% of employees who have the policy feel satisfied with it, and employees who do have it spend 2 days less per year taking PTO. This, combined with not having to pay out unused PTO, saves companies billions.
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What percentage of companies offer unlimited PTO?
Only 8% of all companies and 4% of companies in the US offer unlimited PTO. Only around 10% of employees worldwide have unlimited PTO, meaning it’s still uncommon despite its popularity.
However, certain industries are more likely to offer unlimited PTO. For example, 20% of tech, media, and finance companies offer it.
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What is the average amount of PTO taken by employees with unlimited PTO?
The average amount of PTO taken by employees with unlimited PTO is only 13 days. That’s 2 days less than the average 15 days taken by those with traditional PTO policies. Quantified, this means those with traditional PTO take 15% more days off annually on average.
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Who benefits from unlimited PTO?
Both companies and employees benefit from unlimited PTO. Employees can take off days as they please, and employers save money by not having to pay for unused PTO days. However, it’s important to note that companies must be clear about PTO expectations. Otherwise, employees will feel pressured to work when they don’t need to.
Conclusion
Unlimited PTO is a trendy policy, which 72% of employees desire. More specifically, 74% of Gen Z and 70% of Millenials want the policy.
However, only 8% of global and 4% of US companies offer unlimited PTO. Today, only 10% of employees have it, even though 50% would prefer unlimited PTO over a salary increase.
More and more companies are noticing that unlimited PTO can save them money rather than cost them money. Whether or not companies will continue to adapt to the will of employees remains to be seen.
References
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BioSpace – Too Much of a Good Thing: The Truth About Unlimited PTO
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HRdirect – Carefully Weigh the Pros and Cons of an Unlimited PTO Policy
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CBS News – Unlimited vacation can save companies billions. But is it a bad deal for workers?
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HR Executive – Unlimited PTO: A better deal for employers than workers?
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Forbes Advisor – Average PTO In The US & Other PTO Statistics (2023)
Author
Jack Flynn is a writer for Zippia. In his professional career he’s written over 100 research papers, articles and blog posts. Some of his most popular published works include his writing about economic terms and research into job classifications. Jack received his BS from Hampshire College.
