Why wouldn't an employee want to take the paid vacation you provide? In the current economy, many employees are afraid to take vacation because of how it might reflect opinions of their work performance. Many just don't have the available funds to go out of town.
It's up to you to make sure they know their job will be waiting for them when they return. After all, you need employees who stay fresh so they won't suffer from fatigue or burn-out.
If they're worried about spending the extra cash, let them know it's okay to try a stay-cation and work won't be calling to bug them just because they're home.
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