MU Health Care Paid Time Off (PTO) & Holiday Changes

Effective date:                                                                                             

January 1, 2027 (Pending Board of Curators approval)

Who does this impact?

This change applies to all MU Health Care benefit-eligible employees (working 30+ hours per week).

This change does NOT impact:

• Employees employed at a University of Missouri location other than MU Health Care.

What is changing?

Effective January 1, 2027, MU Health Care is restructuring how paid time off and holidays are organized. The key changes are:

Holidays combined into PTO bank

• All days formerly designated as paid holidays, with the exception of Veterans Day, will be combined into your PTO bank.
• Veterans Day will continue to be recognized as a separate paid holiday.

PTO bank reduced by three days

• The total PTO annual accrual will be reduced by three days (24 hours) at all service levels.
• This applies to all benefit-eligible employees regardless of role or position type.
• Refer to the PTO accrual chart below for your specific service level and position type.

Maximum accrual cap adjusted

• The maximum PTO balance you can carry will be adjusted to 1.5 times your total annual accrual.
• Refer to the PTO accrual chart below for the maximum hours balance that applies to your position type and service level.

Operational reclassification

• Juneteenth and Veterans Day will be reclassified as standard operating days for ambulatory clinics and outpatient services, with premium pay for eligible employees required to work on those days. Eligible employees required to work on Veterans Day will also receive holiday pay.
• This change supports our broader strategy to increase access to care across our ambulatory network while aligning with how many peer health systems structure clinic operations and holiday schedules.

Scheduling for non-mandatory departments

• To help employees better understand the changes and their implementation, we will be hosting informational sessions and open office hours in August and September when leaders and subject matter experts will provide updates and answer questions.
• You will receive an invitation with education session options and office hour availability in mid-July.

PTO Accrual Chart

Why is PTO changing?

• PTO changes are one component of a broader effort to strengthen the long-term financial sustainability of MU Health Care.
• Like many health systems across the country, we are facing sustained financial pressures that require difficult decisions across multiple areas.
• We reviewed our PTO and holiday structure against peer health systems and found that our previous structure — which maintained separate holiday banks alongside PTO — was an outlier among health systems.
• Combining holidays into the PTO bank and reducing the total bank by three days brings our structure into closer alignment with how the majority of health systems manage time off.
• We understand these changes will have a personal impact for many employees, and we do not take that lightly. These decisions were made thoughtfully and with a long-term focus on maintaining a strong, sustainable organization.

How were decisions made?

• These decisions are grounded in a comprehensive benchmarking process conducted with external expertise, comparing our programs to peer health systems.
• The changes are designed to bring our benefits program into closer alignment with those offered by comparable regional health systems. Even after these adjustments, our overall benefits package remains competitive within the market. This was a deliberate outcome of the benchmarking.

Frequently Asked Questions

Does this affect all employees?

This change applies to all MU Health Care benefit-eligible employees (30+ working hours). Employees who are not benefit-eligible do not receive PTO or holidays and are not impacted.

What happens to PTO I have already accrued?

MU Health Care employees’ PTO balance as of December 23, 2026, will carry over to January 1, 2027.  MU Health Care employees will not lose any previously accrued PTO with the change.

What if my current balance exceeds the new maximum accrual cap?

MU Health Care employees who have current PTO balances that exceed the new annual cap on January 1, 2027, will have the excess in accrual moved to a separate PTO bank. The excess PTO bank must be exhausted before new accruals can be earned.

Why is Veterans Day kept separate while other holidays are combined into the PTO bank?

Veterans Day is maintained as a separate paid holiday for legal and policy reasons. All other holidays are being consolidated into the PTO bank as part of this change.

Can I still take time off on former holidays?

Yes. Employees may continue to use PTO on any day, including days that were previously observed as paid holidays, subject to standard scheduling and manager approval processes.

Are differentials changing?

No. Differentials are not changing as part of this initiative.

Are leave programs such as parental, caregiver, short-term disability or bereavement changing?

No. These leave programs are not impacted by the PTO changes.

Is my base pay changing?

No. Base pay rates are not being reduced as part of these changes.

Where can I get more information or ask questions?

Employees are encouraged to submit questions through AskHR, where they will be routed to the appropriate team. 

To ensure employees have an opportunity to learn more and ask questions about benefits program changes, we will be hosting education sessions and open office hours in August and September. Additional details regarding how these changes will be implemented will be shared during those sessions.

You will receive an invitation mid-July with education session options and office hour availability.