10 Common Mistakes in Employee Handbooks

Your employee handbook can be the foundation of employee performance and a shield against lawsuits, or it can be a ticking time bomb that confuses employees and strips away your legal defenses. A well-written employee handbook can make the difference between these two outcomes.
Here are ten common mistakes you should avoid:
- Adopting a “Boilerplate” Handbook
Avoid using a cookie-cutter template. It can be helpful to review a template or the handbooks of similar companies when drafting your own. But, in the end, your company is unique, and your handbook should be specifically tailored to your organization’s policies and actual practices.
2. Not including All Policies in the Handbook
Employers often draft new policies as laws change and new situations arise in the workplace. Include all important new policies in the employee handbook. Employees should not have to review the bulletin board in the break room, and other miscellaneous policy announcements in addition to the employee handbook to learn the company’s policies.
3. Omitting Disclaimers
All employee handbooks must include a disclaimer that nothing in the handbook creates a contract for employment or alters the employee’s at-will employment relationship. Remove any 90-day probationary period language if your employees are at will. Also include a disclaimer that the handbook cannot address every possible situation that could arise in the workplace.
4. Not Having an Effective Anti-Harassment Policy
The employee handbook should let employees know what harassment is and what they must do about it if it happens to them in the workplace. The handbook should describe the procedure employees need to follow to report an incident of harassment, including the specific person to whom an employee should report the harassment, and an alternate person if the person designated under the policy, is the alleged harasser. The handbook also may include a form for employees to report workplace harassment, although employers must promptly investigate any complaint, even if the employee does not submit it in writing.
5. Too Restrictive Social Media Policies
A blanket prohibition against employee speech that could reflect negatively on the company may violate the employee’s rights under Section 7 of the National Labor Relations Act. In addition, employees have the right to discuss wages and other work issues with fellow employees without reprisal. But the handbook may clearly state what is not allowed, including slanderous, discriminatory or harassing posts. The handbook should prohibit the disclosure of proprietary or confidential company information as well. You may also suggest that employees make it clear when a post is their opinion and not necessarily a stance of the company.
6. Too Restrictive Disciplinary Policy
Employee handbook policies should list the type of conduct that may result in employee discipline, up to and including termination of employment. However, you should not delineate a rigid step-by-step disciplinary system from which the company cannot deviate.
Disciplinary policies should always include the disclaimer that the company reserves the right to skip one or more steps as necessary depending on the severity of the infraction.
7. Applying Policies Inconsistently
Enforce the policies in your handbook the same way with everyone, every time. Inconsistent enforcement can have a negative effect on company morale. Even worse, it can subject the company to claims of discrimination if the company disciplines employees differently for the same infraction.
8. Failing to Train
Make sure managers and supervisors receive regular training on employee handbook policies so that they are implemented correctly and effectively. Once trained, management and supervisors should periodically review the employee handbook policies to assess whether they are being applied consistently throughout the company.
9. Not Making the Handbook User-Friendly
Keep your employee handbook concise, avoid legalese, and make sentences clear and direct to eliminate potential ambiguity. You cannot include every possible situation that may arise, and you should avoid going into extensive detail on every management policy.
10. Not Notifying Legal
Laws and regulations can change, so have your employment legal counsel review the employee handbook on a periodic basis to keep it up to date. Be sure to alert employees to any updates and have them sign an acknowledgement that they received an updated copy of the employee handbook.
There is a lot to consider when planning and implementing an employee handbook. When you do it the right way, it will be a valuable tool for everyone at your company for years to come.
Disclaimer: This information is made available by Bagla Law Firm, APC for educational purposes only as well as to give you general information and a general understanding of the law, and not to provide specific legal advice. This information should not be used as a substitute for competent legal advice from a licensed professional attorney in your state.