How An Employee Handbook Helps Your Business

An employee handbook is a vital foundation document that every company should have, whether they’re a large one or a small one. These documents not only help the employees, but are equally as important for management, too.

A business has rules, regulations, benefits, and expectations like any well-organized system, and should therefore have written documents that explain them clearly. Employee handbooks also commonly address “what if” scenarios and can be essential for safety. They help to protect both a business owner and a business employee legally, and should be kept as up-to-date as possible. 

There are a plethora of reasons why your business should have an employee handbook; we’ll be featuring just a few of the best in this article.

They Outline Policies and Expectations

What a company expects from an employee is put in plain sight with an employee handbook, and in addition to explaining what the rules for an employee under the company are, employee handbooks also typically explain what the consequences are when these rules are broken or when expectations aren’t met.

For your employee handbook, consider implementing sections like these:

  • Who to call when you’re late or not coming in, and when.
  • Timeliness.
  • Expectations for professionalism.
  • Timeline for requesting leave.
  • Equal Employment Opportunity policies.
  • Harassment and discrimination reporting.
  • Statements of At-Will Employment.
  • Digital and social media policies.
  • Policies for leave, including sick leave, maternity/paternity leave, FMLA, and PTO.

Employee Handbook Stating Environmental Consistency and Fairness

Your employee handbook, which is mandatory to be read and/or possessed by all employees, is among one of the strongest tools that you can utilize to combat claims of discrimination or unfairness in the workplace, by stating a clear message that fair treatment for all will be ensured company-wide.

Defense Against Unemployment Claims and Lawsuits

Employers often have found themselves in trouble after failing to include important provisions in their employee handbook for various claims and lawsuits. An employee handbook that’s written well can go a long way in helping you and your company defend themselves against legal actions. Some employers have even been fully released from otherwise damning legal action simply by possessing a signed acknowledgement of the employee handbook. 

Some important sections to ensure are in your handbook:

  • Discrimination.
  • Harassment.
  • On-the-job injury.
  • Retaliation.

Outlining Benefits and Compensation for Employees

Just as you want your employees to understand what’s expected of them, your staff want to know what to expect from their employer.

Generally the most commonly studied and favored section of the employee handbook, the benefits and compensation sections should be detailed in discussing what’s important to the interest and well-being of your employees.

Some of our recommended sections are:

  • Pay schedule.
  • Review and/or raise schedules.
  • Performance review policies.
  • Benefits available and processes for enrollment.
  • Probation periods.

Remember that it is not just a document to outline the company’s expectations; it’s a part of your business and will reflect who you are as a company. Be sure that what’s written within encompasses your company’s missions and values.

If you need further great information for your business, look no further than Thompson Law.