You have undoubtedly established workplace policies, procedures, or expectations, whether formally or informally, regardless of whether your business has two employees or twenty. In order to run a more efficient business and to avoid the possibility that your company may break any federal or state regulations, it is crucial that your employees are aware of and understand these policies that you have created.
An employee handbook is a compendium of all the policies and procedures used by your business as well as the legal rights and responsibilities of employees. Having an employee handbook clearly makes it easy for you to communicate rules and responsibilities to employees, so there’s no question about what’s expected of the employees or from you, the employer.
What Goes Into an Employee Handbook?
Every organization has its own unique employee handbook. You cannot simply photocopy the employee handbook of another company and provide it to your staff. A good employee handbook outlines the specific policies and procedures that apply to your company. It should be written in a style that reflects your goals and the culture you have created, or aim to create, at your company.
Having said that, the majority of employee handbooks contain the same subjects and kinds of information. Here are eight common sections included in employee handbooks:
1. Company Values and Mission Statement
Your employees must share the same values, aims, and goals as your business if you want to succeed. Therefore, you must state these goals at the beginning of your employee handbook. All you have to do is offer a statement that encapsulates your company’s most important values. For instance, the popular online shoe shop Zappos outlines 10 Zappos Family Core Values that it wants its staff to uphold, such as “Embrace and Drive Change” and “Be Passionate and Determined.”
2. General Employment Information
The general information about working for your organization should make up a significant portion of your employee handbook. This will cover subjects that concern the workforce, like:
- Hiring policies
- Payment schedule (and payment methods available)
- Full-time vs. part-time hours
- Overtime pay
- Meal and rest breaks
- Leaves of absence
- Performance review procedures
- Safety and security procedures
- Resignation and termination procedures
Remember that some of the information in this document, such as the guidelines for overtime pay and the availability of workers’ compensation, is somewhat governed by federal, state, and even municipal legislation.
3. Anti-Discrimination and Anti-Harassment Laws
It is pertinent to list all current laws federal, state, and local that affect your employees. Equal employment opportunity, anti-harassment, and anti-discrimination laws are a few examples of these.
4. Standards of Conduct
You’ll need policies that are tailored to specific on-the-job conduct because, in addition to the legal requirements, you likely have your own expectations for how employees will behave. Such regulations might cover:
- Dress code
- Drug and alcohol usage policy
- Ethics policies
- Personal technology use
- Social media policy
- Data and customer privacy
- Rules around accepting gifts from clients
- Conflict resolution policy
5. Employee Benefits
You shouldn’t be surprised to learn that the employee benefits part of your employee handbook is one of the most often consulted areas.
Because they can be rather complex, your handbook probably won’t cover all the nuances of, say, your health insurance plan (and that information can be provided separately). But I think you should start with the fundamentals: When can an employee sign up for the workplace health plan, and how many options (types of plans, family coverage) are available? When does the annual enrollment period begin?
In a similar vein, quickly describe the other benefits you provide, such as:
- Vacation or paid time off (PTO)
- Any retirement plans you offer and who’s eligible
- Insurance coverage you offer, including life insurance and short- and/or long-term disability
- Training benefits, including tuition reimbursement
- Any “soft” benefits you may provide, whether that’s flexible scheduling, on-site yoga classes, or free lunches on Friday
Who doesn’t like learning about on-the-job perks? Use this area to your advantage and make sure your employees are aware of all they are entitled to as part of working for your business because they will likely refer to it frequently.
6. Confidentiality / Non-Disclosure Agreement / Conflict of Interest
Not every business has this section, but those that do and have trade secrets or are concerned about employees leaving for a rival may wish to require non-disclosure agreements from workers or at the very least have a conflict of interest policy in the employee handbook.
7. Disciplinary Policies
It’s imperative that your employees comprehend the penalties of breaking the rules, laws, and regulations outlined in the employee handbook.
Consider including a paragraph informing them that their actions and behaviour will be held accountable. Employees should be able to see that they are being treated fairly and that all employees are subject to the same disciplinary procedures.
8. Disclaimer
It’s crucial that your staff doesn’t view the employee handbook as a binding contract between you and them, as this could open the door to legal action if the policies and guidelines in the manual aren’t followed. To protect against this, be sure to include a disclaimer stating the employee handbook is not a contract.
Benefits of having an employee handbook for your business
By putting the company’s history, objectives, vision, and values all in one place, the employee handbook is the first chance a company has to create a positive workplace culture. Employees can finally feel a sense of belonging by learning more about the organization’s history.
An employee handbook is another tool that employers may use to set expectations for their employees right away. The employee will be able to comprehend their job and what is expected of them by their company by describing the essential standards of behaviour, procedures, and obligations. Employees can consult the handbook at any time if they have a query and will be able to swiftly determine the next steps in obtaining answers.
Employee handbooks have many advantages for employees, but they also serve to hold managers and other leaders accountable for adhering to the rules surrounding disciplinary actions. In addition to providing the necessary procedural knowledge, the handbook can aid in retaining employees, preventing burnout, and motivating them. The live document can also be used by all stakeholders as a point of reference, fostering uniformity across the company.
Employee handbook templates
Although producing the first employee handbook may seem like a difficult task especially if you are creating one from scratch, Employers can utilize simple templates to help them with their writing:
Bottom Line
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