What makes your company stand out? Is it your commitment to your employees and your customers? That’s something that can be really helpful to include in an introduction. A value statement, a warm welcoming to the company, important facts, and a mission statement will give new employees the shorthand answer to any company-related questions they may have.

An at-will statement is important to include at the beginning of your handbook. The company or the employee can with or without cause or notice may terminate the employment agreement.

• Introductory Period
• Records Administration
• I-9 Forms and Records(including E-verify)
• Employment Verfications
• Employee Access to Personel Files

Employee Classifications

Employee classification status should be outlined in the employee handbook. Employees need to be identified as exempt or non-exempt and as salaried or hourly, defined in the Fair Labor Standards Act. Explain to them what to do if they are unsure of what their classification is. Who can help them find out? Their manager, HR, or someone else? The classification impacts overtime. Non-exempt (typically hourly employees) receive overtime. At minimum federal regulations for overtime is time and a half of the hourly pay after 40 hours of work. Exempt employees (typically salaried) are not eligible for overtime, but rather simply expected to work 40 hours a week.

Pay Periods

The pay period is super important to your employees. Pay periods are typically one of the following: weekly, bi-weekly, semi-monthly, or monthly. If your employees are paid weekly or bi-weekly it should include the day of the week that they are paid. If semi-monthly or monthly, it should be the date. Some states have their own laws, so do your research before completing your policy.

When employment ends for any reason the final paycheck will be issued as normal, unless state law requires otherwise.

Work Hours

Working hours are dependent upon what your company has set. Do you have designated shifts? Do employees have to clock in and out at a certain time? Make sure you have set business hours, then fill in employee times from there. If you’re only open 8-5 everyone works 8-5, but if you’re open 24 hours make sure employees know if it’s a set time they work or if they need to consult a schedule.

Paycheck Policy

Break Policies

Next, how are you going to keep time (and overtime), monitor breaks, and what are the rules? Do all employees need to clock in, or just non-exempt? For exempt employees it does not necessarily matter when they clock in or out, as long as they’re getting their work done. However, if your company notices many employees arriving late, or leaving early it may be time to consider having exempt employees clock in and out. For non-exempt employees they must clock in and out for every shift, 15-minute break, and lunch break. Under the federal Fair Labor Standards Act (FLSA) any break under 20 minutes must be paid. Overtime, as stated before is paid to non-exempt employees when their hours exceed 40 in a week.

Meal breaks are not federally mandated, some states however, do regulate breaks check for any laws that your company may need to follow.

Most workplaces allow for an unpaid meal break, however, direct employees to their managers for any specific questions they may have in your office.

Inclement Weather

Inclement weather and emergencies happen. What should your employees do if they can’t come to the office- work from home, take the day off, or how would they know if the office is closed? Be sure to have an established policy to avoid confusion and ensure the safety of your employees.

Holidays Observed

Holidays! Everyone loves a good free-day off, but every company celebrates (aka closes the office) for different events. Will all employees automatically be paid for holidays? Add that to your handbook and any conditions surrounding holiday pay. There are no required paid holidays in the United States, however, most companies tend to pay for: New Year’s Day, Easter, Memorial Day, Independence Day, Labor Day, Thanksgiving Day, the Friday after Thanksgiving, and Christmas Day. These are usually a good place to start and develop a basis for. If employees celebrate other holidays and would like to have other days off, they must use their paid time off.

All of these are dependent upon your company’s policy. However, check your state laws to be sure there is not a needed policy in place already.

Funeral or bereavement leave is a different than PTO, at least here at our company. It’s nice to offer separate leave for employees in cases of death. When someone close to an employee dies they may have to undergo a lot of paperwork, emotional turmoil, family events, travel, etc., employees should have the opportunity to grieve. Be sure to define the following:

• Who is immediate family?
• Does proof need to be provided?

Jury duty and court mandated absences are excused from working until the completion of jury duty. At XcelHR, employees who are full time are paid normal compensation if proper documentation of time served is provided. Hourly employees are paid on the number of hours scheduled for the employee while he or she is on jury duty. Be sure to include the following:

• Who needs to be aware of employee on jury duty?
• What happens with money given to the employee from the court?
• What documents need to be provided

Employees should also receive time off to vote, if they are unable to due to their work schedule. Tell employees how to communicate this with their managers and inform hourly employees whether or not they will be paid, states have varying laws.

When it comes to military leave, explain which policy your company complies with. We use USERRA guidelines. When it comes to military training employees may elect to use PTO rather than taking time without pay. While in the service XcelHR provides 24 months of healthcare for employees.

Family medical leave act is a complicated beast that needs to be outlined in your company handbook.

Many states have their own leave laws as well, in that case you will need to outline the leave laws for all the states your company operates in. Check out laws in your state to be sure that you remain compliant.

