PTO (Paid Time Off)

Beginner 👥 Human Resources

Definition

Accumulated time that employees can take off while still being paid, provided they don't actually use it out of fear of being perceived as uncommitted.

Example Usage

I have 20 days of PTO this year, but I'll probably only use 4 while answering emails on the beach.

Origin

Emerged as a modern alternative to 'vacation days' in the 1980s to blur the line between different types of leave.

Fun Fact

The average American takes only 55% of their PTO, costing companies money they already allocated.

Source: HR industry standards

Related Terms

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