I suppose this depends on the company. My firm recently enacted this policy, and it's worked out great. Everyone is taking a lot more vacation, not less. People

I suppose this depends on the company. My firm recently enacted this policy, and it's worked out great. Everyone is taking a lot more vacation, not less. People don't come into the office when they're sick any more. When the company trusts its employees and wants them to have a good quality of life (because this makes for happy, productive workers), this policy works.