I am currently looking at updating and modifying our PTO structure. Currently non-exempt employees accrue PTO based on tenure and exempt employees are granted a block of hours each quarter (equal to the highest exempt employee rate). PTO is used for planned leave and unplanned leave alike. We encourage employees to always leave at least 1 shift's worth of PTO in their account in case of an illness, etc. and have a policy that puts any employee whose balance gets to zero on probation until they build back up to 1 shift's worth.
I don't want to go to a system where employees accrue separate sick and vacation leave time, but I am interested in a way that encourages employees to leave adequate PTO for illness or other emergencies. What I'm considering is a system where a certain number of hours (tenure-based?) of an employee's PTO would not be available for planned leave, but would remain available for unplanned leave; I call it the sick floor. For example if the floor was 24 hrs and I had 60 total hrs of PTO accrued, I could put in a vacation request for up to 36 hrs but no more. If I fell below 24 hrs (due to calling in sick, etc.), I'd not be eligible for vacation requests until I accrued enough hours over 24 to cover one. Does this make sense? I hope so . . .
. . . because here come the questions. Do any of you do anything like this? If so, I'd love to see your policy on it. If not, I'd still like to hear your ideas on what would constitute adequate hours to keep in the sick floor? (Or, do you think it's a bad idea altogether?). Does anyone think tenure should play a role in how many hours should stay in the sick floor?
My other question is about payout of unused PTO upon ending employment. Currently, we offer a payout of all unused PTO if the employee leaves with adequate notice (minimum of 1 year of service). I'm looking at changing that to a system where PTO will be paid out as a percentage by tenure (assuming they leave on good terms, with adequate notice). So, maybe after 1 year, we'd pay 25%, 2 years 50%, 3 years 75%, 4 years 100%. Does anyone to this? Any suggestions for such a system? What's a reasonable tenure to require for the payout of all unused PTO?
Finally, I've seen some models of SHRM where employees can build a negative PTO balance (for unplanned leave reasons only, I think). If they end their employment with a negative balance, the value of that negative balance is taken out of their final paycheck. Does anyone do this? I'm not sure how I feel about it.Sorry this is so long. Brevity has never been my strength.