In my last Insight, I explained the difference between an employee handbook and a company procedure manual.
Adopting an employee handbook is definitely a great place to start with regard to establishing firm company policies.
When I work with companies, our first order of business is establishing employee policies to be included in a handbook so that we have a basis to work from when administering discipline or handling terminations, etc.
The employee handbook lays the foundation for how the company wants to work with its employees.
I find that a lot of companies try to combine company policies and company procedures into one document, but that usually makes an employee handbook too lengthy. I always advocate having a separate employee handbook and company procedure manual.
Regardless of where you put your policies, the bottom line is that employers just need to make sure they have them in print and in place.
Even Small Businesses Need Policies
I often work with companies that have 50 or fewer employees, and so sometimes these companies feel like they don’t want to adopt or implement any formal policies because they don’t feel they need them and they like their small-company feel. Often times I am told that they want to avoid being too much like “Corporate America.”
That’s when I typically explain to them that with the dramatic increase in employment litigation over the last two decades, they’re better safe than sued. Just because you think you’re a small company and assumingly untouchable, doesn’t necessarily mean it’s true.
Regardless of the size of your company, there will likely come a day when you’ll find yourself in court. And if you have no company policies or provisions that have been put in place and communicated to employees in some published form, it may be a lot more difficult for employers to defend a decision that was made leading up to the lawsuit.
I think it’s imperative to have company policies and procedures to reference.
It can sometimes be difficult for employers to understand the necessity for having policies in place, but once they do understand it and start implementing company policies, they’ll definitely find they will be a lot better off should they be faced with litigation that can be defended with a company policy.