Human Resources Case Study

PTO: Too Little or Too Much?

Please answer the three questions with 3-5 sentence.

You just finished analyzing information for the current compensation and benefits program. You find that some changes should be made, as the majority of employees (you have 120 employees) are not happy with what is being offered. In fact, the plan had not been revised in over fifteen years, making it dated and definitely ready for some changes.

One of the major points of contention is the PTO the organization offers. Employees feel the current system of sick time and vacation time offers too few options. For example, one employee says, “I often come to work sick, so I can still have my vacation time for my vacation.” Another employee says, “I have given nine years to this organization, but I receive only three days more than someone who has just started.” Here is the current PTO offering:

1+ year

7 days

5+ years

10 days

10+ years

14 days

What      cost considerations would you take into account when revising this part of      your compensation plan?

What      other considerations would you take into account when developing a new PTO      plan?