Do You Have Employees? Then Yes, You Need an Employee Handbook!

If you have employees, an employee handbook is a critical part of your business. It will establish and communicate your company's mission, values and policies to your employees and provide the company with an invaluable level of legal protection. But a high quality handbook can do much more than that. It can play a key part in defining the company's culture and in cultivating feelings of inclusiveness and appreciation among its employees. A well drafted employee handbook can serve both as a legal document and as a company culture building tool.

Top Reasons to have an Employee Handbook

There are many good reasons to have an employee handbook. Some of these have to do with the legal protections that a handbook can provide. There is many a lawsuit that has been won because the employer could point to the specific, written policy that the employee had violated, which was the "non-discriminatory" reason for his or her termination. Other reasons are more focused on the benefit handbooks can afford in defining the company's relationship with its employees. Let's look more closely at the top reasons to have an employee handbook:

1. To reiterate, explain and reinforce the company's employment-at-will policy and to obtain employees' written acknowledgment that they have read and understood such policy.
2. To communicate to employees a clear and consistent understanding of what the company expects from them re-performance, responsibilities, and procedures and to obtain employees' written acknowledgment that they have read and understand the company's rules and other policies.
3. To inform employees about what they can expect from the company in the form of wages, benefits, and other considerations.
4. To ensure that company policies and procedures re compensation, safety and health, job performance, conduct and behavior, disaster preparedness, and other related employment issues are clearly and accurately stated in order to facilitate the consistent application and enforcement of such policies.
5. To communicate information the company is legally obligated to provide in accordance with federal, state, and local laws and to ensure compliance with such laws.
6. To help the company resolve and/or defend against the disputes, legal and otherwise, that will inevitably arise with employees.
7. To communicate the company's mission and values to employees and to foster feelings of inclusiveness and appreciation among them.
   

Why Customization is Important

Not all employee handbooks are created equal, however. If a company doesn't have a customized, well thought out, and professionally developed handbook, it may cause more harm than good. For example, simply downloading a generic employee handbook and slapping your company's name on the cover is risky. It may commit your company to follow some laws or policies unnecessarily and/or cause it to be out of compliance with others that it is obligated to follow.

The Benefits Outweigh the Costs

An employee handbook can seem intimidating, but it is something that is necessary for employers of all sizes. Having one that is developed properly can bring employers a level of peace of mind in their employee relations management. Having an employee handbook does not mean you won't get challenges or sued, but it will definitely help you defend your actions and limit your legal exposure. Simply stated, the benefits of a high-quality employee handbook unquestionably outweigh the costs.

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