Creating Employee Policies for Small Businesses

It is crucial to the success of your business and the retention of your employees to create and communicate an employee policy and provide your team with an employee handbook. Having a policy to reference can be great for setting expectations, allowing employees to understand their rights and benefits, and making your company policies crystal clear.

Let's dive more into the benefits and importance of employee policy/handbook.

 
 


The Importance of Employee Policies for Small Businesses

As mentioned above, having an employee policy or handbook for your staff to reference is a very important piece of your business. Beyond the policy allowing your team to know exactly who you are as a business and what they are expected to do in their roles, a policy can protect your business on the HR side of your organization. If, for any reason, there is a dispute or any misunderstanding that leads to a lawsuit, having a well-thought-out, credible policy can keep you protected. Beyond that, it's vital to outline employee benefits, code of conduct, discrimination/sexual harassment policies, terminations, and more. Again, having a policy can ensure clarity and protection for your employees and your business, especially while you are growing.


What is an Employee Handbook?

An employee handbook is a handbook that details your company's policies, procedures, benefits, and guidelines. While the employee handbook can be a great manual for new hires to learn the business protocols/ code of conduct, it can also be a reference point for veteran employees who need clarity or understanding on how the business will handle any rising issues, retirement, or company changes. Aside from protecting the business and its staff, the main purpose is to have a written guide that creates transparency for the company as a whole.

Without an employee handbook, small businesses might face various issues, for example, burnout employees. See our post on how to avoid burnout in small businesses to stay away from these issues.

Why Use an Employee Policy Handbook?

Employee handbooks are crucial, so everyone joining the company or is employed by the company understands the organization and its policies. The handbook, when done correctly, is an excellent reference for your company's mission, values, and culture. In addition, your business can use your employee handbook to clarify expectations while letting them know what to expect from their leadership and management teams.

While an employee handbook is vital to the staff, it is also important to use the employee policy handbook to ensure your company is complying with state and federal laws and be a tool to help companies defend against false claims.

Using an employee handbook in different facets of your business is essential and beneficial.

What Should Be Included In Employee Policies?

There is a lot of ground to cover when it comes to building out your employee handbook, and the more detail, the better. Need help with where to begin or what should be included? Let's dive into what type of information should be in your employee handbook:

Code Of Conduct

Set expectations for how your employees handle themselves while at work. These expectations can include dress code, working hours, breaks, and even how you expect your team to treat their colleagues. Again, details are essential, so expectations are clear for your staff.

Eeo/Harassment

It is crucial to outline all harassment policies for the organization and what is considered harassment in your workplace. Allowing this clarity means lines won't be blurred, and your workplace will be safe for everyone.


Compensation And Benefits Policy

Outline your company's compensation and benefits policy, including PTO and holiday schedule. Having this as a reference point for your staff will help them better plan their lives outside of work.

Health And Safety Policy


Keeping everyone safe is a top priority in any business and starts with excellent communication. Outlining your health and safety policies in the event of an emergency will protect your staff and could save lives in the event of a catastrophe. Even on a much smaller scale, if you want specific policies about coming to work sick or regarding Covid restrictions, this is a great place to get granular about those issues.

Technology Policy

Now that technology has taken over the world, and everyone can be easily distracted and desensitized to how easily information can be hacked, it's crucial to list your technology policy. Especially if you are working with people in manufacturing, making it clear there are no cell phones allowed in restricted areas is vital for safety. If you are working with passwords and sensitive client information, you must set expectations in your handbook about properly storing client knowledge.

Anti-Discrimination And Anti-Harassment Laws

Making it very clear your no-tolerance policy on discrimination and harassment can ensure a safe, comfortable place for your employees to work.

Time Off/PTO

Time off, or PTO, is a major benefit to your employees and needs to be taken seriously. Making sure your company's PTO policies is crucial.

New Hire Policy

Outlining what is expected of new hires, what a new hire can expect from your company, and outlining any training is a great way to ensure clarity at the start of someone's time with your business. Making new employees feel welcome from their start date can ensure retention.

Termination Policy

Should someone find themselves being terminated, it's crucial for them, as an employee and you as an employer, to know the proper protocol so all parties are protected.

Tips On Writing Your Employee Policies

Are you overwhelmed with how much needs to go into your employee handbook? Don't be. Take it step by step and focus on these two important tips:

Focus On The Needs Of Your Business

Ensuring your business is protected by focusing on its needs is the best way to ensure your handbook covers all the necessary bases. Start at the basics.

Use Clear Language

Get to the point and be as concise as you can be. If you are unsure, something can be misconstrued or unclear it's best to make it as easy to understand and interpret as possible—no fancy language. Just make the message prominent and straightforward.

Employee Handbooks Benefit Everyone

Employee policies/handbooks are important for the employee's and the employer's protection. Beyond that, it allows everyone in the organization to be on the same page and know the proper protocols, culture, and behaviors expected in the business. GCE would love to help coach your business in all departments, including building out an appropriate, helpful handbook. To get started Schedule a call with us today.

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