Talent and Employee Management Insights Blog

The Benefits of Implementing PTO Donation Policy at Your Staffing Agency

Typically, a PTO donation program falls into three standard models:

Successfully running a staffing agency means prioritizing compliance at all times. No matter the size of your recruiting business, you will need to maintain compliance across multiple functions. Most business owners recognize that payroll, workers' compensation, and tax mandates all come into play with every hire. However, some recruiting companies may not recognize the need for maintaining paid time off (PTO) payout compliance — until it's too late.

PTO payout can prove exceptionally tricky for staffing agencies that recruit for jobs across multiple state lines. It’s not enough to understand the PTO rules for each state while a contractor is working. Staffing agencies must also know and comply with the specific PTO payout laws by state when a contractor leaves a specific job. Answering the question, “What are the PTO Payout Laws by State?”  is often tougher than they think.  Not only does each state have its own legislature regarding PTO payout requirements — but the laws themselves are constantly changing, making it difficult for staffing companies to keep up.