From Susan M. Heathfield,
Your Guide to Human Resources.
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Definition:

Paid vacation days are time off work an organization voluntarily provides employees as a benefit. The number of paid vacation days is generally accrued by employees based on years of service to the organization and the level of their position. While there are no Federal laws in the United States that require an employer to offer paid vacation days as a benefit, employers of choice offer employees paid vacation days.

In fact, paid vacation days as a benefit are so common that potential employees expect paid vacation days as part of a comprehensive benefits package. Most organizations use a formula that assigns a certain number of hours accrued during each pay period based on time with the company. Paid vacation days in the United States range from five to 30. In Europe and other parts of the world, paid vacation days are more liberal. (An example of a formula is available in this paid time off policy.)

Accoring to the Society for Human Resource Management, in a 2004 benefits study highlighted by Salary.com, employees with:

• One year of service receive an average of 9 paid vacation days,
• Two years of service receive an average of 10 paid vacation days,
• Three - four years of service receive an average of 12 paid vacation days,
• Five years of service receive an average of 14 paid vacation days,
• Six - seven years of service receive an average of 15 paid vacation days,
• Eight - nine years of service receive an average of 16 paid vacation days,
• Ten years of service receive an average of 17 paid vacation days,
• 11-13 years of service receive an average of 18 paid vacation days,
• 14-15 years of service receive an average of 19 paid vacation days, and
• More than 15 years of service receive an average of 21 paid vacation days.

Executive positions can and do negotiate more time.

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Also Known As: Paid time off, vacation time, paid vacation, holidays