Verdunity Handbook

Handbook Sections

HR 1.11 – Time Off

Version 1.1 (February 9, 2026)

Introduction

We are committed to fostering a healthy work-life balance and a flexible work environment for our team. We believe that providing adequate paid time off (PTO) not only helps our employees rest and recharge, but also upholds our core values of Meaningful Collaboration and Constant Improvement – a rested team is more creative, productive, and engaged. This PTO policy is designed to be clear and fair, giving employees the freedom to take time away when needed while ensuring we meet business and client needs. Verdunity trusts its employees to use PTO responsibly, and we encourage everyone to utilize their time off to avoid burnout and return to work with renewed energy and focus.

Scope

This PTO policy applies to all regular full-time employees of Verdunity. Part-time employees, temporary interns, contractors, and other short-term workers are not eligible for PTO benefits. All eligible employees have access to PTO from their date of hire.



PTO Vacation Allotment and Accrual

Annual PTO Vacation Benefit

Verdunity provides a competitive allotment for full-time employees. Full-time team members earn these vacation hours on the first work day of each year, which equates to 3 weeks (15 days). (Management may adjust the exact annual vacation allowance periodically to remain aligned with industry standards and tenure considerations.) PTO Vacation is a consolidated bank of days that employees can use for vacation, personal days, or any other reason requiring time away from work, no justification needed.

Maximum PTO Vacation Balance (Cap)

PTO Vacation hours do not expire at year-end – Verdunity does not have a “use-it-or-lose-it” annual reset. Instead, we impose a balance cap of 240 hours (30 days). This means an employee can carry over unused PTO Vacation indefinitely, up to the 240-hour cap. If your PTO Vacation bank reaches 240 hours, no further PTO Vacation will accrue until you use some time and your balance falls below 240. This cap encourages you to take time off regularly for your well-being, while preventing unlimited accrual. The 240-hour cap is considered a full sufficient reserve of time; hitting this maximum is a prompt to enjoy some of your well-earned time off!

Mid Year Hires

If you are hired mid-year, your PTO allotment for your first calendar year will be prorated based on your start date. For simplicity, Verdunity prorates PTO by quarter: employees hired in the first quarter receive 120 hours, the second quarter receive 90 hours, the third quarter receive 60 hours, and the fourth quarter receive 30 hours. Beginning the following calendar year, eligible employees will receive the full annual PTO allotment.

Additional Leaves

Sick Leave

Verdunity provides a separate sick leave benefit of 40 hours (5 days) per year for all full-time employees, intended for use when you are ill, attending medical appointments, or caring for an ill family member. Sick leave is granted at the start of each year (or pro-rated if you join mid-year) and does not carry over year to year – it resets annually. Unused sick leave is not paid out. This dedicated sick time ensures that you don’t have to dip into your general PTO for minor illnesses or health needs. (If you have a prolonged illness or medical absence beyond 40 hours, please discuss with your Practice Lead as other leave options, such as extended medical leave or short-term disability, may apply.)

Bereavement Leave

In the unfortunate event of a death in the family or other catastrophic loss, employees may take up to 10 days of paid bereavement leave per occurrence. This leave is separate from PTO and is available to help you focus on family and personal matters during difficult times. Notify your Practice Lead as soon as feasible if you need to use bereavement leave; approval will be granted with sensitivity to your situation.

Holidays

Verdunity observes 10 fixed paid holidays each calendar year. These holidays are noted in the most up to date employee handbook (typically including days such as New Year’s Day, Memorial Day, Independence Day, Labor Day, Thanksgiving Day, the day after Thanksgiving, Christmas Day, etc., plus a few additional days determined by the company). On these designated holidays, the office is closed and full-time employees are paid for the day. Holiday dates may be adjusted slightly year-to-year depending on how they fall on the calendar, and a holiday schedule will be published. Note: Holiday pay is separate and does not deduct from your PTO balance.

Company-Wide Breaks

Verdunity’s leadership may occasionally declare additional company-wide days off beyond the standard holidays (for example, an extra day off adjacent to a holiday, or a mental health day for the whole team). These are discretionary and will be communicated in advance when granted. Such days off are fully paid and do not count against your PTO balance.

