Is a Vacation a Vacation? Summer in Portugal

We are now in Portugal for the month of August, which is a bit unusual as most of my trips have been during months other than the prime vacation season. I had heard for many years that in Portugal, like the majority of the European Union, effectively took the month of August off and went for holiday, usually to the southern area of the Algarve or other coastal regions. And I have found that, despite the economic difficulties, the tradition remains generally in place in Portugal.

It has been long reported that such is not the case in Canada and the U.S. Most countries throughout the world, as diverse as England and Venezuela, have labor laws requiring paid vacation for employees. Such is not the case in the U.S, where no such laws exist. Now before one accuses the U.S. of sheer barbarism when it comes to leisure, the reality is that business practices and customs in the U.S. often set a standard of 10-14 days of paid vacation per year for   a full-time employee, plus holidays. This means that for many U.S. employees, there is a total of about 15-20 total paid days off per year.

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But in Europe, things are much different, and the majority of countries, including Portugal, have a total of 30-40 paid holidays per year, required by law. While the economic crisis has removed some of the traditional holidays from the Portuguese schedule, by U.S. and Canadian standards, Portugal is still far more generous than North America. Indeed, I have met many Europeans who have 45-60 paid holidays per year, affording them the time (and money) to do major international travel.

In Portugal, I am observing some small and nascent signs of economic life and vitality once again, like sprouts of grass after a long winter. There are cranes over some buildings, homes under construction, automobile dealers open for business. But there are also many empty buildings and stores, and one sees many structures in disrepair. However, some economic data is emerging that after a long period of contraction; the economy is stabilizing and growing, even if just a small amount. This is very welcome news.

But what should one think about the vacation generosity of Europe? I think we can view this in several ways. First, I have always been a firm believer in the economic, spiritual, personal, and financial value of having employees who have sufficient time for rest. Coming from the agricultural industry, which can be notoriously stingy in granting paid vacations, I strove to have a company policy that was generous on vacations and holidays, and I believe that our company success was positively influenced in how we treated our employees in this regard.

However, if I were a young Portuguese, or even a not so young Portuguese, and needed to establish my enterprise, career, or profession, I would take the month of August, as well as other slow times, and use it to further my goals and interests. If the competition has gone on vacation, then be counter-intuitive and provide great service or products during this time. View it as an opportunity or option and not something mandatory, unless you have achieved your personal and professional goals and take this time away from a position of strength and prosperity.

In the final analysis, it may well be that both cultural approaches are correct. I think that the U.S. should have a longer paid vacation system than we currently have, and possibly even a minimum required by law of 7-10 days for full-time employees and 5-7 for part time employees. But I don’t think that the country should shut down in August, with a bulk of the workforce heading out for holidays. We already do much of this during Christmas and New Years, but when the Portuguese, French and even the Germans disappear for holiday in the summer, they give emerging and established competitors a great foothold to succeed. Take time off, but not all at once!