Many Benefits of employee handbooks
An employee handbook can make managing employees easier. Also known as a personnel manual, an employee handbook is one of the most common methods employers use to communicate their personnel policies and benefit programs to employees. It should set forth in detail the benefits, policies, and disciplinary rules of the company and should be updated periodically.
A good handbook provides consistency and accuracy in dealing with employees by spelling out company expectations, employee benefits, rules, policies, and procedures.
Obviously, relying on verbal communication is not very professional. And it can give rise to confusion, conflict, and charges of discrimination or unfair treatment.
Developing a handbook doesn’t have to be costly. One suggestion is to draft it yourself and pass it by your lawyer for review. It is important to ensure that the handbook is worded correctly and that it protects you legally. Many lawsuits occur because companies can’t document the consistent use of policies.
At an early point in the process of preparing a handbook, it is important to decide precisely the purpose. Is it solely to communicate employment policies and procedures, or is it for use in helping to train new employees?
If you have some policies in place – in the form of memos — but you want to consolidate them in a handbook, be certain they have already been communicated and enforced. Sometimes an awkward situation arises where some departments aren’t following the company’s guidelines and have other standards in place. A well-presented clear handbook can help to ensure all departments adhere to the company’s formal rules, not their own.
Well-written employee handbooks communicate expectations, for employees. Workers often judge a business on the content of the handbook. If you are a good employer, your employee handbook should reflect this, and your company will attract the best.
Some of the obvious items that normally need to be included in an employee handbook include:
Pay and salaries: Be clear on how you set pay and salaries and how you raise them.
Benefits: Explain the rules relating to benefits, including vacation pay, sick pay, unpaid leave, health benefits, other insurance benefits and retirement benefits.
Drug and alcohol abuse: Most businesses have a policy prohibiting employees from using drugs or alcohol in the workplace. Some also offer to help employees deal with substance abuse through counselling or employee assistance programs.
Sexual harassment: Remind employees that sexual harassment is illegal and violates your policies. Let them know that you will not tolerate unwelcome sexual comments or conduct, and that you will treat any complaints of harassment seriously. Specify how and to whom an employee can complain of sexual harassment, what procedures you will follow to investigate complaints, and what actions will be taken against harassers.
Attendance: Emphasise the importance of good attendance and showing up on time. Explain that numerous unexplained absences or repeated tardiness can be a basis for disciplinary action or even firing.
Along with saving time, an employee manual can improve employee morale, prevent disagreements and even keep the company out of court. And with all the facts at hand, employees can promote the business in the community, spreading the word that it's a good place to work. With a good handbook, a business is often taking the first step towards attracting a higher calibre of applicant for job vacancies.
Despite these pluses, not all firms need handbooks. In very small companies with a lot of face-to-face interaction, a handbook probably isn't necessary.
Of course, an employee handbook cannot replace personal communication, and it probably does not solve any problems on its own. It is just a basic tool that can help. But it is an effective means for informing employees about vital information.