What does quiet vacationing mean for your Hungarian company?

What does quiet vacationing mean for your Hungarian company?

Quiet vacationing is a trend that gets more and more prevalent in the U.S. It refers to taking time off without formally reporting it, often by pretending to still be working. Obviously, this is not good for business, but the reason why is more complex than it seems at first glance.

What is quiet vacationing exactly?

Quiet vacationing is not a new phenomenon: it used to be known as “hush trips” or “hush vacation”. Of course, the spread of remote work options made it easier for employees to create the illusion of being present or even fake working while in fact being away from their regular work. As a result, quiet vacationing may include a wide range of activities, with varying degrees of work getting done, e.g.:

  • working remotely, but from a resort instead of from home
  • picking up the phone from the side of a swimming pool
  • scheduling messages to be sent during working hours
  • scheduling messages to be sent after working hours to simulate overtime
  • setting up auto-responders
  • moving the cursor every now and then to fake mouse activity
  • writing scripts to fake keyboard activity

According to estimates, about 55% of PTO is left unused in the U.S. every year, while 78% of U.S. employees do not take all their PTO. The reason for this seems to be a sustained pressure to perform effectively, as a result of which many workers are afraid that they will be considered to be slacking, and they will be dismissed for promotions or raises if they take time off to relax. Another reason might be that workers are saving their PTO for emergencies – and if no emergency comes up, PTO days remain unused.

Why is quiet vacationing harmful?

Obviously, quiet vacationing hurts the business when employees do not work, only fake working: when they get a salary without performing tasks in accordance with expectations. However, you might still have a problem if employees perform all their tasks as expected, just not from their home but from, say, a resort. In this case, employees cannot take full advantage of their (quiet) vacation, they cannot really relax, which leads to declining performance and even burnout.

Burnout is easier to prevent than to treat, similar to how it is easier (and cheaper) to retain a good employee than to recruit a new one. As a result, letting the practice of quiet vacationing prevail can cause problems in the long run even if employees keep performing essential tasks while away.

How to prevent quiet vacationing?

Since quiet vacationing seems to be a result of an organizational culture that favors presence to efficiency and motivation, simply removing remote working options will not solve the long-term problems of declining motivation and performance. On the contrary, trusting employees’ judgement about their needs regarding both performing their tasks and recharging when needed is essential to maintain employees’ performance, motivation, and fitness to work. To achieve that, the employer must not only let, but encourage employees to take full advantage of their available PTO days, allowing them to relax and recharge as necessary.

In Hungary, this is supported by the Labor Code as well. Hungarian employees have at least 20 days of PTO each year, and it is the responsibility of the employer to assign all of these days by the end of each year (some days may be carried over to the following year, but they must be used up sooner or later). PTO should also include at least 14 consecutive days of holiday to let employees properly unplug and relax. Beside standard PTO, employees are also eligible for paid sick leaves, can be exempt from work under certain conditions, and even ask for unpaid leaves. This way using PTO is not considered a right, but a duty, while there is no need to “save” PTO for emergencies.

Moreover, working time and rest time are distinctly separate in most countries of the EU, and employers cannot expect their employees to be available outside of working hours unless they are on standby or doing overtime, both of which should be properly compensated. Even then, minimum rest periods must be observed.

Build an organizational culture that promotes a healthy work-life balance

Quiet vacationing is a result of an unhealthy working culture where employees cannot take full advantage of their PTO. This is not a sustainable practice, and it is best prevented by building an organizational culture that supports every employee in taking time off. This includes managers as well, since leaders lead by example. Thankfully, in Hungary this is endorsed by the Labor Code, and compliance with regulations will allow your business to create a positive as well as sustainable business culture.

Let Helpers be your guide

With 20 years of experience supporting foreign businesses in Hungary, Helpers offers assistance not only with work permit application but also with payroll administration and HR compliance, which naturally includes registering PTO. Should you need any assistance, feel free to reach out to us.

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