How To Articles

How to Create an Employee Handbook

Whether your business has two employees or 200 employees, if you have them, you're going to need to create an employee handbook. Employee handbooks address the basic mission, rules and terms of employment within the company. From a legal standpoint, having an employee handbook with written policies and procedures can go a long way in keeping your business out of trouble. Employee handbooks will vary from company to company, but many of the basic elements will remain the same. Here are some elements that should be included.

1. Opening statement
   This can include your mission statement and any other company goals you might have, but it should also touch on your company's history and the values that have or will make it successful.


2. Orientation procedures
   This should outline all of the things that new employees need to do to become officially integrated into the company. Include information on tax withholding, employment eligibility, drug screening, etc.


3. List of all company policies pertaining to employees
   Here is where you explain your expectations as well as disciplinary actions regarding things like dress code, alcohol or drug abuse, sexual harassment, attendance, violence, etc.


4. All information pertaining to employment and benefits
   Make a clear delineation between what is considered part time and full time. Then outline the benefits and differing procedures of each. Also include information regarding health insurance, 401(k), vacation and other pertinent benefits.


5. Rules regarding usage of equipment, Internet, cell phones, etc.
   Let employees know what is and is not considered acceptable when it comes to their use of company assets. This can also include their use of personal email and personal phone calls.


6. Procedures involved with job termination
   This will include the reasons for which an employee can or will be fired and how such an event would be handled. It also includes procedures involved with resignation or retirement.


7. Statement regarding confidentiality
   Inform employees on what is considered sensitive business information and what is not. Also let them know the consequences of releasing such confidential information.