As the saying goes, “What you don’t know can hurt you.” This certainly applies to the formation and maintenance of the employee handbook.
Basically, employers want their employee handbook to communicate useful and relevant information to their employees. What can be the danger in that?
Common Mistakes: Lessons Learned from the Field
There are some common mistakes that small businesses want to avoid when they develop an employee handbook. For example, according to the Society for Human Resource Management (SHRM), some smaller organizations revise and distribute “borrowed” information from another organization’s employee handbook. This practice can prove to be a costly mistake especially if the information is out of date or does not apply to the organization; for instance, if information is out of compliance with current laws or regulations.
If you are considering the development of an employee handbook, you might want to take these other commonly made mistakes into account:
Mistake 1: including too much information. The employee handbook is not a policies and procedures manual. Businesses should avoid making a handbook too comprehensive since the policies and procedures manual typically explains the procedures for following the policies. Such a manual is much more detailed and serves as either a reference or enforcement tool for managers and supervisors.
Mistake 2: allowing the employee handbook to get out of date. Once you have developed your handbook, it is critical to regularly audit and update it. An outdated handbook can result in causing more damage than good because employment laws and your business practices can change often. If you state that you are going to do something and you put that in writing—and then have the employee sign off as an acknowledgement of receipt—that opens the door for filing complaints, if the organization does not follow through.
Mistake 3: not providing managers and supervisors with training about how to apply the handbook information. When managers and supervisors distribute the handbooks, they need to be trained in communicating that information in consistent and positive ways. For example, if you state that your organization supports a team environment, you will want to train your managers and supervisors so that their everyday language and behaviors reflect that philosophy. It is also important that managers and supervisors know how to administer the pay and vacation policies, since those are some of the most important to employees, and since those would likely be the first to cause employee complaints.
Mistake 4: stating information in an emphatic fashion or using inflexible-sounding language. Employers should give themselves some “wiggle room” when developing their employee handbook content. Think twice about the language you use before putting promises in writing. In other words, don’t box yourself in, especially in areas where laws or HR practices can change. You could have an outdated handbook before you even get started.
Note: This Insight is intended for informational purposes only and is not a substitute for legal counsel. Employers may want to consult with an employment attorney to make sure they are in compliance with federal and state laws.