Case study�Paid Time Off (PTO) Policies - Argosy University
Case study solution analyzing PTO policies and their effects on employee well-being.
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Paid Time Off (PTO) Policies 1
Case study—Paid Time Off (PTO) Policies
Jessica Salazar
Argosy University
How can HR effectively merge the differing Paid Time Off (PTO) policies of Company A
and Company B to ensure employee satisfaction and retention during a merger?
Discuss the challenges, potential solutions, and communication strategies involved.
(2000-2500 words)
Case study—Paid Time Off (PTO) Policies
Jessica Salazar
Argosy University
How can HR effectively merge the differing Paid Time Off (PTO) policies of Company A
and Company B to ensure employee satisfaction and retention during a merger?
Discuss the challenges, potential solutions, and communication strategies involved.
(2000-2500 words)
Paid Time Off (PTO) Policies 2
Company A and Company B have merged. However, HR has discovered that
they both have different Paid Time Off (PTO) policies. Company A’s PTO is currently in
employees are given 30 days of paid time off each year, which accumulates at the rate
of 2.5 days a month. Vacation and sick leave are rolled into one paid leave and any
absence whether scheduled, such as vacation or unscheduled, such as sick leave, are
taken from the accumulated leave they have earned.
Company B has the more traditional PTO, in which the employees are given 12
days of vacation, 10 days of sick leave and 10 holidays. They are also not open or in
operation during these holidays. They accumulate vacation a one day per month. Sick
leave has unlimited accumulation however, this would not be paid when the employee is
terminated from employment (vacation would be paid). Now that we have gone over the
different PTO policies for Company A and Company B, HR is looking to possibly
combine, modify or create a new Paid Time Off benefits package. The ultimate goals is
Company A and Company B have merged. However, HR has discovered that
they both have different Paid Time Off (PTO) policies. Company A’s PTO is currently in
employees are given 30 days of paid time off each year, which accumulates at the rate
of 2.5 days a month. Vacation and sick leave are rolled into one paid leave and any
absence whether scheduled, such as vacation or unscheduled, such as sick leave, are
taken from the accumulated leave they have earned.
Company B has the more traditional PTO, in which the employees are given 12
days of vacation, 10 days of sick leave and 10 holidays. They are also not open or in
operation during these holidays. They accumulate vacation a one day per month. Sick
leave has unlimited accumulation however, this would not be paid when the employee is
terminated from employment (vacation would be paid). Now that we have gone over the
different PTO policies for Company A and Company B, HR is looking to possibly
combine, modify or create a new Paid Time Off benefits package. The ultimate goals is
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Subject
Human Resource Management