Paid Time Off
in 2026

See what's changing in 2025 and 2026

Learn more about our Total Wellbeing Promise 9

We’re excited to introduce a new, system-wide approach to paid time off at RWJBarnabas Health, effective December 21, 2025 (the first pay period of 2026).

Shaped by your feedback, these paid time off enhancements align to our Wellbeing starts with you promise. You should expect a consistent paid time off program across our system, with no impact on your internal mobility potential and regardless of where your career journey takes you. Rooted in our one system, one family commitment, this consistent model is designed with your wellbeing at the center. By aligning our vacation, sick time, holidays and paid leaves of absence across the system, we’re strengthening and delivering our best-in-class work experience with greater consistency, accountability, flexibility and unity.

All of the details of the new approach are within the drop downs below. There is a lot to review, but we are here to support you and answer any questions you may have. As you review, it may be helpful to keep this in mind: 

 

What’s Changing What’s Not Changing

  The distribution of your time off categories across vacation time, sick time and holidays

  The specific holidays that we will collectively celebrate as a system

  The way time off is accrued/earned, carried over each year, and allocated for use (may differ from your current plan today)

  You may receive more time off under
the new system plan than you currently receive today

  If you currently receive more time off than the new system plan provides, your total annual hours of paid time off will stay the same (for the next five years)

  The time you have already earned and accrued (but not used) in your current time off banks will continue to be available in Legacy Banks

Video Overview of the Changes

Click here to watch a recorded presentation outlining these new enhancements.

How You Can Prepare

A few key steps to help you prepare:

  1. Read the information in this communication.
    Take this opportunity to review the new paid time off benefits.
  2. You will continue using your current paid time off plan(s) through December 20, 2025.
    You do not need to adjust your plans of using your paid time off this year.
  3. More details are coming in September 2025.
    You will receive a personalized letter in September outlining your current and future paid time off, along with any protected Transitional Accrual amounts (if applicable, see “Protecting Your Current Time” section below). We are waiting until September to ensure we have the most recent available data regarding your current annual time off amounts and to optimize the protection you may receive as part of this transition.

We know you will have questions.
Use the information on this page to familiarize yourself with the changes. The individualized letter you will receive in September will help you understand how this new paid time off approach will apply to you. We will provide additional support resources to walk you through these details at that time.

What’s Changing
We are making meaningful updates to our paid time off benefits to better support you and those you love. Here is a quick overview of what is changing:

We are moving to a consistent paid time off plan
Effective December 21, 2025 (the first pay period of 2026), we are moving to a new system-wide paid time off structure: (1) vacation time, (2) sick time, (3) holiday time and (4) paid leave of absence benefits.

As part of our harmonized paid leaves of absence, effective May 11, 2025, we are offering a paid parental leave supplement benefit to 12 weeks for all new parents.

You will have protections throughout this transition
You have worked hard to accrue and earn various types of time away in your current plan. We are honoring and protecting your time in two ways:

(1) All accrued but unused paid time off earned as of December 20, 2025 will continue to be available in a “Legacy Bank”

(2) If your current time off plan gives you more time off than the new plan provides, you will continue to receive the same total annual hours of paid time off (as of July 1, 2025) for up to 5 years

Key effective dates to keep in mind

Component Effective Date
Paid Parental Leave Supplement May 11, 2025
Vacation Time December 21, 2025
Holiday Time December 21, 2025
Paid Short-Term Disability Supplement December 21, 2025
NJ Earned Sick Leave (NJ ESL) January 1, 2026

If you are on the Honor System policy today

No changes are being made to your Honor System eligibility. However, there are updates to the paid leave of absence benefits for those in the Honor System (see “Honor System Updates” section below).

Eligibility

These changes apply to:
All full-time and part-time employees scheduled to work 16+ hours per week.

Employees who are covered by a collective bargaining agreement should check with their local human resources teams or union leadership to understand how these changes may apply. 

These changes do not apply to:
Per Diem employees, Medical and Pharmacy Residents, and employees who are part of the RWJBarnabas Health Nursing School or Children’s Specialized Hospital school-based therapy programs.

