Hospitals rethink PTO to combat burnout

Hospital and health systems are reimagining paid time off not simply as a benefit, but as a proactive tool for combatting burnout, retaining talent and fostering a healthier workplace culture.

While PTO is typically positioned as offering employees flexibility, some organizations have found traditional models may have the opposite effect — encouraging workers to stockpile time rather than use it. 

Hospital and health system human resources leaders told Becker’s how they are removing barriers that prevent employees from using PTO and managing related costs.

Louisville, Ky.-based UofL Health is reviewing its PTO strategy for 2026 with a focus on encouraging utilization. 

“Currently, we have 150% carryover for their balance year over year, and team members regularly reach the maximum limit,” said Chrissy Rogers, system director of strategic talent and rewards. “We recognize that staffing shortages can make taking PTO difficult, so we are introducing a new technology platform to optimize float staff scheduling.”

The tool will help ensure patient coverage while supporting time-off requests, Ms. Rogers said.

Oklahoma City-based Integris Health is planning to preserve the revamped PTO model it rolled out in 2024. The shift included increased PTO for most caregivers, paid family leave for all caregivers, and employer-funded short-term disability coverage from day one, according to Wendy Chandler, senior vice president and chief human resources officer.

The system moved away from accrual-based PTO, which may unintentionally contribute to burnout by encouraging employees to save time off in exchange for a future cash payment.

“Our non-accrual-based plans, which have no cash value and reset annually, promote well-being by empowering our caregivers to advocate for their own well-being and take the necessary time off to rest and refresh,” Ms. Chandler said.

The operational challenge prompted leaders to plan more intentionally for employee time off and reassess staffing to accommodate the increase in requests.

“We approached this knowing we had a lot of education to do with our caregivers, who initially perceived the loss of the cash benefit, did not immediately see that the new plans encouraged them to take time off,” Ms. Chandler said. “Several years later, our workforce is more rested, and turnover is down, and leaders have learned to anticipate and plan ahead to accommodate time off without increasing labor costs.”

Balancing cost, staffing and employee expectations

Ms. Rogers noted that culturally, UofL Health is committed to promoting flexibility and wellness for its team members.

“At the same time, healthcare organizations nationwide are facing significant financial challenges,” she said. “These realities require us to focus on delivering the highest quality care in the most efficient way possible while controlling costs. Technology plays a critical role in achieving this goal, which is why we are implementing the new float staff scheduling capabilities to better manage staffing across the system.”

UofL Health’s plan includes vacation accrual plus up to 32 personal hours annually, which are paid upfront in January and designated as “use-it-or-lose-it” to encourage employees to take time off as needed, reinforcing flexibility without increasing long-term costs.

The system also pairs PTO with wellness initiatives such as employee assistant program access, low-cost therapy visits and a wellness stipend.

Tampa, Fla.-based Moffitt Cancer Center is not planning changes to its PTO policy in 2026 after increasing accrual for long-tenured staff in 2023. The organization prioritizes work-life support through work-from-home opportunities and market-competitive PTO, according to Jack McKenna, executive vice president and chief human resources officer. 

“Labor costs, patient care staffing needs, and work-life programs are all factors that must be balanced,” Mr. McKenna said. “We believe a sustainable PTO model must support the organization and the people who make our work possible.”

Grand Blanc, Mich.-based McLaren Health Care uses proactive planning and flexibility to meet employee expectations around PTO, Carissa Burton, senior vice president of human resources, said.

“Flexible work options reduce reliance on PTO, advance scheduling helps manage coverage and costs, and managers encourage healthy PTO usage to prevent burnout and turnover,” Ms. Burton said.

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