PPB November 2018

H uman resources professionals often advise companies about the importance of an employee handbook. But why are they so important? Employee handbooks serve as a valuable communication resource for company- specific and legally-mandated policies. These policies inform employees of their rights, responsibilities and benefits, and cover a wide range of topics important to the workplace. An employee handbook: • establishes the company’s policies, guidelines and expectations for employees to follow • helps define company culture • provides legal notice of required laws and regulations • helps define and explain company benefits, eligibility, etc. • shows the company’s commitment against unlawful and unacceptable practices such as harassment, sexual harassment, discrimination and retaliation • meets compliance requirements of some Employment Practices Liability Insurance (EPLI) carriers We strongly recommend developing a custom handbook for your company versus using an online template or “borrowing” a handbook from another company. Far too often we review the handbooks of small companies that have fewer than 50 employees and find that they obligate the company to Family Medical Leave and demographic reporting under the Equal Employment Opportunity Act. These are significant and burdensome obligations that do not apply to companies of their size. So why do they have them in their handbooks? Because they used a template or borrowed a handbook from another company. Don’t make that mistake. When it comes to legal compliance, tailor-made is always best. Why These Handbooks Are Important— And What Not To Include by Paige McAllister, SPHR Even Small Businesses Need An Employee Handbook 74 | NOVEMBER 2018 | THINK