Honor System Employees
Refer to the “Honor System Updates” section for details regarding how these changes apply to you.  

Holiday Time
Collectively, we will observe eight (8) holidays per year:

  • Seven (7) fixed: New Year’s Day, Martin Luther King Jr. Day, Memorial Day, Independence Day, Labor Day, Thanksgiving and Christmas
  • One (1) flex: This holiday is designed to be used on another day each year that is important to you

How your holiday hours will be allocated

Holiday hours are allocated based on your standard weekly hours. (Note: Employees with standard hour amounts not shown below will receive a proportionate, prorated amount.)

Total hours of holiday time based on your weekly standard hours

Standard Weekly Hours 20
hrs
24
hrs
30
hrs
36
hrs
37.5
hrs
40
hrs
Holiday Hrs Per Year 32 38.4 48 57.6 60 64
Holiday Hrs Per Holiday 4 4.8 6 7.2 7.5 8

Key things to know

Here are a few key things for you to know about the new holiday time:

  • If a fixed holiday falls on a weekend, it will be observed on the nearest weekday.
  • If you are in a position that requires you to work on a fixed holiday, you may be eligible to receive premium pay for hours worked. If you work on a fixed holiday, you can use the holiday time off on a different day within up to two pay periods before or after the pay period in which the holiday falls.
  • All eligible employees will receive proportional holiday hours for eight total holidays per year. If you work longer shifts (e.g., 12-hours), you may need to use some vacation time to fully cover a day off, if you are taking off for a full shift that falls on a holiday. For example:

An employee taking off for a fixed holiday – based on their standard weekly schedule

Standard Weekly Schedule 36
hrs
37.5
hrs
37.5
hrs
40
hrs
40
hrs
12-hour
shifts
12.5-hour
shifts
7.5-hour
shifts
10-hour
shifts
8-hour
shifts
3
Days
3
Days
5
Days
4
Days
5
Days
Total Annual Holiday Hours 57.6 60 60 64 64
Hours Per Holiday 7.2 7.5 7.5 8 8
Vacation Hours to Supplement 4.8 5 2
Total Hours for Full Shift 12 12.5 7.5 10 8
Vacation Time

The number of vacation days you are eligible to accrue will be determined by three factors

  • Your role: Non-Exempt (Hourly) or Exempt (Salaried) status
  • Your tenure: Length of service with RWJBarnabas Health
  • Your schedule: Weekly standard hours

Key things to know

Here are a few key things for you to know about the new vacation time:

  • Vacation time accrues biweekly, based on your standard weekly hours (not actual hours worked). Please check with your manager or submit a ticket through My Service Portal if you need assistance understanding your standard weekly hours.
  • Beginning at the end of 2026, you may carryover up to 80 hours of unused vacation time into the following year.

How much vacation time you will be eligible for

The tables below outline the total annual vacation hours for most hourly and salaried employees, based on varying weekly standard hours. (Note: Employees with standard hour amounts not shown below will receive a proportionate, prorated amount.)

Total hours of vacation time per year – Hourly (Non-Exempt)

Years of
Service
Weekly Standard Hours
20
hrs
24
hrs
30
hrs
36
hrs
37.5
hrs
40
hrs
0 60 72 90 108 112.5 120
3 68 81.6 102 122.4 127.5 136
5 76 91.2 114 136.8 142.5 152
10 84 100.8 126 151.2 157.5 168
15 92 110.4 138 165.6 172.5 184
20+ 100 120 150 180 187.5 200

Total hours of vacation time per year – Salaried (Exempt)

Years of Service Weekly Standard Hours
20
hrs
24
hrs
30
hrs
36
hrs
37.5
hrs
40
hrs
0 80 96 120 144 150 160
3 88 105.6 132 158.4 165 176
5 96 115.2 144 172.8 180 192
10 104 124.8 156 187.2 195 208
15 112 134.4 168 201.6 210 224
20+ 120 144 180 216 225 240
NJESL (Sick) Time

Eligible employees will receive 40 hours of New Jersey Earned Sick Leave (NJESL) frontloaded on January 1st of each calendar year. Employees may use up to 40 hours of NJESL time annually.

