Tovala, a company that makes smart ovens and meal kits, has an unusual paid time off (PTO) policy. They not only offer unlimited PTO, but actually fine employees for not using at least 15 days per year. This has positively impacted business in numerous ways, including a high employee retention rate.
Scan-to-cook is a trend to watch in 2020. Of note, Amazon has released its own smart oven this year. Tovala offers wifi-enabled smart ovens and a meal kit service intended to make eating healthy, quality, low-waste meals as easy as scanning a barcode. But what makes this company especially interesting is the fact that it has a customer retention rate far higher than its major competitors, including Blue Apron.
Having hired people who believed in Tovala’s mission and were invested in the company’s success, the cofounders felt confident employees wouldn’t abuse an unlimited vacation policy—they’d communicate with their team accordingly and make sure the timing made sense. “We wanted something shocking in order to reinforce the idea that we value work-life balance, specifically time off,” Rabie says. He adds that the whole leadership team adheres to this policy. “When we take vacations, we make a point to explicitly say, ‘Hey, we'll be out for X amount of days visiting family, going away, etc. This is your reminder that you should take vacation just like we do.
Ends up with the concrete result of employees working harder when we need them, and us having very little employee turnover. There isn’t any resentment about needing to work the occasional weekend, for example, because everyone knows that when they want time off, they will be able to take it.Tim McCoy Photo
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