The increasing prevalence of sabbaticals is part of the rising trend of UK workers prioritising their work-life balance.
A sabbatical is an arranged period of leave that employees can take while their employer holds their position. It is typically unpaid and can last anywhere from a few weeks to a year or more.
According to a recent study by the Chartered Management Institute, over half (53%) of companies now offer sabbaticals as a benefit – a significant jump from only 38% in 2022.
Two-fifths of these respondents said they offered sabbatical leave to improve employees’ well-being. At the same time, 36% wanted to cultivate a more flexible work culture, and 31% wanted to increase talent retention.
But how effective are they in practice? This post will unpack the research and discuss whether sabbaticals improve employees’ engagement and willingness to stay at their company.
Sabbaticals benefit both employees and employers
To understand how sabbaticals affect employees, employers and retention, the Harvard Business Review (HBR) conducted in-depth research by interviewing 50 professionals from various sectors, such as consulting, design, finance, medicine, education, and technology. This research concluded that every participant in the sample experienced significant, positive changes in their personal lives.
These benefits also caused positive changes when they returned to the workforce.
1. Opportunities for personal and professional growth
Sabbaticals give employees time to train and upskill. People traditionally associate sabbaticals with academics taking research leave or doctors volunteering for Doctors Without Borders. The same principle can apply to the corporate world.
By gaining qualifications or new experiences, employees get new skills and perspectives, which, in turn, benefit the company. An employee who returns from a sabbatical often brings fresh ideas and a broader outlook, enriching the workplace culture.
HBR’s research found that sabbaticals offer a surprising opportunity to invest in leadership. Participants who took sabbaticals reported greater self-confidence in their managerial skills and were eager to step up when they returned to their workplace.
2. Combatting burnout
Sabbaticals allow employees longer to recover from the grind of working than is possible with annual leave limitations.
HBR’s researchers determined that sabbaticals can be an effective preventative measure for burnout. Extended time off can help employees recharge and return to work with a renewed perspective and motivation, reducing the likelihood of burnout-related resignations.
3. Improved job satisfaction
Planned periods away from work allow people to feel more in control of their lives and aspirations. Any workplace offering sabbaticals will gain a positive reputation and signal to future and current employees that it values well-being.
This gesture can lead to a more satisfied workforce and reduce the chance of people leaving for better opportunities elsewhere.
Research by Shasa Dobrow, an associate professor of management at the London School of Economics, found that sabbaticals impact employees’ feelings about their roles. She found that as people progress in their jobs, their satisfaction tends to decrease. It rose when they switched jobs and started in a new organisation before declining again.
However, when an employee takes a sabbatical, it mimics this effect by providing a chance for novelty and change without losing the employee to another company.
4. Cost-effective benefit
When budgets are tight, sabbaticals can be an inexpensive way to reward employees for their hard work. According to research led by HR software provider ADP, sabbaticals are so attractive that 20% of employees would accept one instead of a pay rise.
Moreover, workplaces are not obligated to pay employees during their time off, and employees do not accrue holiday pay during their time away.
Sabbaticals are also a risk for employers
Before implementing a sabbatical programme, HR leaders should consider these potential challenges.
1. Resource issues
Any business, particularly smaller ones, may struggle to accommodate long absences without impacting operations. Employers may have to hire temporary replacements for team members while on leave, which costs significant time and money to find and train.
Alternatively, holding an employee’s position open for them could lead to an increased workload for the remaining staff, potentially causing stress or resentment.
2. Employees may not return
There’s always a risk that employees will use their break to transition out of the company. When employees take time away from work to travel or spend more time with loved ones, they may become disenchanted with their previous lives. They’ll also have plenty of time to look for a more fulfilling or flexible job.
HBR’s research found that sabbatical-takers were least likely to return when the break was a last resort, i.e. when the employee needed to escape from unsustainable work. Employees happy in their roles but desired a temporary adventure were more likely to return.
3. Inequalities in the workplace
HBR’s sample of employees who took sabbaticals often enjoyed their time so much that they also encouraged their friends and colleagues to take one. However, lower-ranked employees with lower salaries may not have the financial security to afford an unpaid sabbatical.
They confessed they felt part of a privileged circle, as their career and financial success made their sabbatical possible. This may lead to resentment among subordinates who don’t have the same opportunities.
Are sabbaticals worth the investment?
When done right, sabbaticals can be a powerful tool for upskilling talent, boosting morale, and fostering a flexible company culture.
Offering sabbaticals might be a compelling, cost-effective addition to an employee benefits package for companies grappling with high turnover rates. Businesses can cultivate a more engaged, loyal workforce by prioritising employees’ long-term well-being and development.
However, businesses should consider the potential drawbacks. Sabbaticals can overload other employees and engender resentment among those who don’t have the opportunity to take one.
Employers should consider implementing some eligibility criteria which employees need to meet before applying for a sabbatical, such as:
- A minimum number of years of employment
- A time limit for the length of the sabbatical
- A limit to the number of employees who can take a sabbatical at any given time
- Being in a job role which can be easily covered during time away (meaning specialist roles are not eligible to take one)
HR managers should also be aware there is no general legal right to a sabbatical, so they can deny a request when necessary. However, this comes with the obvious risk that it may cause an employee to resign.
For practical advice on implementing a robust sabbatical policy, check the Chartered Institute of Personnel and Development’s sabbaticals guide for people professionals.