Note: Different processes and sick benefits may be available for employees who are located within states other than New Jersey.  

Paid Leaves of Absence

Our updated paid leave of absence benefits are designed to meet you in some of life’s most exciting and challenging moments, offering flexibility and peace of mind. All eligible employees will have access to three key benefits:

Component Benefit Overview
Paid Parental Leave Supplement* Effective May 11, 2025, up to 12 weeks of 100% base pay for all eligible new parents (birthing and non-birthing) in combination with any available support through New Jersey’s Temporary Disability (TDI) and/or Family Leave Insurance (FLI) programs. You will receive partial pay from the state and the rest from RWJBarnabas Health.
Paid Short-Term Disability Supplement* Effective December 21, 2025, up to 26 weeks at 66 2/3% base pay in combination with any available support through New Jersey’s Temporary Disability (TDI) program. You will receive partial pay from the state and the rest from RWJBarnabas Health.
Bereavement Leave  Effective May 11, 2025, up to four (4) working days will be available for bereavement of an immediate family member and up to two (2) working days for other family members. 

Note: This change does not apply to Honor System-eligible employees until December 21, 2025.

* To be eligible for supplemental leave of absence benefits, employees must be employed with RWJBarnabas Health for at least one continuous year. These changes apply to consecutive leaves of absence beginning on or after the effective dates noted above and do not apply to intermittent leaves. You must be approved for benefits through the New Jersey TDI/FLI programs (as applicable) in order to collect the supplemental benefit from RWJBarnabas Health. Employees who are located within states other than New Jersey should consult the Leave of Absence team for details on specific processes and benefits that may be available.

 

Protecting Your Current Time

You have invested in your time—whether planning for a future trip, saving hours for an emergency or simply needing breathing room. We are protecting that time and making sure your transition into the new plan is smooth and transparent with minimal disruption or impact. We are honoring and protecting your time in two ways:

  1. All accrued but unused paid time off earned as of December 20, 2025 will continue to be available in a “Legacy Bank”.
  2. If your current time off plan gives you more time off than the new plan provides, you will continue to receive the same total annual hours of paid time off (as of July 1, 2025) for up to 5 years, via a Transitional Accrual to offset the difference.

Your accrued but unused paid time off

All time you have accrued in your current time off plan(s) but have not used as of December 20, 2025, will be preserved in new Legacy Banks:

Legacy Bank What It Means for You
Legacy Time Off
Includes Current PTO, Vacation, and Holiday A/B Banks
Legacy Time Off can be used as vacation time and is not included in the annual 80-hour year-end carryover maximum. This means you can continue to save or use your Legacy Time Off as long as you are employed at RWJBarnabas Health, without worrying about having to use it all at once before the new policy goes into effect. These balances will be eligible to be paid out upon your separation from RWJBarnabas Health, subject to adequate resignation notice and termination without cause.
Legacy Sick
Includes Current Sick Banks
Legacy Sick Time will have its own utilization and governance requirements, which will be outlined in the new policy. These balances will not be eligible to be paid out upon your separation from RWJBarnabas Health.
Legacy EIB
Includes Current Extended Illness Banks (EIB)
Legacy EIB time can be utilized during an approved leave of absence related to your own personal illness or injury. These balances will not be eligible to be paid out upon your separation from RWJBarnabas Health.
Personal Time: Any current Personal Time must be used by December 20, 2025 and will not be rolled into a Legacy Bank.

Note: If you go on an approved short-term disability leave on or after December 21, 2025, your Legacy Banks will be used first to supplement your pay before the Paid Short-Term Disability Supplement benefit begins.

Your total annual hours of paid time off

If your current plan gives you more time off annually than the new plan provides, we have you covered. We will continue to provide you with the same total annual hours of paid time off for up to five years, via a Transitional Accrual to offset the difference. In September 2025, you will receive a personalized letter outlining any additional time you will receive, if it applies to you.

