Microsoft’s Unlimited Vacation Policy May Be Tied to the Activision Blizzard Deal

Microsoft is making every effort to play the “nice guy” as the terms of the Activision Blizzard agreement become increasingly severe. In order to get approval for the acquisition, many steps were taken, and even more proposals were made to numerous companies. Following that, it was recently discovered that Microsoft has implemented a new policy where workers can take as much time off as they like, with pay.

In an email sent earlier this week to employees in the United States, Microsoft’s chief people officer Kathleen Hogan announced this change. In the email, Hogan detailed how the company is bringing a more “flexible model” to its vacation policy.

How, when, and where we do our jobs has dramatically changed. And as we’ve transformed, modernizing our vacation policy to a more flexible model was a natural next step.”

In industries like technology, banking, and others that are currently experiencing a shortage of qualified workers, strategies like ‘unlimited paid time off’ have grown increasingly popular. The policy at Microsoft is called “Discretionary Time Off,” according to The Verge, which obtained a copy of the internal memo. It is however important to note that hourly workers are excluded from this policy.

Effective January 16, existing and new workers will no longer be required to collect vacation time. Microsoft is continuing to observe ten corporate holidays in addition to the unlimited vacation days. Every year, in April, workers will receive a lump sum payment for their accumulated vacation time. 

Even though it could seem like a great step in the right direction at first, many people don’t view it that way. Employees will no longer benefit from receiving compensation while leaving the company for their unused vacation. There are also speculations that the change in policy might not be related to the employees at all, rather it is an attempt by the company to frame it’s outlook.

There is much to say on both sides but let us know what you think of this change, and if it was made with the welfare of its employees in mind, or whether Microsoft had other plans.


Muhammad Qasim

Qasim's deep love for technology and gaming drives him to not only stay up-to-date on the latest developments but also to share his informed perspectives with others through his writing. Whether through this or other endeavors, he is committed to sharing his expertise and making a meaningful contribution to the world of tech and gaming.
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