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The Importance of an Employee Handbook

07/17/2017

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Just as companies come in all shapes and sizes today, employees themselves can embody a variety of personalities and work ethics. While some employees will be naturally inclined to know company policies and procedures by heart, others won’t pay as much attention until a situation or scenario comes up that demands a policy explanation or understanding. That’s why an employee handbook is a must for every employer. An employee handbook clearly states a company’s legal obligations as an employer, while outlining an employee’s rights. It also provides an overall view of what to expect of a company’s culture.

While the creation of an employee handbook can seem like an exhausting task, a Human Resources Outsourcing (HRO) company or Professional Employer Organization (PEO) can take on the burden for employers, all while ensuring proper compliance with laws and regulations and maintaining best practices throughout every business industry. If you’re on the search for assistance with developing and producing a proper list of company policies and procedures, here are five things to consider when it comes to the importance of an employee handbook.

  1. Employer Expectations—While some employer expectations can be obvious, there will always be scenarios in which extra clarity and explanation are needed. Having a standard list of clear expectations in print for employees to view at any point will prevent potential confusion, while giving employees a direct source of information for questions that might arise related to anything from dress codes, compensation, time off, discrimination, and so much more.
  2. Employee Expectations— An employee handbook provides a peek at the best practices associated with leadership and management, as well as employer-employee relationships. Employees will also have a source of knowledge about legal regulations regarding timekeeping, payroll, benefits, and various requirements for federal and state leaves, such as the Family and Medical Leave Act (FMLA).
  3. Employee Support—Whether it be internal management or external third parties, employees should know who to contact when a situation arises that involves workplace violations or disagreements. Providing this information can be a win-win for employers.
  4. Employee Benefits—From insurance to retirement to vacations, employee benefits policies can sometimes seem like learning a foreign language. With an employee handbook, benefits information can be clearly defined and accessible for employees to view whenever a question arises.
  5. Employer Values—In today’s constantly evolving culture, it’s important for employers to make employees aware of company stances on issues such as discrimination, harassment, equality, and more. It’s also important to provide a central source of information about how to report any violations regarding such issues.

Not only are these five tips essential for the development and production of an employee handbook, but it’s also important to remember that an employee handbook should be updated on a regular basis. As laws are updated regularly, employers must be sure to stay up to date with company policies to avoid potential legal issues. Above all, a good standard of practice with employee handbooks is to make sure the language is clear and consistent.

LBMC Employment Partners is a proven leader in assisting employers with important HR tasks such as developing and updating employee handbooks. To learn more or discuss our employee handbook services, contact us today! 

Tagged with: employee handbooks, HR, HRO, PEO
The Importance of an Employee Handbook