Goldman Sachs will allow partners and managing directors to take as much time off as they want under a new “flexible vacation” to “rest and recharge”, according to an internal memo. “As of May 1, there will be no cap on paid leave and senior staff can take time off without a fixed vacation day entitlement,” the memo said.
All about the new Goldman Sachs policy
The memo stated that as of May 1, there is no cap on paid leave for senior staff in the firm. Every employee will also be expected to take a minimum of 15 days leave per year from January 2023, with at least one week of consecutive time off. Junior staff will get an extra two days off each year.
The move is significant for Wall Street banks whose employees work for extremely long hours. Moreover, it is following a complaint from a group of first-year analysts at Goldman Sachs about overworking. The employees threatened to quit if the conditions remained the same.
Unlimited holidays for better mental health
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David Solomon, the chief executive of the bank stated that they are taking the complaints very seriously. Goldman is notorious for its excruciatingly long working hours. The firm is hoping that this new plan will help in improving resilience and well-being among staff. Recently, the new concept of unlimited holidays is becoming more popular. Companies including LinkedIn, Glassdoor, and Netflix were successful in incorporating it to stop staff from experiencing burnout.
Goldman Sachs is also one of the few financial institutes to bring staff back to the office five days a week. According to Solomon, working from home was a ‘temporary aberration’. He stated that working from the office is ‘critical’ for operations.