5 ms·

I think it is more to avoid having to pay out accrued vacation time when an employee leaves.

• jtbayly 4y ago
  Works out to the same thing. They get more work time from the employee for the money they spend.
• hnxs 4y ago
  It’s both. There’s literally no downside for the employer. Someone who abuses it is underperforming. You just fire them if it becomes a problem.
• maxerickson 4y ago
  That's an advantage of it, but I sort of expect it wouldn't be that popular with companies if it lead to people taking significantly more time off. California labor law regarding vacation time is relatively generous compared to other states, that's probably another part of it (my state allows use it or lose it, for example).