SPOTLIGHT: Could employee sabbaticals be the key to retention?
February 2024
Brought to you by the
Experts say sabbaticals improve employee well-being and prevent burnout.
Employee burnout remains high:
Burnout is a "major factor driving high job turnover." More than 57% of American workers say they are "currently experiencing at least moderate levels of burnout." More than 75% of workers say they experience "at least a moderate level of stress."
Gen Z and millennials are "more than twice as likely as baby boomers to experience high or moderate burnout."
Women report significantly higher levels of burnout than their male counterparts, with 75% of women saying they are experiencing burnout at work, compared to 58% of men.
Experts say sabbaticals could be the answer to retaining workers who are experiencing burnout:
Experts say that the common paths for workers experiencing high levels of burnout include quitting, retiring or disengaging.
Sabbaticals offer a way for employers to recharge their employees as well as a way to attract and retain top talent.
Sabbatical policies remain rare:
The "first corporate sabbatical program in the United States" was launched in 1977, by McDonald's.
Twenty years after McDonald's launched its sabbatical program, a survey by the Society for Human Resource Management (SHRM) found that "nearly 17%" of employers offered either paid or unpaid sabbaticals."
In 2019, SHRM conducted another survey, and found that "only 11% of employers offered an unpaid sabbatical program and 5% offered sabbaticals with pay."
More recent surveys suggest an uptick in companies offering sabbaticals. According to 2022 research by WorldatWork, "27% of the 990 organizations surveyed offered unpaid sabbaticals" and 10% of organizations offered paid sabbaticals, up notably from 2016, when 18% of organizations offered unpaid sabbaticals and 8% offered paid sabbaticals.
While sabbaticals, especially paid sabbaticals, remain rare, experts say “sabbaticals are likely to be valued all the more for their relative scarcity.”
What do sabbatical policies actually look like?
Sabbatical policies "come in several varieties."
For example, some employers offer "an extended amount of paid time off after long service (e.g., six months off at full pay after 20 years of service)" while others offer "a short amount of time after relatively brief service (e.g., two weeks off after three years of service)."
Some sabbatical policies are "triggered simply by meeting a certain service requirement" while others have additional criteria for eligibility, "such as using the time off for charity work or to learn a new skill."
Will employees ‘just leave’ if offered a sabbatical?
Researchers at The Sabbatical Project say employers sometimes worry that employees will "just leave if you give them a sabbatical."
More than 75% of participants in The Sabbatical Project's study "who were offered a sabbatical by their companies returned."
Proponents say "sabbatical-takers" return to work "refreshed and engaged, with a realistic idea of how work can fit into—and enable—a life outside of work."
People come back feeling more authentic, like they have more autonomy."
Sabbatical policies can also help companies distribute responsibilities more effectively:
Researchers say that companies with sabbatical policies "learn how to better distribute responsibilities and also what breaks (or works better) in someone’s absence."
There are also increased "growth opportunities" for "junior employees."
From the company side, I think what you solve for is understanding better what happens when that person is gone. What’s your key personnel risk? What happens if that person quits, gets hit by a bus, whatever? This is a way to say, what goes well without them? What were they carrying that they should be delegating? Who stepped up in their absence? And what kind of ideas and creative energy do they bring back when they come back?"
Read more via Harvard Business Review, Business Insider, Aflac, Gallup, The Sabbatical Project, TIME, SHRM, World at Work
Adobe: Employees who have "worked at least 24 hours per week for five years without significant infractions" can become eligible for a 20-day (4 week) paid sabbatical. Adobe requires that "these 20 days must be taken within the first two years of becoming eligible for the sabbatical." Employees are again eligible after 10 years and 15 years of employment, and "for each consecutive period of five years, the length of the sabbatical increases by five days, reaching a maximum of 30 days." (JumpStartMag)
Bank of America: In 2022, Bank of America announced the launch of its sabbatical program. Long-term employees are rewarded with a "paid sabbatical … starting with four weeks off for those who have spent 15 years with the company." The program is designed both to "recognize tenure at the company at certain career milestones, and to attract and retain talent." (Bloomberg)
Clif Bar: After 7 years of employment, Clif Bar employees are eligible for a six-week paid sabbatical, which "they can use to spend time with their families, travel, and accomplish longstanding personal goals — no strings attached." (Business Insider)
Intel: Eligible U.S. employees can "take a generous eight-week break after completing seven years of service or a four-week break after four years of service." Intel calls it "one of Intel’s most popular benefits," and says sabbaticals provide a "unique opportunity to spend a paid, extended period of time away from work, and to relax and recharge." (Intel)
McDonald’s: McDonald's was the "first corporation to introduce a sabbatical program for its employees in the United States" back in 1977. Full-time employees who have "completed a decade of service" are eligible for paid sabbatical leave of eight-weeks to "focus on personal development and rejuvenation." (JumpStartMag)
Microsoft: Microsoft's Sabbatical Policy allows eligible employees "who have worked 10 years or more with the company" to take an eight-week paid sabbatical. (Cutler)
Patagonia: Patagonia's unique sabbatical program allows "employees from all parts of the company" to take "up to two months away from their regular roles to work for the environmental group of their choice while continuing to earn their paycheck and benefits." (Patagonia)
Paypal: After five years with PayPal, employees can "request 4 weeks of time off with pay through the Global Sabbatical Program." The program is designed to provide a "break from the pace and intensity of your work and allows you to spend more time with your family, travel, to pursue a social service project, or simply relax." (PayPal)