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Voluntary Reduced Worktime (V-Time)


The term voluntary reduced worktime refers to a company policy that allows employees to work fewer hours each week in exchange for a reduction in salary and benefits. Voluntary reduced worktime arrangements are normally temporary, and employees are permitted to eventually return to full time status.


Also referred to as v-time, voluntary reduced worktime is a company policy that allows eligible employees to temporarily reduce the number of hours they work each week. Typically, employees will seek out this benefit if they have experienced a change in their personal lives requiring their time and attention. Eventually, the employee is permitted to return to full time status.

Since the employee is working fewer hours each week, their salary will be similarly reduced. They may also be asked to give up some of their benefits, or increase their contribution to the cost of providing each service. For example, their number of vacation days may be reduced, and the employee may also agree to pay a larger proportion of the cost to provide healthcare coverage.

Company policy statements will also describe eligibility for v-time. Typically, eligibility will be based on “operational needs” and the ability for an organization to still meet their goals. Approvals are normally granted by the employee’s immediate supervisor or manager. The employee seeking a voluntary reduction in worktime may also be asked to work with their manager to develop a weekly schedule. Companies may require the employee to provide advance notice before agreeing to such a reduction.

Related Terms

benefits, flexible benefits plan, flextime, shift work, telecommuting