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Olipop’s PTO Policy Recommits to Unlimited Paid Time Off for Employees

Olipop’s PTO policy is urging employees to take a week off this summer to avoid burnout and get in quality time with loved ones. Is encouraging unlimited PTO usage the ultimate path to building a healthy workplace culture?

 

Most employees have come to look at unlimited PTO policies with a healthy dose of suspicion, considering the consequences that often follow the decision to use them, however, Olipop is reminding its employees that its PTO policy is “not just for show.” As a part of the Olipop Summer Recharge initiative for 2025, the prebiotic soda company is now encouraging its employees to go on a vacation this summer. 

Unlimited PTO policy management can be a challenge to handle for HR teams, but more often than not, these benefits go unused as employees fear that they will be penalized for the decisions once they return. In most organizations, unlimited PTO policies exist as an alluring reason to work for the team, however, workers are overtly or subtly criticized for taking their work too lightly and jetting off to bask in the sun while their work piles up on their desk. Olipop’s approach to its PTO policy is a refreshing reminder that good employee benefits are meant for employees to use to their full potential.

encouraging unlimited PTO usage

Unlimited PTO is often offered to employees, but is it truly a good benefit if rarely used?(Image: Pexels)

The Olipop PTO Policy Reminds Employees Unlimited Time Off “Is Not Just for Show”

Olipop’s Summer Recharge initiative for 2025 is just as refreshing as it sounds. Under the program, CEO Ben Goodwin is encouraging employees to use the PTO policy available to them to take a break this summer without the fear of losing their jobs or being criticized for using the policy as intended. Reminding his 220 employees that PTO days were made to be used, he recently urged employees to take at least one full week of paid time off this summer. 

Olipop’s summer vacation policy isn’t necessarily forcing employees to take time off or penalizing them for failing to do so, but it does create a much healthier approach to vacation days. “To be clear, it’s not mandatory. There’s no punishment if you don’t take the PTO. What we really wanted to do was incentivize people to actually take it,” Olipop CEO Ben Goodwin said in a statement to HR Dive.

Olipop’s Summer Recharge Initiative Also Adds a Monetary Incentive to Vacation Days

In addition to Olipop’s PTO policy plans, the company is also conducting a raffle for a $1,000 stipend for four lucky employees to win each month between June to September. Employees can spend their winnings on anything, but Olipop is hoping it will encourage them to spend it on their vacations without worrying about the costs.

“We do comp and benefits analysis against the industry, so we know that we are paying our people fair and market-equalized rates. In theory, if you work here, you should be able to afford going on vacation. Especially since it’s paid time off,” Goodwin added in his statement to HR Drive, “you’re not losing any money going on vacation.”

He further elaborated that he wanted employees to feel like adults and had never felt the need to look over their shoulders to ensure they were working as intended. This flexible approach to PTO days also extends to their sick days and child care leave, according to the report, allowing employees to balance their work and personal lives more independently. 

The Current State of Paid and Unpaid Vacation in the US

In the US, Americans are entitled to up to 12 weeks of unpaid vacation under the Family and Medical Leave Act, giving employees the option to take time away from work, whether they need to handle their health and personal obligations or take a vacation to recuperate from work. Many States have their own regulations on how much paid time off (PTO) is offered to employees, which helps workers take a break from work without losing out on their pay to a degree. 

Businesses are often free to determine their own PTO policies, and more competitive ones offer a great number of days for employees to use. Some organizations even go so far as to offer unlimited PTO days, which means that they don’t set a specific limit to how much time workers can take for themselves without a pay cut. 

There are often some regulations surrounding unlimited PTO, such as having to work a certain period of time at the organization to accrue such leave days, but for the most part, those who are offered this benefit can choose to take a longer break from work if they desire. Unfortunately, while these policies are offered liberally, employees are silently discouraged from using them. 

Olipop PTO policy

Image: Olipop

Is Encouraging Unlimited PTO Usage a Controversial Stance?

The Olipop PTO policy is not unique in its design as there are many businesses that offer employees the benefits of taking paid time off from work, however, the company’s insistence that employees utilize the benefit is unusual. Employees often find that there are unspoken rules surrounding the offering of paid time off, particularly when the policy claims to be available for unlimited use.

Workers are often criticized by their managers for taking vacations, as it leaves a significant amount of work for other employees to cover. In many cases, even without overt criticism, employees believe they are perceived as lazy or callous about their jobs for considering going on vacation on a whim. A study by Eagle Hill Consulting last year found that 48% of US employees expected to have unused vacation days left over at the end of the year. 

Around 36% of the respondents in the study claimed they hadn’t taken a vacation in the last 12 months. While expenses were the biggest reason for avoiding vacations, the other explanations included self-imposed pressure, heavy workloads, the lack of a PTO policy, no colleagues to handle their workload, pressure from managers, and the organizational culture at large. Encouraging unlimited PTO usage is not standard practice at most organizations, which makes Olipop’s summer vacation policy and added raffle bonus a unique instance of employer-led support for workers.

Having No Time Off Is Detrimental to the Workforce

Most employers and employees are aware of the consequences of working while overworked and burned out, but there is still a general sense of taboo around using PTO policies at most organizations. The “unlimited” nature of the benefit rarely makes a difference, as employees largely choose to come into work regardless of their state of being. This causes workers to push themselves too hard to keep showing up at work, leaving them tired, frustrated, and unable to work to their full potential.

In some cases, employees sneak away on “quiet vacations” to try to maintain their reputation at work as a loyal employee while also getting a break, but this doesn’t do much for their relationship with the organization. The vacation ends up being a stressful one that doesn’t serve its intended purpose either. A productivity-driven culture is great for any business, but when overdone, it can have lasting consequences on the workforce. 

Management of Unlimited PTO Does Not Have to Be Complicated

Most employers remain concerned that encouraging unlimited PTO use will result in an office consistently devoid of workers, but this is rarely the case. If HR teams work with managers and the employees under their supervision, it is quite possible to stagger leaves in a way that ensures that the work is not interrupted.

Employees who have thus far been reluctant to use their vacation days will be more than willing to find a good time for their vacations without abandoning the organization to handle its workload on its own. The Olipop PTO policy showcases how employers can work with employees to build a culture of trust, respect, and a mutual understanding of what is best for both the business and the workforce that powers it.

An organization that encourages its employees to use the benefits it is willing to offer will find its workforce more engaged and committed to building a lasting career at the business rather than seeking a more beneficial opportunity elsewhere.

What do you think about the Olipop PTO policy and CEO Ben Goodwin’s encouragement to employees to use the vacation days available to them? Let us know. Subscribe to The HR Digest for more insights into the ever-evolving landscape of work and employment in 2025.

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Anuradha Mukherjee
Anuradha Mukherjee is a writer for The HR Digest. With a background in psychology and experience working with people and purpose, she enjoys sharing her insights into the many ways the world is evolving today. Whether starting a dialogue on technology or the technicalities of work culture, she hopes to contribute to each discussion with a patient pause and an ear listening for signs of global change.

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