Does your handbook keep you covered?

By Georganne Weeks
Concept H.R.

 

There is no law that requires employers to develop and maintain a written handbook or policy manual; therefore, it’s not surprising that many employers run their businesses and attempt to manage their employees without the use of a handbook.

Some of the reasons I’ve heard for not utilizing a handbook are: employers are afraid that the language in a handbook may “lock them in” or form the basis of an employment contract;  some have expressed concern that they may be sued by their employees if they don’t always follow the exact language in the handbook; while others are concerned that a handbook may limit their ability to handle situations on a case-by-case basis.

While there may be a few disadvantages related to creating and enforcing an employee handbook or policy manual, I believe that those employers who do not choose to provide a handbook and enforce their policies consistently are exposing themselves to unnecessary headaches and legal risks.   It’s not only a good business practice to communicate your expectations and the consequences when they are not followed but it is also used to protect the rights of the employer and the employee.

The importance of having a well-written, legally sound handbook cannot be overstated. The handbook should clearly state the company’s policies.  It should allow for consistent application of the policies among supervisors and managers and allow them to operate with a greater sense of confidence as they make day-to-day employment decisions.  Also, a well-written handbook can demonstrate a business owner’s desire to treat all employees fairly and consistently, and it is often an employer’s best defense when faced with litigation.

The employee handbook is a very important management tool; however, it must accurately reflect the employer’s practices as well as the ever-changing employment laws. If a handbook is not updated often it may not reflect the latest new laws and regulations associated with running a business and managing your employees.

A few of the areas that should be covered in an employee handbook are:

Discrimination, Harassment and Retaliation

• Employers should cover all applicable protected classes, such as race, color, national origin, gender, pregnancy, religion, age, disability and other categories.
• The policy should contain examples of prohibited conduct, as well as the consequences of violating the policy.
• The policy should outline a reporting procedure, including a bypass reporting procedure, and include the prohibition of retaliating against those who report possible violations.

At Will Statements                                        

• Employment is at will under state law.
• Employment can be terminated at anytime, for any reason, with or without cause.
• Employee handbooks and policies do not create a contract of employment.
• Employee handbooks should include an “acknowledgement of receipt” that is signed by each employee and retained in the employee’s personnel file.

Rules of Conduct

• Should contain a list of broadly defined acts of misconduct.
• Should explain the possible consequences of failure to follow the rules.
• Should include a list of behaviors that may result in immediate termination.

Grievance Procedures

• Should include a step-by-step procedure for addressing employee concerns.
• Should encourage following a chain of command, but also include a “bypass” procedure for reporting concerns.
• Establish a “special” direct procedure for claims of discrimination, harassment and retaliation – outside of the “normal” chain of command.

Medical and Personal Leaves of Absence*

• Should contain information about eligibility requirements.
• Should explain how much leave time will be allowed.
• Should include Information related to job return.

*Employers with 50 or more employees are required to include a Family and Medical Leave Act policy in their handbooks.

Family and Medical Leave Act

• Must include Leave Entitlements
• Benefits and Protections
• Eligibility Requirements
• How to Request Leave
• Employee & Employer Responsibilities
• Enforcement

While the list above contains a few of the policies that should be included in your employee handbook, there are many more that should be included such as:

• The Affordable Care Act
• Attendance
• Confidential Information
• Substance Abuse
• Social Media
• Timekeeping
• Work Schedules
• Electronic Communications
• Meal/Rest Periods
• Lactation Breaks
• Benefits
• Social Media
• Safety
• Safe Harbor

The list of topics could go on and on and it would be impossible to cover everything in one article.  However, one of the most important employee-relationship projects is creating and enforcing an employee handbook. And, while it’s a lot of work to design a handbook that will do everything you want it to do, it’s well worth the time and effort.  A comprehensive handbook aides in effective leadership, and effective leadership makes for a productive work culture and happy employees.

 

Georganne Weeks is currently PHR and SHRM-CP certified and has more than 25 years of human resource management experience.  She has conducted numerous training seminars and has supported hundreds of clients for Concept H.R. for over nine years.  Concept H.R. has solutions to many common human resource issues including payroll, benefits, 401(k) and risk management administration unique to the dynamics of a diverse workforce.  You can find the expertise needed to maintain compliance with employment labor laws and regulations on a federal, state, and local level, all given with the highest personal customized care.