Netflix takes a vacation from its vacation policyPosted: January 18, 2010 Filed under: Democratic Principles, employee engagement, Management Innovation | Tags: Brian Carney, Freedom Inc, great workplace, Management Innovation, Netflix no vacation policy, Reed Hastings ends vacation policy at Netflix, workplace democracy 1 Comment
Contrary to most companies, the vacation policy at Netflix is quite simple: “there is no policy or tracking.” Netflix CEO Reed Hastings referred to vacation limits and face-time requirements as “a relic of the industrial age.”
Several years ago, employees had argued that it wasn’t logical for the company to track vacation days since employees’ hours worked per day or per week were not being tracked.
Netflix executives agreed and did away with vacation policy after the legal issues were taken care of. In a presentation that was leaked to the media, Neflix realized that they “should focus on what people get done, not how many hours or days worked. Just as we don’t have a 9-5 day policy, we don’t need a vacation policy.”
Netflix employees are encouraged to take as much vacation time as they want as long as it doesn’t interfere with their work.
To executives who might worry about such a policy vacuum being taken advantage of by employees, Brian Carney, the author of Freedom, Inc., responds “In a large enough organization, there might be a couple of people who would take two or three months’ vacation–but if a vacation policy is the only thing holding them back from that, they’re probably ‘vacationing’ at their desks anyway.”