How Beacon Health Creates a Culture of Care with Their PTO Policy

Strong workplace policies are more than boxes to check—they shape your culture and influence overall success. See how our client made one simple change with their PTO policy to create a better culture of care. 

Empathy in workplace policies isn’t just a “nice to have.” It directly addresses key factors like burnout, stress, and job satisfaction. Our data proves this: 88% of employees are more likely to stay with an organization that actively empathizes with their needs.  

Flexibility ranks at the top of employees’ lists of most empathetic benefits. This includes benefits like paid time off, flexible work hours and location, and mental health days or weeks. Flexibility is a perk that benefits everyone, and Beacon Health saw an opportunity to update their PTO policy to support their current employees and attract new talent. Another good reminder that flexibility doesn’t always have to be about work location.  

Beacon Health, a regional health system in Northern Indiana and Southwest Michigan, employs around 8,000 people. Faced with stiff competition for talent in the region, Beacon Health knew they needed a benefits package that set them apart—and their PTO policy became a key element of their strategy. 

Looking for a benefits administration partner to help you transform your employee experience? Let’s talk. 

How Beacon Health put more empathy into their PTO policy

“We had the vision of going with a defined contribution approach to benefits when coming over to Businessolver, like a cafeteria plan almost on steroids. We wanted to look at every aspect of employee benefits, not just the medical dental vision, but PTO, retirement match, tuition reimbursement, anything and everything that could be a benefit to employees. Because with a workforce like ours, and a lot of employers, everybody’s benefit needs are different. So we landed on Businessolver as our benefits administration partner because you were willing to work with us on the approach and try new things.” Annette Vota, Director of Benefits and HRIS at Beacon Health, a Businessolver client. 

Annette’s team decided to start with a PTO overhaul as part of their benefits transformation because they saw an opportunity to give their employees more flexibility to use their paid time off in ways that worked for their unique needs. This included introducing new policies like: 

• Grant-Based PTO: Employees receive their full PTO allotment at the start of the year, providing clarity and flexibility right from January 1. 

• Cash Conversion Options: Employees can choose to convert unused PTO hours into additional income, offering financial flexibility. 

• Helping Balance Cash Conversion with Usage: To emphasize mental health and wellbeing, employees are required to use a portion of their PTO for actual time off before converting or cashing in the rest. 

The ROI of empathy in PTO policies

Beacon Health’s PTO policy isn’t just a feel-good perk—it delivered measurable results across the organization. Employee burnout can cost your organization over $125 billion (yep, with a b) in healthcare expenses and loss of productivity. But when empathy is infused into your benefits administration strategy and your people policies from the start, it has a direct and indirect effect on cost and risk management. This includes:  

• Improved Employee Retention and Satisfaction: High turnover is costly, especially in healthcare. Offering flexibility and clear benefits fosters loyalty. Employees are more likely to stay when they feel valued and supported.  

• Reduced Burnout: Encouraging employees to use PTO prevents workplace burnout, improving overall well-being and productivity.  

• Attraction of Top Talent: Recruiting in competitive markets is tough. Comprehensive and empathetic benefits—like flexible PTO—make organizations more attractive to potential hires.  

Businessolver’s data reveals that 83% of employees say flexibility is a top indicator of an empathetic organization. Furthermore, empathetic workplaces experience improved job satisfaction, increased motivation, higher productivity, and better retention. It’s clear that empathy isn’t just a perk; it’s a competitive advantage. 

4 Steps to Build Empathy in Your Workplace Policies 

The Beacon Health model offers invaluable lessons for HR professionals ready to enhance their own organizations. Here are four steps to bring empathy into your workplace policies: 

1. Listen to your employees 

Conduct surveys or one-on-one meetings to understand the specific needs and preferences of your workforce. A multigenerational staff requires varied options, so knowing your employees’ priorities is key.  

2. Make flexibility a non-negotiable 

Create policies that can be tailored to individual circumstances. Whether it’s flexible PTO like Beacon Health’s or options for remote work, showing adaptability demonstrates you value employees’ distinct needs.  

3. Promote mental health 

Go beyond lip service—build policies that actively encourage balance and downtime. Require employees to use part of their PTO for genuine rest and recovery, reinforcing that well-being matters. 

4. Find the right benefits administration partner 

Partner with a benefits administration platform that streamlines the process for both employees and your HR team. Tools like Businessolver make it easier to implement and manage personalized benefits.  

Beacon Health’s PTO policy is a testament to what’s possible when organizations put thought, care, and empathy into their workplace benefits. By listening to their employees and reimagining traditional policies, they created a culture of care that not only supports their workforce but also strengthens their business outcomes. 

Now it’s your turn. Can your PTO policy go beyond the standard offering?