Employee Policy Manuals - 9 Reasons All Businesses Should Have One

To a Human Resources professional, the following points are second nature. But to a business owner, immersed in the day to day details of running a busy operation, some of these very important considerations may not be front of mind.

We include them here to focus your attention on the fact that although there may be a thousand reasons why you need an effective employee policy manual, we cannot think of one reason why you would not have one.

1) Employment laws and regulations are becoming increasingly complex and demanding, with emphasis on employee rights and little appreciation for the situation of employers.

A written Employee Policy handbook distributed to all employees formalizes and records company policies. Employees reluctant to ask their supervisor questions about their workplace rights and responsibilities can refer to the policy manual for this information.

2) Employees tend to feel more secure knowing what the company's operating policies are in writing, providing a sense of consistency throughout the workplace.

3) Publishing employment policies can be extremely helpful in the case of litigation or arbitration involving employees, former employees and third parties.

4) An employer can show that the company has emphatic policies against discrimination and harassment, which may prove to be a tangible advantage if such problems arise.

5) More of the onus of complying with government workplace regulations is transferred to employees if the Policy Manual outlines these responsibilities.

6) The risk is minimized that an employer might be held liable for (illegal) acts of its employees if such activities are explicitly prohibited in a published policy handbook.

7) An employer can more easily establish that the company is not to blame if employees violate company policy and harm other employees or third parties. Employees cannot excuse wrongful or harmful conduct by claiming that they did not know the company policy.

A concise user-friendly Policy Manual lets employees know where they stand as well as providing employees' family members with a clear understanding of the work environment.

9) An employer can show that official policy is to be fair, responsible and considerate toward the work force.

Unsatisfactory or undesirable employees can be discharged with less risk of expensive consequences or legal complications because a written Policy Manual specifies causes for dismissal and a clear disciplinary procedure.

"Most of the dismissals in my experience are wrongful dismissals." -- Yaeger and Company, Lawyers, West Vancouver, BC.

The implications for a business that does not clarify its employee policies and distribute them in writing to all employees are hazardous to the bottom line. (A single wrongful dismissal suit can easily wipe out a year's profit)

Hugh Roberts -
Employee Policy Manual Expert