Microsoft allows unlimited time off for salaried employees in the US

Microsoft joined a coveted group of counted few companies in the world which is allowing its workers in the United States unlimited paid time off. The world’s biggest software company announced that it is doing away with its four-week vacation policy, joining Netflix, Oracle, Salesforce and LinkedIn who have similar policies underlining ‘unlimited paid time off’ for their employees. 

Officially known as “discretionary time off”, the policy replaces Microsoft’s paid time off model with its new approach to allow employees to take time off as needed. A report in The Verge stated that the new policy authorising discretionary time off will be implemented starting January 16th. 

Who will be allowed discretionary time off?

This new policy is available to only salaried Microsoft employees. Hourly workers at Microsoft won’t be offered the policy. 

A discretionary paid time off will thus be granted to a salaried Microsoft employee for a noteworthy achievement. This also covers the professionals who are recognised within the organisation for contributions to Microsoft’s mission, goals or objectives. 

Why discretionary time off?

Microsoft said that how, when, and where its professionals do their jobs has changed dramatically. The move thereby is seen as saving Microsoft’s administrative costs, in response to more flexible work schedules that came about in response to the COVID-19 pandemic. 

“As we have transformed, modernising our vacation policy to a more flexible model was a natural next step,” Kathleen Hogan, Microsoft’s chief people officer, said in an internal memo, The Verge reported. 

In 2020, Microsoft allowed a significant number of its employees to work from home permanently. It also allowed employees to work from home freely for up to 50 per cent of their working week. 

Employees working remotely, however, had the option to give up their office space. Instead, the ‘touchdown space’ at Microsoft was made available. 

Employees who opt for the remote work option had to give up their office space, but the touchdown space at Microsoft offices was still made available.

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