Parental, Medical, and Other Protected Leaves

Verdunity is committed to supporting team members through major life events—welcoming a child, managing a serious health condition, or caring for a family member—while also complying with all applicable federal, state, and local leave requirements. Because leave laws and benefit options can vary by an employee’s work location and circumstances, Verdunity does not attempt to pre-answer every scenario in this policy. Instead, when a qualifying need arises (including pregnancy, childbirth, adoption, foster placement, bonding time, or a serious medical condition), we will meet with the employee to understand the situation, confirm what legal protections apply, and agree on a plan that is fair, workable for the team, and respectful of the employee’s needs.

Where required, Verdunity will administer job-protected leave under the Family and Medical Leave Act (FMLA) and related laws. Under federal FMLA rules, eligibility depends on factors such as length of service, hours worked, and whether the employer meets the covered-employer threshold in the employee’s work area; eligible employees of covered employers can take unpaid, job-protected leave for qualifying family and medical reasons, with continuation of group health coverage under the same terms. If FMLA does not apply in a given situation, other legal protections may still apply, and Verdunity will still work with the employee to determine an appropriate approach.

Verdunity may also coordinate leave with short-term disability (STD) or long-term disability (LTD) benefits, when available and applicable. Disability programs and eligibility criteria can differ based on plan documents and state rules; when an employee needs extended time away due to a medical condition (including pregnancy-related medical limitations or complications), we will walk through the available options and how they interact with PTO and sick time. Separately, Verdunity will provide reasonable accommodations as required by law for pregnancy, childbirth, and related medical conditions unless doing so would cause an undue hardship. Leave can also be a reasonable accommodation in certain disability-related circumstances under the ADA framework, depending on the facts of the situation.

Verdunity recognizes that there are more types of protected leave required by federal, state, or local law, than are articulated throughout this policy. Critically, we will comply with all applicable requirements based on an employee’s work location and circumstances. In addition to a number of leave mentioned above, these might include military leave, workers’ compensation injuries, jury duty, and other legally protected absences. Since we have not anticipated every scenario in this policy; when a protected-leave need arises, the employee should promptly notify their supervisor, and the supervisor will coordinate a conversation with company leadership to confirm what rules apply and establish a clear, practical plan for time away, coverage, and return-to-work expectations. Verdunity will handle these conversations with discretion, respect privacy to the extent reasonably possible.

Compensatory Time

Verdunity’s goal is to manage workload sustainably while meeting client commitments. From time to time, exempt employees may be asked to support unusual deadlines, travel, public meetings, or other business needs that require time beyond a typical work schedule. In limited circumstances, Verdunity may provide Compensatory Time (“Comp Time”) as a form of scheduling flexibility. Comp Time is not overtime, is not an entitlement, and is not earned on an hour-for-hour basis. It is a discretionary benefit that may be granted by a Supervisor based on business need, individual workload, and the employee’s contribution during an atypical demand period.

Comp Time is available only to employees classified as exempt. Verdunity does not provide comp time in lieu of overtime for non-exempt employees; non-exempt employees who work more than 40 hours in a workweek will be paid overtime as required by law.

When Comp Time is appropriate, the Supervisor will confirm the amount and timing with the employee. Comp Time should be used as soon as practical after it is granted, and scheduling must take into account project deadlines, team coverage, and client needs. Comp Time may be denied or rescheduled if business conditions require coverage. To keep this practice simple and to avoid turning it into an informal bank, Comp Time is intended to be used in half-day or full-day increments, and the maximum Comp Time available to an employee at any given time is 16 hour. Any Comp Time not used within 30 days will be forfeited unless otherwise approved by company leadership.

Comp Time has no cash value and will not be paid out upon separation from employment. Verdunity may modify, suspend, or discontinue Comp Time at any time based on business capacity, compliance considerations, or operational needs. Employees should record Comp Time on their calendar so the team can plan around availability and should follow the same notice and communication expectations as other planned time away whenever feasible.

Requesting and Scheduling Time Off

Approval Process

All PTO (as well as planned use of sick leave or other leave) must be requested and approved in advance to ensure adequate staffing and project coverage. To request time off, communicate your PTO request to your Supervisor via email. Your Supervisor will review the request, coordinate within the team for coverage, and approve or discuss any conflicts with you. Final approval is based on business needs – we strive to accommodate all reasonable requests, but there may be times we ask to adjust dates to maintain workflow or meet critical deadlines.

