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Home » Business & Finance » Why Taking Time Off Can Make You More Productive Later

Why Taking Time Off Can Make You More Productive Later

Jack Reynolds by Jack Reynolds
July 7, 2025
in Business & Finance
Reading Time: 7 mins read
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Why taking time off can make you more productive later isn’t just counterintuitive—it’s a growing trend backed by hard data and real-world trials.

Why Taking Time Off Can Make You More Productive Later

The Productivity Paradox: Rest Fuels Performance

Contrary to traditional hustle narratives, numerous studies show that rest isn’t wasted time—it’s an investment.

  • A Harvard Business Review analysis found that every extra 10 hours of vacation correlated with an 8% increase in year-end performance.
  • A U.S. study in the Journal of Applied Psychology reports that holiday-induced happiness can last up to 43 days—more than double previous estimates.

Simply put, disconnecting from work and recharging directly increases effectiveness once you’re back at it.


Emerging Trend: The Four-Day Workweek

Beyond vacations, trialing condensed workweeks is gaining traction—and with results.

  • Spain’s renowned four-day week pilot demonstrated improvements in productivity, mental health, and environmental impact.
  • In the U.S., 97% of participants in these trials want to make it permanent—a sign of broad appeal.

Giving employees a full extra day off isn’t sweet talk—it’s a proven strategy to fuel creativity and reduce stress.


Burnout: A Costly Consequence of Ignoring Rest

During and after the shift to remote work, burnout and productivity loss became major issues.

  • Roughly 69% of remote workers report burnout, due to blurred work-life boundaries and digital overload.
  • Australia’s “infinite workday,” powered by nonstop email/chat notifications at ungodly hours, is now linked to disengagement and innovation decline.
  • Business Insider notes that overwork is pushing skilled workers into sick leave, hampering productivity.

The answer? Resetting boundaries through scheduled downtime or time off.


Practical Guide: Recharging Without Sacrificing Output

Here’s how professionals can apply this insight:

1. Schedule Regular Breaks

  • Micro-breaks: Short walks or digital detoxes help reset focus .
  • Weekly breaks: Take a half or full day off weekly to step back and recharge.

2. Maximize Vacations

  • Fully unplug: By disconnecting completely during time off, you extend the positive effects, potentially for over a month.
  • Plan activities that engage your body and mind—hiking, creative pursuits, or exploring new places.

3. Try a Shorter Workweek

  • If possible, explore four- or condensed-work week pilots.
  • Use that extra day for skills, wellbeing, or creative projects.

4. Set Digital Boundaries

  • Turn off notifications outside core hours.
  • Only check email/Teams at scheduled times—avoid starting your work before 9am or after 7pm.

5. Encourage Team-Wide Rest

  • Model behavior by taking time off yourself.
  • Invite teammates to take breaks, and don’t assign tasks during vacation periods.

Team & Leadership Best Practices

Organizational support makes or breaks these practices. Here’s how leaders can help:

Track Overwork, Don’t Reward It
In a bold shift away from hustle culture, Infosys recently started flagging employees who clock in more than 9 hours and 15 minutes daily. The move isn’t about micromanagement—it’s about sending a powerful message: overwork is not a badge of honor. Infosys’s internal system alerts both employees and managers when excessive hours are logged, encouraging discussions around workload balance and mental well-being (The Economic Times, 2024).

Mandate Minimum PTO—Because “Unlimited” Means Nothing
The term “unlimited vacation” sounds luxurious but often functions as a paradox—employees end up taking less time off out of guilt or ambiguity. To counter this, companies like Dropbox and Buffer have introduced mandatory minimum PTO policies. Employees are required to take at least a set number of days off annually—Buffer mandates a minimum of 15 days.

Support Mental Health With Action, Not Just Posters
Saying “we care” isn’t enough. Actionable mental health support is becoming a hallmark of forward-thinking employers. Google, for example, offers access to in-house counselors, hosts “Wellness Days” where meetings are banned, and promotes a flexible PTO culture. Other firms like SAP have integrated 24/7 therapy support and “mental health first aid” training for managers (World Economic Forum, 2024).

Give Time Off After Projects—Not Just Praise
Crushing a deadline or launching a product shouldn’t mean diving right into the next sprint. Companies like Slack and Atlassian now implement “post-project decompression time”—dedicated rest periods that follow intense project cycles. This idea, borrowed from agile development and burnout research, recognizes that human performance isn’t linear. After stress peaks, recovery must follow.


Real-world Wins: ROI on Rest

Organizations that prioritize rest often see measurable gains:

Boosted Performance
Companies that actively promote rest and encourage employees to take vacation days see marked improvements in output and job performance. For instance, research by Ernst & Young found that for each additional 10 hours of vacation taken, performance ratings from supervisors improved by 8% (Friedman, 2013). This suggests that well-rested employees return with greater focus, creativity, and problem-solving capacity.

Lower Turnover and Higher Morale
Encouraging employees to fully use their Paid Time Off (PTO) has been linked to stronger employee retention. According to Outback Team Building, teams that foster a healthy work-life balance experience reduced burnout and higher morale, which leads to lower turnover rates. Employees who feel supported in taking breaks are more likely to stay committed to their organization and perform at their best.

Fewer Health-Related Issues
Time off from work directly correlates with reduced health risks. Regular breaks help decrease stress and its related physical symptoms such as high blood pressure, insomnia, and depression. A study from the Framingham Heart Study, published by the National Institutes of Health, revealed that men who did not take vacations were 30% more likely to have a heart attack compared to those who did (Gump & Matthews, 2000). These health benefits not only enhance employee well-being but also significantly reduce healthcare costs for organizations.


Why This Trend Matters Now

Several modern pressures sharpen the need for rest:

  • Remote work fatigue: Hybrid/remote setups blur boundaries, increasing anxiety and “always-on” stress.
  • Digital overload: Constant pings and notifications fragment attention, reducing creative flow .
  • Competitive advantage: Forward-thinking firms that offer rest as part of their model stand out in talent markets.

In Summary

The question isn’t if you should take time off—it’s when.
“Pushing harder” isn’t sustainable. Instead, adopting smart break strategies—vacations, shorter weeks, micro-rests—boosts mental clarity, creativity, and long-term productivity.

References

Sianoja, M., Kinnunen, U., de Bloom, J., Korpela, K., Tement, S., & Feldt, T. (2022). “Give me a break! A systematic review and meta‑analysis on the efficacy of micro‑breaks for increasing well‑being and performance.” International Journal of Environmental Research and Public Health, available via PubMed Central.
https://www.ncbi.nlm.nih.gov

American Psychological Association. (2018). “Vacation time recharges U.S. workers’ productivity and work quality.” APA Press Release.
https://www.apa.org/

Gump, B. B. (2023). “How Taking a Vacation Improves Your Well‑Being.” Harvard Business Review, July 19, 2023.
https://hbr.org ⁠

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Jack Reynolds

Jack Reynolds

Jack Reynolds is a forward-thinking strategist and commentator bridging the worlds of business, finance, and emerging technologies. With over a decade of experience navigating complex financial landscapes, Jack specializes in analyzing how scientific innovation and technological advancements reshape markets, disrupt traditional business models, and drive economic growth. His insights help businesses adapt to rapid change and leverage tech-driven opportunities for sustainable success. Passionate about making innovation accessible, Jack shares his expertise through thought leadership pieces, industry panels, and advisory roles—translating cutting-edge science into practical strategies for the modern economy.

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