Employee handbook essentials

Employee handbooks are probably one of the most overlooked human resource tools, especially for independently-owned companies. Everyone knows they should have one and writing one is on their To Do list, but they don't get around to it. Regardless of how many employees you have and how long you've been in business, an employee handbook is a must.

For new hires, it's one of the first real forms of communication between them and your company. For existing employees, it's a tool that answers questions or reaffirms policies. For you, it can be a safeguard against legal issues, a time saver and more. Not only does it outline your expectations of them, it lets employees know what they can expect from you.

The handbook should be clear and concise and at the very minimum it should contain the following: a statement of the company's goals and philosophies (sometimes this is written as a welcoming letter/note); working hours; statement of nondiscrimination and non-harassment policies; attendance policies; performance evaluation procedures; pay periods; safety and accident rules; vacation policies; dress code; family and medical leave; maternity leave; short term disability; COBRA; open door policy/grievance procedures and worker's compensation.

Since in legal disputes courts have been known to consider employee handbooks as contractual agreements, it's a good idea to make sure each employee knows it is their responsibility to read and understand the handbook. They should sign a statement acknowledging they've reviewed the handbook and this should be kept in their personnel file.

Aside from the policies listed above, there are other policies you may choose to include in your handbook.

You might cover topics like substance abuse (especially if you do drug testing), smoking, holidays, jury duty, funeral leave, military service, retirement plans, tuition assistance and e-mail, phone and computer usage.

If you choose to incorporate these additional policies do so concisely. You don't need to outline the entire insurance program, for example — that's what the insurance summary plan description is for.

If you're starting from scratch, don't get overwhelmed. There are a lot of resources available to you including do-it-yourself books, software programs and companies that can be retained to develop one for you.

If you decide to do it yourself, a good place to start is to gather any existing company memos, posted policies, letters, etc.

Whether you create your handbook or hire someone else to do it, the most important thing is to have an employment attorney review the document before you distribute it to your staff.