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We have had an "unlimited vacation" policy for over 6- years and to be honest, have not experienced one issue. When we first launched it we were at 12 FTE's and we are currently at 75 FTE's with offices in 4 states. We have had to put a few parameters around it in terms of the difference between what is considered sick leave vs vacation for tracking for compliance with disability and for states like CA where PTO is considered part of the comp package -but again, they were all fairly easy to adopt and implement. What we love about it, is there is no pressure on people to count days, come into the office when they are sick and should not be here and productivity and accountability is always high because the policy shows we trust our people.
My 2 cents. If you have a team member who is going to abuse or take advantage of PTO and /or policies, they will do so whether you offer "unlimited" or not. And, that person is not a fit for our culture in the first place.