Employee Handbooks: Necessity or Nuisance?

As an HR consultant who develops employee handbooks, you can guess that "necessity" won out over "nuisance." If your organization's management is spending more time on routine HR and people issues than it should be, and there's no common resource tool to reference for basic answers - an updated, practical handbook is part of your solution. A well written handbook that turns personal decisions into personnel decisions outweighs any headache or cost of creating one.

Handbooks should be used as management's decision-making guide. It ensures consistency across the organization and eliminates the opportunity for benefits and policy discrimination. It's an ideal education tool for managers, employees and new hires. It can help define your culture and detail your history. And it can protect you from unnecessary lawsuits and unemployment expenses.

There are some core policies that every handbook should have. This includes:

• At-Will Employment
• Equal Opportunity
• Employment Definitions
• Conflict of Interest
• Pay and Timekeeping
• Rules of Conduct
• Harassment
• Attendance
• Confidentiality
• Company Property
• Workplace Safety
• Benefits
• Breaks and Holidays
• Paid Time Off
• Family and Medical Leaves
• Other Leaves

Additionally, you need to emphasize how you're going to protect yourself and give yourself flexibility in implementing policies.

At-Will Statement: Clearly state that you or your employees can terminate employment at any time, for any non-discriminatory reason. (Make sure your state is an "at-will" state.)

Acknowledgment Signature Page: Include that the new handbook revokes all previous policies, that you have the right to change and modify without notice these and future policies, that your handbook is not all-inclusive, that it's not a contract of employment, and that all employees are required to read and abide by the policies.

If you don't have a handbook, ask yourself how much additional work not having one is creating for you. If you don't have the budget to hire a consultant to custom write your handbook, then borrow several other handbooks and create your own. Once it's complete, have the handbook reviewed by and HR professional and by an attorney. The HR professional will offer you the practical administrative review - the attorney the protective review.

If you already have a handbook, determine whether it's meeting you needs. What gaps need to be filled in both content and application? Ask your managers where it should be stronger, weaker, clearer, and just plain better. Then, either close your door for a day or two and crank out the changes - or get some time-saving help. One of the services I provide is auditing of employee handbooks, where I compile a thorough report of the strengths and weaknesses of your current handbook. You choose whether you or I implement the changes.

Once the handbook is done, don't store it on a shelf. Gather all your employees together and communicate the details of the handbook to them, so everyone understand their expectations and accountability regarding your policies. Have them sign your new Acknowledgment Form stating that they've received and read the new handbook and you're ready to go!


Arlene Vernon, PHR, is a professional speaker, consultant and author on maximizing the human resources in your managers and your people. For more information on how HRx can help you achieve the results your organization seeks, contact Arlene today at HRx, Inc., Eden Prairie, MN 55344, 952-996-0975, www.HRxcellence.com.

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