Companies try out unlimited vacation

Estimates about how many companies offer open-ended vacations run in the 2 to 4 percent range, mostly small startups but including none other than General Electric, which last year began offering unlimited vacation time to many of its executives.

Besides being a strong recruitment and retention tool, such policies can free companies from any unused vacation pay liability if they currently allow vacation days to accrue.

In a survey of 400 advertising and marketing executives and 400 office workers commissioned by the Creative Group last year, 39 percent of executives said they believed productivity would increase if employees had unlimited time off.

Some workers said they could not afford to take the time off, and others thought that forgoing vacation would demonstrate dedication to their employer.

A year ago, the Tribune Co. of Chicago offered unlimited time off for some salaried staff, then rescinded the policy one week later without explanation, other than to say that the change “had created confusion and concern.”