Managing impact of stay-at-home orders and remote work on paid leave benefits

The COVID-19 pandemic has brought unprecedented changes to all facets of our lives, especially our work. Employers have faced incredible challenges of rushed remote work arrangements, meeting new workplace safety requirements, staying abreast of legal and regulatory requirements, and returning employees to work in the safest way possible. Most HR professionals and managers must be thinking of how much they need a vacation!

Unfortunately, instead of beautiful beaches, outdoor adventures, or exotic locales, we are facing the realities of travel restrictions, social distancing requirements, and continued health fears. While we grapple with these issues, it’s starting to occur to managers that many employees have likely not taken vacation or other paid leave (unrelated to COVID-19) because they haven’t needed to do so. Employees generally aren’t traveling, and many have been working at home, reducing the need for sick leave. As we head into the normally busy summer vacation season, large numbers of employees are staying home, while their paid leave banks continue to grow.

Why does it matter?

Let’s face it—accrual of paid leave isn’t the most significant problem employers have right now. That said, unused paid leave can cause headaches later.

For instance, if you have a “use-it-or-lose-it” policy regarding paid leave, employees may all seek to take time off in the fall, likely during Thanksgiving and Christmas. That will be hard or even impossible to accommodate for most employers.