Imagine a world where you don’t have a set amount of paid annual leave. Sounds great, right? No more agonizing over using those last few days before they expire or stressing about exceeding your limit.
That’s the idea behind unlimited paid annual leave – agents can take as much time off as they need (within reason, of course).
But is it a utopian dream or a recipe for chaos? Let’s dive into the pros and cons…
The Pros of Giving Agents Unlimited Paid Annual Leave
Unlimited paid annual leave has become a buzzworthy trend in workplaces worldwide, heralded as the ultimate employee perk.
From tech start-ups to creative agencies, many businesses are embracing this flexible approach as a way to attract top talent, boost morale, and redefine what leave looks like in the UK and beyond. Why?
Unlimited Leave Attracts Top Talent
Unlimited leave has become a coveted perk in today’s market, especially in industries like tech, where work–life balance often feels like an afterthought.
In Silicon Valley for example, where companies like Google and Netflix popularized the policy, unlimited annual leave (or vacation) isn’t just a benefit – it’s a way for companies to stand out in the race for top talent.
Because in a world where burnout is all too common, offering unlimited leave can be the deciding factor for candidates considering multiple job offers.
The promise of flexible time off speaks volumes. It says: We trust you to manage your own schedule and prioritize what matters most.
For high-performing agents juggling demanding workloads, this kind of autonomy can feel like a breath of fresh air.
It not only signals that you value your agents’ wellbeing, but it also sets you apart from competitors who may still be stuck in the traditional, more rigid policies.
So, to attract A-players who prioritize autonomy, work–life balance, and creative freedom, offering unlimited leave could be the game-changer that elevates your company above the rest.
If you are thinking about updating your job ads to get more talent into your contact centre, read our article: Are Your Job Ads Holding Back Your Contact Centre Recruitment?
When People Feel Trusted, They’re More Likely to Stay Loyal
Unlimited leave empowers agents to manage their time as they see fit – whether that’s jetting off for a last-minute holiday, or simply taking a day for their mental health – without having to come up with some convoluted fake emergency just to justify it.
Over time, this kind of autonomy can lead to higher job satisfaction and lower turnover rates.
Agents who are well rested and stress-free tend to perform better and handle customer queries well. After all, happier agents often means happier clients!
“I have worked with a company that offers this and it was surprising to see that there was no abuse of PTO as everyone appreciated the policy and knew it could be stopped any time.” – Irina “Mateeva” Hollatz, WFM Transformation Consultant at RightWFM
It’s Great for Supporting Your Agents Through a Personal Crisis
Life happens, and unlimited leave can be a great tool that offers crucial flexibility during more trying times.
For example, if one of your agents, let’s say Karen, ever needed extra time off to care for her mother after surgery, she could take it and feel safe in the knowledge that this wouldn’t have to be her only “holiday” throughout the entire year.
Because let’s face it — personal emergencies shouldn’t count as holiday time by any measure!
It’s incredibly compassionate of a company to recognize that people need varying lengths of time off to process things differently.
Whether it’s to support a family member, grieve a loss, or simply manage life’s unexpected hurdles, this kind of flexibility can make all the difference in maintaining agent wellbeing. It’s not just about being flexible – it’s about being human.
Once her mother recovers, Karen’s leave usage will still be there, demonstrating how an unlimited leave policy can adapt to short-term needs, without causing long-term disruption.
For three key steps to improving mental health and wellbeing in the contact centre, read our article: A Guide to Improving Mental Health in the Contact Centre
The Cons of Giving Agents Unlimited Paid Annual Leave
But is it really all it’s cracked up to be? Here are some of the cons of giving your agents unlimited paid annual leave…
Unlimited Leave Is Rarely as “Unlimited” as It Sounds
Yes, unfortunately that’s right: Unlimited leave is not a complete free-for-all.
For example, contact centres often need to set parameters, like blackout dates during periods of peak demand.
On top of that, agents still need to get their annual leave approved by their manager, just like with a traditional system. This prevents everyone from disappearing at once.
This has spawned many authors critiquing the system, and even going so far as to label it a “scam” in terms of an employee benefit.
For someone who is just being introduced to unlimited leave, manager or agent, the concept as a whole can also seem a little misleading and hard to navigate.
This can lead to misunderstandings, missed deadlines, or frustration for everyone involved.
It Can Breed Unequal Usage
Unlimited leave can create an unintended culture of presenteeism, where some agents overwork while others (intentionally or unintentionally) take advantage.
For example, you may find certain agents completely abuse the system, regularly leaving their colleagues behind to struggle with high call volumes with a smaller-than-needed team.
Also, what about popular holiday seasons like Christmas? What if everyone wants to take their unlimited time off all at once? Where would this leave a team with only one person left, soldiering away, and staffing the phone lines during these times?
Without clear guidelines, the disparities could lead to resentment or burnout among the ranks, and most likely from high performers.
