The Employee Handbook: The Best Resource for Human Resources Whether your business is large or small, one of the most important documents that your company should provide to its employees is a carefully written employee handbook. Written out or not, most companies already have their own set of policies and procedures. Creating a handbook is an excellent way of memorializing these policies, thereby helping employees know that everyone is working from the same set of rules. There are many benefits to having an employee handbook: Every employee receives the same information about the rules of the workplace; employees will know what is expected of them (and what they can expect from the company); and the company may receive valuable legal protection in the event of a lawsuit. Building an Employee Handbook An effective employee handbook begins with the right "look." It should be easy to read with lists that provide information in a logical, easy-to-find format, encouraging employees to use it if they have questions about company policies. The following is a list of items that a typical employee handbook includes: Introduction - The handbook should begin with a brief company description. Company history, a mission statement and company philosophies will normally be included in the introduction to the handbook. Explanation of the Function of the Handbook- This section of a handbook should contain the following items: A recitation of the employee status as "at will." The "at will" status should be described as well as the circumstances under which an employee's status would be something other than at will A notification that the handbook is not a contract of employment A notification to employees that the handbook seeks to cover company policies and procedures, but is not the exclusive source for all policy and procedures required by the company A notification that the handbook is subject to interpretation by management A notification that this version of the handbook superceeds all previous versions Work Environment - Basic information regarding issues such as work hours, performance reviews, leaves of absence and jury duty should be mentioned in this section of the handbook. Other important information that may be necessary in this section may include the company's attitude toward promotion, reporting for work, time recording, tools and equipment the employee is expected to provide, care of tools and equipment provided by the company, personal property, security, personal phone calls and parking. Compensation and Benefits - This section covers fundamentals on issues such as regular and overtime pay, health, dental, life and disability (both short and long term) insurance, workers' compensation, vacations and holidays, personal and sick days, retirement programs, tuition reimbursement, tool reimbursement, mileage reimbursement, and employee-assistance programs. Employee Conduct - Information regarding expectations and performance parameters as specific as employee hygiene and personal dress code should be included here. Other policies, such as a policy prohibiting employees from using drugs and alcohol in the workplace or a non-smoking policy, might also be included here. Legal Requirements - Employee handbooks should contain policies that are important to the safe and smooth operation of the workplace. These legal policies may vary from state to state, but should be a part of every company's employee handbook. Sexual and Other Unlawful Harassment - A written anti-harassment policy is a critical tool for helping reduce unlawful harassment in the workplace. An effective policy defines and prohibits sexual and other unlawful harassment, encourages employees to report complaints, provides multiple complaint avenues, prohibits retaliation for reporting suspected violations, and warns that violations of the policy may result in discipline up to and including termination. Equal Employment Opportunity - This important policy confirms the employer's commitment to abiding by applicable federal, state and local laws prohibiting discrimination based on protected class status and is an extremely important addition. Family Medical Leave Act (FMLA) - Federal regulations require that employers who are covered by the Family Medical Leave Act (FMLA) include in their employee handbooks information regarding FMLA entitlements and employee obligations. Generally, the FMLA covers employers employing 50 or more people during 20 or more calendar weeks in the current or preceding calendar year. Discipline and Termination - A list of types of conduct that could result in disciplinary action or termination can help a company notify all employees about prohibited conduct and what behaviors are prohibited in the workplace. The language of this section of the handbook should indicate that this is not an exclusive list and that the company reserves the right to decide to terminate a worker's employment whether the conduct is listed or not. Safety and Security Policies and Procedures - By including safety and security policies you make a commitment to safety through written policies. Injuries on the job can cost a company thousands of dollars. A company can avoid or minimize injuries by including materials on accident prevention, reporting on-the-job accidents and injuries, and fire emergency procedures. Confidentiality Requirement - In today's competitive business environment, confidentiality can be crucial. Employees should know that confidentiality regarding vendors, customers and private financial information is a key toward a company's continued success. A statement regarding confidentiality in an employee handbook reinforces a company's view on the importance of confidential information. Many companies have a separate confidentiality agreement in addition to a statement included in an employee handbook. Use of Hardware, Software, Internet Access, Etc. - A critical section for any handbook today should cover an employee's use of the tools and materials that are provided to them to do their daily work. It is important to notify all employees that use of company property is for business purposes only and that they should have no expectation of privacy when they are using company resources. A general list of company property and resources should be included, but the handbook should always state that the list is not all inclusive. These are just some of the details that should be included in the employee handbook. Naturally, the handbook would include an acknowledgement that employees are required to sign to prove that they received the handbook and will comply with its policies. As with all important documents, a company should have legal counsel review the employee handbook on a regular basis. An attorney can fine tune the verbiage as well as make certain that all policies are in accordance with federal, state and local laws. In addition, make certain that all policies are up-to-date and currently enforced within the company. Conclusion The employee handbook is important to a company's growth and structure because it communicates to the employees just what the employer expects and what the company will provide in terms of a productive working environment. While policies can be communicated in other ways, such as informal conversations with supervisors and formal training, employee handbooks provide a consistent, carefully crafted message that employees can refer to when they have questions. For informed employees with a clear understanding of their responsibilities, an employee handbook is an indispensable business tool.