This city’s unlimited paid time off policy believed to be first in suburbs
Some public employees at Rolling Meadows City Hall are now eligible for unlimited paid time off, in what is believed to be a first for a large municipality in the suburbs.
The updated personnel policy, which is being rolled out this year before taking full effect in 2025, was touted by Mayor Lara Sanoica as a “long overdue” change that brings the public employer in line with private sector practices that are increasing in popularity.
The Illinois Association of Municipal Management Assistants recognized the program at its April 19 conference as an “innovative community program in Illinois government.”
That recognition comes a year after University of Illinois Chicago master’s students turned in a capstone project that analyzed Rolling Meadows’ personnel policies and made recommendations for changes, including unlimited PTO.
Only 26 city employees — about 15% of the city’s total workforce — are eligible for the new benefits. They include mostly full-time, non-unionized managerial positions — such as the city manager, police and fire chiefs, finance and public works directors, and their deputy directors.
Employees represented by four unions, including police and fire, are covered by more traditional benefit plans negotiated in their contracts.
Non-unionized city employees have until the end of the year to opt out and stay within the traditional accrued vacation time system, if they so choose. They can also opt in as soon as they want and get paid out for what they’ve accrued so far.
New employees have to take the new plan, according to the updated employee manual.
City officials believe the policy change will help them compete for top talent and create incentives for performance. It comes at the same time as a shift from a traditional, seniority-based “step” system to a merit pay one.
“If you look at these changes as a package, they’re designed to complement each other and make sure we have strong incentives for people to perform efficiently and effectively at the office, and to support them while doing that,” said Assistant City Manager Glen Cole, who oversaw design and implementation of the personnel policies.
Cole said the change would also reduce taxpayers’ financial liability for accrued payable leave, in which employees can build up banks of vacation and sick time to cash out at retirement and maximize pension benefits.
Time-off requests are to be submitted to city department heads, but are not guaranteed to be approved due to “business or staffing needs,” according to the new policy.
“Most employers want to allow people to use vacation reasonably within the bounds of performance and coverage and being able to meet the functions of the organization, and that’s the same that’s true here,” Cole said. “It’s what we’re able to accommodate reasonably with other staff and other planned absences and things like that, the same way you would have to negotiate with your employer if you build up that three or four weeks and are looking to take it all at once.”
For unplanned illness, employees can get up to two weeks off — and may have to provide a doctor’s note, the policy states. Then if needed, they can tap the Family Medical Leave Act, which comes with a 12-week maximum.