Let’s Talk…Employee Handbooks

Yes! You need an Employee Handbook.

What is an Employee Handbook?
The Employee Handbook serves as an important communication tool between management and employees. It is an introduction to your company culture, and it provides management an opportunity to make clear expectations in the areas of employment matters, performance, and workplace conduct while describing what employees can expect from the company. It also details the legal obligations of the company and employees’ rights.

​First and foremost, the Handbook must be required reading for all employees, and they should sign an Acknowledgement Form confirming receipt and understanding of the Handbook and its policies.

Let’s be honest, too often it’s so boring that it’s unreadable-make it ‘readable’! It shouldn’t look like a VCR manual that no one want to read! View your Handbook as a promotional tool for new employees. Take time to highlight your company perks, what makes it different and why employees should be excited to have joined the organization. Include your vision for the company and the mission statement you strive to achieve. Print the book, in color, and make it an attractive book employee will want to read. Please don’t PDF the book and email it to employees expecting them to scroll thru 75 pages of “policies”, that’s not going to happen.

​What are the benefits of an Employee Handbook?

1. Provides an opportunity to engage and motivate employees from day one
2. Informs and educates employees about the organization, it’s history and culture
3. Reduces your compliance exposure-by allowing you to clearly state your policies and procedures and state your compliance with workplace laws and regulations
4. Protects you when it’s time to purchase Employment Practices Liability Insurance, as most carriers require specific employment policies be written in your Handbook

​Keep in mind:

Handbooks may cause problems for employers if they:

• are out-of-date
• not consistent with federal or state laws
• are written in a manner that can be construed as a contract
• include policies or procedures listed that are not followed or are inconsistently followed

​What to include in an Employee Handbook?

Of course, all Employee Handbooks must include key areas on employment matters and ensure legal compliance. However, it’s also important to take the time to convey your company’s culture by including pictures of staff members, your offices, or location of headquarters to convey a positive and engaging message. You may even include a brief video, if your Handbook is accessible online. Below are a few important categories to include.

• Compliance Statements-for federal laws and state laws
  Companies must comply with the EEOC laws prohibiting discrimination and harassment, including the Americans with Disabilities Act. Employee handbooks must include statements of compliance with these laws, and how your employees are expected to comply with the laws to ensure corporate compliance.

• General Employment Information
  An overview of business and general employment policies covering work hours and schedules-including flexible schedules & telecommuting, attendance, job classifications, employee records, probationary periods, termination and resignation procedures. This would also be a great section to include the company’s employment-at-will policy.

• Standards of Conduct
  An overview of expectations on how management requires employees to conduct themselves including dress code and ethics, behavior among team member and/or clients. This would also be a great section to include social media policies and employee dating policies.

• Non-Disclosure Agreements (NDAs) and Conflict of Interest Statements
  While not legally required, employees should sign NDAs and conflict of interest statements to help protect company trade secrets and proprietary information.

• Compensation
  Clearly describe when payroll cycles begin and end. Specify that the company will make required deductions for all federal and state taxes, as well as voluntary deductions for the company’s benefits. In addition, you should outline your legal obligations regarding overtime pay, performance reviews procedures, salary increases & bonuses, and time tracking requirements.

​FOOD FOR THOUGHT

• Do you have an Employee Handbook?
• Are you including the important categories listed above in your Handbook?
• When was the last time you updated your Handbook?
• Do you collect signed Acknowledgement Forms from employees confirming receipt?