Microsoft allows employees unlimited time off, here's when it starts
As per the new rule by Microsoft, salaried employees in the US will no longer have fixed number of vacation days per year
Microsoft allows employees unlimited time off. Representative image/AFP.
New Mexico: A move that would make every employee happy has been adopted by Microsoft, which will now allow its workers to take as much time off as they want.
The new move is part of Microsoft’s new ‘Discretionary Time Off (DTO)’ policy and will come into effect next week.
As per the new rule, salaried employees in the US will no longer have fixed number of vacation days per year.
In a statement to CBS MoneyWatch, a Microsoft spokesperson said: “Beginning January 16, 2023, Microsoft is modernising our vacation policy to a more flexible model and transitioning to Discretionary Time Off (DTO),” adding that how, when and where employees do their jobs has dramatically changed and that DTO aligns with more flexible ways of working.
According to a report in The Verge, Microsoft’s chief people officer Kathleen Hogan announced the policy change in an email to its 122,000 workers in the US.
The report mentioned that Microsoft will offer workers 10 corporate holidays, leaves of absence, sick and mental health time off, as well as time off for jury duty and bereavement.
According to the internal memo Hogan said employees that have an unused vacation balance will get a one-time payout in April.
However, hourly workers at Microsoft will not be offered the unlimited time off, nor will employees outside the US be beneficiaries.
According to the report, Microsoft says federal and state wage and hour laws make it difficult to offer unlimited time off to hourly workers. As for those residing outside the US, they will keep their current vacation benefits because of laws and regulations in other countries.
Unfortunately, other large US employers are giving workers fewer freedoms, demanding they return to corporate offices at least four days a week.
However, Microsoft is not the first company to offer such benefits. Salesforce, Microsoft-owned LinkedIn, Oracle, and Netflix all offer similar unlimited time off policies for employees.
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