Here is how we will calculate your Transitional Accrual:

  1. We will total your current annual hours of paid time off as of July 1, 2025—including vacation, PTO, sick, holiday and personal time, as applicable.
  2. We will compare that total to your new projected annual hours of paid time off under the new plan (effective December 21, 2025)—including holiday, vacation and sick time.
  3. If your current plan offers more paid time off than what the new system plan provides, the difference between the current and new plan will be added to your vacation accrual moving forward—for up to five years as long as the eligibility criteria is met.
  4. If the new system plan offers more paid time off than you currently receive—you will simply start receiving the new system plan vacation amount beginning on December 21, 2025.

This Transitional Accrual time will be added to your biweekly “vacation” accrual, following the standard 80-hour annual carryover rule. You will continue to receive this Transitional Accrual time for up to five years—unless your employment status changes (e.g., moving to a per diem or part-time role) or you become eligible for more time off under the new system plan based on your tenure.

Example of the Transitional Accrual Calculation

Current Plan as of 7/1/25 New Plan beginning 12/21/25
with Transitional Accrual for 5 years
120 Vacation hours
96 Sick hours
80 Holiday hours
16 Personal hours
176 Vacation hours
40 NJESL hours
64 Holiday hours 
280 Time Off hours
+32 Transitional Accrual hours
312 Total Time Off hours 312 Total Time Off hours
Honor System Updates

The Honor System time off benefit remains a flexible option for eligible leaders—but we are changing the support we provide in a few key ways.

Celebration of Holidays

Beginning on January 1, 2026, Honor System employees will move to the same fixed holiday schedule as all other employees and will have seven (7) paid holidays: New Year’s Day, Martin Luther King Jr. Day, Memorial Day, Independence Day, Labor Day, Thanksgiving and Christmas. If a fixed holiday falls on a weekend, it will be observed on the nearest weekday.

Paid Leaves of Absence

There are two phases of changes to the Honor System paid leaves of absence* benefit.

For leaves of absence beginning on or after May 11, 2025, but before December 21, 2025, there are no changes to the total amount of pay that Honor System-eligible employees can receive. However, Honor System-eligible employees will need to take specific action to receive partial pay from the State of New Jersey and the remainder of pay will come from RWJBarnabas Health:

  • Paid Parental Leave Supplement: Up to 20 weeks of 100% base pay for the birthing parent or up to 12 weeks of 100% base pay for the non-birthing parent, in combination with any available support through New Jersey’s Temporary Disability (TDI) and/or Family Leave Insurance (FLI) programs.
  • Paid Short-Term Disability Supplement: Up to 26 weeks of income at 100% base pay, in combination with any available support through New Jersey’s Temporary Disability (TDI) program.

For leaves of absence beginning on or after December 21, 2025, Honor System employees will have the same paid leave of absence benefits as the rest of our workforce:

  • Paid Parental Leave Supplement: Up to 12 weeks of 100% base pay for all parents (birthing and non-birthing), in combination with any available support through New Jersey’s Temporary Disability (TDI) and/or Family Leave Insurance (FLI) programs.
  • Paid Short-Term Disability Supplement: Up to 26 weeks of income at 66 2/3% base pay, in combination with any available support through New Jersey’s Temporary Disability (TDI) program.

* To be eligible for supplemental leave of absence benefits, employees must be employed with RWJBarnabas Health for at least one continuous year. These changes apply to consecutive leaves of absence beginning on or after the effective dates noted above and do not apply to intermittent leaves. You must be approved for benefits through the New Jersey TDI/FLI programs (as applicable) in order to collect the supplemental benefit from RWJBarnabas Health. Employees who are located within states other than New Jersey should consult the Leave of Absence team for details on specific processes and benefits that may be available.

No Changes to Previously Frozen Banks

If you had accumulated unused Vacation/PTO/Holiday time during your transition to the Honor System, that time will continue to be frozen. These balances are only accessible upon resignation and cannot be used to receive additional pay during a leave of absence.

Future Promotions into the Honor System

If you are promoted into an Honor System-eligible role on or after May 11, 2025, your existing unused banks of time off will be forfeited and will not be paid out. From that point forward, you will enjoy the full flexibility of the Honor System time off benefit.