Article

Not Taking Vacation Is Stealing From Your Company

Founder of ManagerForge33+ years of management experience. 3,000+ interviews across his career, including 1,250+ at Amazon.

Published April 29, 2026·7 min read

Most leaders wear their unused PTO like a badge of honor. The math says they're quietly robbing their organizations blind.

The Badge You Shouldn't Be Proud Of

Most leaders I know treat unused vacation like a trophy. The bigger the balance, the more committed they look. They talk about it in one-on-ones. They mention it casually in all-hands. "I haven't taken a real vacation in two years."

They think they're signaling dedication. They're actually signaling a slow leak.

Here's the uncomfortable truth: when you skip vacation year after year, your performance erodes. That erosion costs your company more output than the time off ever would. You're not giving your organization extra. You're stealing from it.

The Unit of You

Let me give you a framework I've used to explain this for years.

At peak condition, you are 1.0. Full capacity. Sharpest thinking, best decisions, most energy for your team, call it one unit of you.

Now go six months without real rest, no vacation, no actual disconnection, just grinding.

Where are you now? Most people want to say 0.95. The honest answer is closer to 0.9. And the thing about performance degradation is that it doesn't drop in a straight line. It accelerates. Once you slip from 1.0 to 0.9, the next drop comes faster. You hit 0.75 before you even notice. Some people I've managed were running at 0.5 and genuinely believed they were fine.

Let's stay conservative and say you're at 0.9. You've lost 10% of your output.

In a 20-day work month, that's two full days of lost productivity. Not two days you took off. Two days that simply disappeared. Work got done slower, decisions were lower quality, your team got a version of you that wasn't fully there.

Over six months, that's twelve lost days.

Now let's talk about vacation. One week off costs five working days. But it returns you to 1.0. You come back sharp, your decisions are better, your energy is real, not performed.

The net math over six months: you lost twelve days by grinding through. You would have lost five by taking the week. Seven days of recovered output, gone. That's the cost of skipping vacation.

And that's the optimistic version. If you're at 0.75 because you've been burning for two years straight, the numbers get brutal fast.

Why Smart People Get This Wrong

The logic that keeps people at their desks is seductive. "If I don't take time off, I work more days. More days means more contribution." That's factually true in the short term. It's devastatingly wrong over six months or a year.

Here's a simpler version of the same principle: a bad night of sleep hurts your performance the next day. That's not controversial. Everyone accepts it. So what do you think happens after twelve months without genuine rest?

The degradation isn't dramatic, it's invisible and you don't notice it happening. Your 0.85 starts to feel like your normal. You forget what 1.0 felt like. You start measuring yourself against your recent performance instead of your actual capacity, that's the trap.

I've interviewed over three thousand people across my career, including more than twelve hundred as an Amazon Bar Raiser. I've sat across from a lot of burned-out high performers who didn't know they were burned out. They were sharp enough, prepared enough, present enough, but there was a ceiling. You could feel that the best version of them wasn't in the room.

This Is a Leadership Problem, Not a Personal Problem

Here's where most of the conversation about burnout goes wrong. It gets treated as a personal wellbeing issue. “Take care of yourself. Self-care. Work-life balance.” etc. etc. - the normal HR BS.

That framing lets organizations off the hook, and it also undersells the actual stakes. This is a performance problem and an organizational output problem. And if you're a leader, it's your problem to solve, not just for yourself but for every person on your team who's watching what you model.

When you skip vacation, your team skips vacation. Not because you told them to. Because you showed them what dedication looks like at this company. They read the signal and they respond to it.

So now you're not just running at 0.85. Your whole team is running at 0.85. Multiply that loss across five, ten, twenty people and you've got a performance crater that no amount of extra hours fills.

The Return Is Real

I want to be specific about what returning to 1.0 actually looks like, because it's not just about feeling refreshed.

When you come back from real vacation, the quality of your decisions improves. You see problems you stopped seeing because you were too close to them. You have actual patience for your team instead of performed patience. You generate better ideas in the first week back than you did in the entire month before you left.

That's not soft, that real, tangible and measurable output.

I've had moments after taking real time off where I solved a problem in an afternoon that had been sitting on my desk for weeks. Not because I thought about it on vacation, but because I came back with a clear head and saw it differently.

Rest isn't recovery from work, rest is part of the work.

What to Actually Do

If you haven't taken real vacation in the last six months, you're already in the hole, here's how to start getting out.

First, look at your PTO balance and pick a week. Not "sometime this summer." A specific week, put it on the calendar today and protect it like you'd protect a board presentation.

Second, actually disconnect, I mean it. No Slack checks at 9pm, no email in the morning over coffee. Give your team the chance to handle things without you which is good for them too.

Third, tell your team you're taking vacation and mean it. Model the behavior you want from them. Your best people are watching.

Fourth, when you get back, notice the difference. Be honest with yourself about what 1.0 feels like versus what you've been running at. Use that gap as data.

The Real Cost of "Committed"

The leaders who brag about never taking vacation think they're showing commitment. What they're actually showing is poor resource management. You are the most important resource in your leadership role. Running that resource into the ground isn't sacrifice. It's waste.

The company doesn't get more from you when you skip vacation. It gets less, spread across more calendar days, at lower quality.

Your 90% is costing your team more than your absence ever would.

Take the week.

© 2026 David Liloia. Published under ManagerForge.

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