b6032 wk2 assignment ranju lewis


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Assignment 2: Case study—Paid Time Off (PTO) Policies

PTO policies have become good tools for HR staff to use in terms of  organizational incentives. Use the Argosy University online library and  your textbooks to read about PTO policies. Now, let us go back to  Company A and Company B from Module 1.

While reviewing the information from the two merged companies, the HR  Director has found out that each company has two different PTO  policies.

Company A has a PTO system in which employees are given 30 days of  paid time off each year, which accumulates at the rate of 2.5 days a  month. Under this policy, vacation and sick leave are all rolled into  one paid leave and any absence whether scheduled, such as vacation, or  unscheduled, such as sick leave, are taken from the accumulated leave  the employee has earned.

Company B has a more traditional leave system in which employees are  given 12 days of vacation, 10 days of sick leave and 10 holidays. The  company is closed on those holidays. Vacation is accumulated at a day  per month. Sick leave has an unlimited accumulation, but unlike vacation  would not be paid out upon termination of employment.

Since the employees of the merged company will be working side by  side, the HR Director has asked you to review the situation and make  recommendations for a solution.


As an HR Director prepare a report addressing the following issues:

  • Identify any additional information you would need to recommend a  solution, and explain where you would likely find that information.
  • Discuss any issues you would likely encounter if you were to merge  the PTO system to a traditional leave system. Explain which issues would  be difficult to solve and why.
  • Explain any problems you see with leaving the two systems in place,  and identify which system would be assigned for new employees.
  • Make a recommendation for one common PTO system. Explain your system  and why you think this system is the best system for the company.

Include two to three scholarly references in your response.

Write a five-to-seven-page memo to the company’s Chief Executive Officer (CEO). Apply APA standards to citation of sources.


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