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In 2020, Americans left 33% of vacation days unused, with many of these days not rolling over for future use. This “use it or lose it” vacation policy can cause confusion and frustration. Kylie from Factorial explains that there is no federal law requiring paid time off (PTO); instead, state laws govern these policies. The relationship between employers and employees plays a crucial role, as employers often provide PTO to boost morale and enhance company culture. Managing PTO can be complex, and tools or resources, like Factorial's 2022 PTO guide, can assist HR teams in navigating these challenges effectively.