Notice Guidelines

For planned PTO (vacations, personal days, etc.), employees are strongly encouraged to give at least 30 days’ notice prior to the start of the leave. Providing around one month’s notice for significant time off allows the team to plan ahead and redistribute tasks if needed . We understand that not all PTO can be planned that far in advance, but as a general practice, more notice is better. At minimum, please try to request PTO as early as possible once you know you will need the time. Larger blocks of PTO (e.g. a week or more) especially should be communicated well ahead of time. For unplanned or emergency absences (illness, family emergency), notify your Supervisor as soon as you can; these situations will, of course, not require 30 days’ notice.

Short Absences and Flex Time

Verdunity recognizes that occasionally you may need to come in late, leave early, or take a couple of hours during the day for personal needs (doctor appointment, school meeting, etc.). If you require a short absence of less than half a day, you do not necessarily have to use PTO. We allow flexibility for brief periods away from work as long as you communicate with your team and Supervisor in advance and make arrangements to cover your responsibilities or make up the time. In practice, this means if you have (for example) a two-hour appointment, you might work slightly extended hours on other days that week or coordinate with a colleague to handle anything urgent while you’re out. We ask that you still inform your Supervisor of these short absences and get their approval for scheduling purposes, but we will not deduct from your PTO balance for an absence under four hours that is made up or accommodated within the pay period. This policy reflects our trust in employees and our value of flexibility, while maintaining accountability to the team. If a pattern of frequent short absences develops or coverage issues arise, your supervisor will discuss the appropriate use of PTO versus informal flex time.

Half-Day Increments

The smallest increment of PTO that must be formally recorded is a half-day (four hours). If you need a half-day or more off, please submit a PTO request for that time. For any full-day or multi-day PTO, normal request/approval procedure applies. (For non-exempt/hourly employees, PTO can be taken in hourly increments as needed and recorded on your timesheet, since hourly staff must account for all hours worked or not worked in the day.)

Conflicts and Priority

When multiple team members request the same time period off and staffing would be impacted, the Supervisor will make approval decisions based on factors such as order of request, project deadlines, and fairness of rotating popular vacation times. We aim to avoid denying any PTO outright. If a conflict arises (for example, too many people request off during a critical week), we will work with the employees on alternative solutions – this might include adjusting dates or arranging partial overlaps. Your cooperation and understanding in these situations are appreciated. Our goal is to ensure everyone takes their earned time off while keeping our commitments to clients and coworkers.

During Your Time Off

Handover and Coverage

For planned absences, once approved, it is critical that you work with your Supervisor and colleagues to hand off any important tasks. This may include briefing a teammate on project status, setting an out-of-office email message, and ensuring that your deadlines are either completed or deferred. Each Practice/Team may have its own checklist to prepare for coverage while you’re away. By planning ahead, you help make your time off truly relaxing (since you know things are under control) and prevent overloading colleagues unexpectedly.

No Work Expectation

PTO is provided so you can disconnect from work. When you are on PTO, you are not expected to check email or messages. In fact, we encourage you to unplug and rejuvenate. (The only exception would be an extreme emergency at work, which is very rare – otherwise, your team will respect your time off.) Verdunity’s culture supports taking the time you’ve earned; taking PTO will not negatively affect performance evaluations. Managers will celebrate and normalize team members using their PTO, as we want a rested, motivated team.

Holidays During PTO

If a company-paid holiday occurs during your scheduled PTO, that day will be charged as a holiday, not against your PTO balance. For example, if you take a week of PTO during which a holiday falls on Wednesday, that Wednesday is paid as a holiday and not counted as a PTO day used.

Separation and Payouts

Upon leaving Verdunity, an employee will be paid out for any accrued, unused PTO, up to a total of 120 hours, according to applicable state law and company policy. We will honor all earned PTO in your final paycheck (note: unused sick leave or bereavement leave is not paid out as those are special-purpose benefits). If state law requires any additional treatment of carryover or accrued time, the company will comply.