For advice on how you can improve the wellbeing of your teams by focusing on burn-in – instead of burn-out, read our article: Why It’s Time to Focus on Burn-In – Instead of Burn-Out
Employer Peer Pressure Can Undermine the Initiative
Unlimited leave sounds great in theory, but many employees hesitate to use it because they fear being judged – or worse, replaced.
Facet CEO Robert Sweeney said it himself in a 2019 blog post, entitled “Why we ditched our unlimited vacation plan”: “If you take too much time off, you will get fired.”
Let’s face it, some managers are not always fair or understanding – in fact some can be coercive or even intimidating to their employees at times – so from a general fairness or Diversity, Equity & Inclusion (DEI) perspective, this level of unspoken threat and potential for unequal treatment could end in disaster.
For example, imagine a scenario where employers want to dismiss Priya, an agent of colour, and ‘unreasonable’ unlimited leave is implied as one of the reasons.
This could leave the company with legal issues down the line, if her treatment was different from how others were being treated for exercising the same benefits.
It raises the question (and this must be established equally among all employees): How much time off is ‘too much’? When should this be communicated? And is that fair, when time off is meant to be unlimited?
Unfair Denial of Growth Opportunities
While unlimited leave is meant to empower agents to take time off as needed, some managers might interpret frequent time away as a lack of commitment or reliability, even if it’s fully within the policy.
In some cases, agents who take advantage of the flexibility might find themselves overlooked for promotions, pay rises, or special projects – damaging their career trajectories and turning something that was supposed to be a benefit into a hindrance.
They may be subtly (or not-so-subtly) penalized for using the very benefit they’re entitled to, which can feel like a double standard.
For examples of how you can help to develop your employees’ future career prospects within the contact centre, read our article: 10 Career Progression Opportunities to Offer Your Team
It Can Result in Team Peer Pressure and Guilt
Research from Perkbox revealed that 66% of working Brits have experienced something known as ‘Guilty Vacation Syndrome’.
It showed that in a high-pressure environment, agents might feel guilty about taking time off, especially if other colleagues are opting to “power through”.
This can create an unintended culture of presenteeism, where some agents overwork while others (perhaps unintentionally) take advantage, shattering the trust within the team’s dynamic.
3 Steps to Consider Before Implementing Unlimited Leave
So, the question of “is unlimited leave a good idea for my contact centre?” is a complex one with no easy answer. If you’re interested in trying it, however, we suggest you try these things:
1. Actually Ask Your Agents If They Want It
First things first – get feedback from your agents.
Is unlimited leave something they’d actually want and use? Some agents might love the idea of more flexibility, but others may be sceptical or uncertain.
Let them be honest with their answers. This is all about ensuring you’re meeting the real needs of your workforce, not just implementing a policy for the sake of it.
Also, be ready to keep the conversation going. Regular feedback from your team and staying open to tweaking the system will be essential in the event that it doesn’t quite work as intended.
It’s all about finding a balance that supports both your people and your business.
Communicating with your agents can make or break their buy-in to initiatives. For advice on what you can do to improve this, read our article: The 7 Cs of Effective Communication
2. Assess Your Company Culture
Before jumping in, take a step back and assess your company culture. Do agents feel comfortable and secure in their jobs enough to take time off without fear of judgement or being seen as lazy?
If there’s a culture of regularly working extra shifts and overtime, this policy might not be as effective – or even perceived as a true benefit.
Check for any unspoken fears or expectations that could influence how agents approach taking leave.
If you are looking to improve your contact centre culture, read our article: 9 Ways to Create a Thriving Contact Centre Culture
3. Determine Clear Rules and Parameters for Success
What does “unlimited” really mean in your contact centre?
Are there blackout dates during busy seasons? How much notice do people need to give? Is there a document that outlines who could step up in the case of emergencies?
Defining these parameters upfront creates transparency that helps to avoid confusion, ensures fairness, and keeps operations running smoothly.
The key to success overall tends to be clear communication, strong management oversight, and a culture that truly values work–life balance. Without these elements, unlimited annual leave can quickly turn into a logistical nightmare.
The Key Is Striking the Right Balance Between Freedom and Accountability
Unlimited paid annual leave isn’t a magic bullet – but it’s a compelling way to build trust, reward hard work, and redefine workplace culture.
At its best, this policy offers the chance for agents to recharge, come back stronger, and help your business stand out as an industry leader. At its worst, it can sow confusion and resentment. The key is striking the right balance between freedom and accountability.
So, is it worth it? That’s up to you and your agents to decide!
For more information on managing time off in the contact centre, read these articles next:
- The Best Ways to Deal With Last-Minute Time-Off Requests
- How to Manage Holiday and Vacation in the Contact Centre
- Example Holiday Booking Guidelines
Author: Stephanie Lennox
Reviewed by: Megan Jones
Published On: 28th Jan 2025 - Last modified: 30th Jan 2025
Read more about - Workforce Planning, Irina Mateeva, Shift Patterns, Staffing, Stephanie Lennox, Team Management, Top Story, Well Being, Workforce Management (WFM)
