Here in the UK people get a minimum of 28 days per year off work (including bank holidays). At Mandalorian we do 30 days a year plus 1 extra day per year of service. Most people at Mandalorian don't use all the allowance (mainly because we're results oriented so people routinely check out during the day to drop kids off at school, pick them up etc.), but seem to be comfortable with the fact that they can take time off when they need/want to.
When people go on holiday, they generally disconnect here although some people will take phones etc. I've just come back from 8 days on a remote island in the sea of Marmara with a couple of days in Istanbul and my total contact with work (as the owner) was two text messages and one email on the way to the airport.
I have American friends who tell me that when they go on holiday they have to take their laptops and phones with them, and routinely take calls and do conference calls during their holiday, which sounds insane to me but each culture has it's own nuances.
If this is doing something good for American workers then I'm all for it, but I can't help but think that if I were in their shoes I'd say keep the $7,500 and double the holiday allowance.
EDIT: Thanks to willholley below for pointing out that the minimum entitlement includes bank holidays, as seen here: http://www.direct.gov.uk/en/employment/employees/timeoffandh...