• Dress Code, Appearance, Fragrance, Chemical Sensitivities, and Cleanliness

• Smoking/Tobacco Products
• Housekeeping at Worksites
• Solicitations/Literature Distribution Policy
• Visitors in the Workplace
• Conflicts of Interest and Outside Employment
• Separation of Employment

Appearance and Hygiene

When you work in a professional setting, have clients visiting, or you interact with only your coworkers on a daily basis, appearances and cleanliness are key to keeping your employees on their A-game. It is not necessary to have a strict dress code if that does not fit your company culture. A common dress code is business casual. What is business casual?

However, be sure to note in your handbook if any of the aforementioned are allowed on casual days (if you have such days), like jeans and sneakers.

When it comes to smells, some employees may have fragrance, smell, or chemical sensitive. Tell employees to stay clean, avoid spraying perfume in communal areas, and be aware if anyone around them is sensitive to a particular scent.

Smoking Policy

According to state laws you may not permit smoking or use of tobacco products in indoor area or central entrances of the building. Be sure to highlight that smoking may only take place in designated smoking areas.

Work Station and Communal Area Cleanliness

When it comes to work stations and communal areas, you should inform employees of any expectations. Tidiness and professionalism is important, and in a shared workspace a mess may be distracting to other employees. In terms of communal areas, like a kitchen employees should know to clean up after themselves. Once one person starts leaving a mess, it is likely that others will follow suite.

Conflicts of Interest and Outside Employment

Do you have your employees sign a non-compete agreement? Here is where you can elaborate a little bit more on that. If an employee has other business dealings that are in conflict with the company’s mission here is where you can state how it’s unacceptable. If an employee believes they may have a conflict of interest with the company, who should the alert or talk to? Conflicts of interest are not always malicious actions towards the company, but rather a sibling that works at a competitor. Make sure you communicate with employees what is and isn’t okay.

As far as outside employment, some may choose to get a second job. However, employees should ensure that it does not negatively impact the company or their work hours. Include anyone an employee can’t work for, the obvious include competitors, but is it professional if they work for a vendor or client? Decide your policy then put it in the handbook.

Separation of Employment

Do you live in an at-will state of employment? In that case, you cannot force an employee to give two weeks’ notice before quitting, you can say that you would like it but it does not work. Explain what an employee needs to discuss with a manger like: remaining PTO, benefits, final pay, etc. on their last day. State laws may come into effect here, especially regarding leftover PTO. Take note of anything that an employee should leave behind when they depart like software, materials, manuals, etc.

• Telephone Etiquette
• Personal Phones and Internet Devices
• Personal Use of Company Provided Cell Phones and Other Equipment
• Internet Use & Social Media
• Confidential Information
• Intellectual Capital/Property Policy
• Communication Systems

Telephone Etiquette

In many offices, answering the phone is part of the job! However, that means that some people may get frustrated at the noise levels, others may ignore calls. What policies do you need to create for your office? Here are some examples of policies you might want to add to your handbook:

• Answer calls promptly, or return them ASAP
• Answer professional, give a script to employees if they need one
• Keep personal calls brief
• If speaker phone is distracting for coworkers, present a solution, a headset, or accommodations if using the handset doesn’t work.

Internet and Social Media

Do you have a social media or internet policy in your office? It might be a good idea to develop one. These are some key points you should include:

• Social media shouldn’t interfere with an employee’s job, and if it does so it will become a problem.
• Decide whether or not you want employees to be able to identify themselves as an employee or representative of the company online.
• Employees shouldn’t take out their frustration on the company, products or services online.
• Tell employees to make it clear their opinions do not reflect the views of the company if they are in any way shape or form representing the company online.
• Do not tolerate any type of cyber bullying in or outside of the office.

• Performance Management and Disciplinary Action
• Unacceptable Conduct
• Grievance and Conflict Resolution Procedure

Performance Management and Disciplinary Action

XcelHR defines performance management as a continuous improvement process. Managers and employees should discuss job performance and goals on a regular basis, informally. If work is unsatisfactory, more people should become involved like, HR or upper management, if possible.

It is then that employees will receive warnings, suspensions, or terminations. If your company has a course of action to take prior to termination, here is where you should write out the steps.

Unacceptable Conduct

Some ways employees may decide to conduct themselves is always unacceptable, and these examples may permit you to immediately escalate to termination without warning.

Grievance and Conflict Resolution Procedure

When misunderstandings or conflicts arise at work, how should your resolve the issues? Write out the steps employees should take when it comes to fixing interpersonal conflicts in the office! Here’s an example of handling a general concern:

• An employee has questions about policies or procedures and sees an issue- they should talk to their manager, unless an employee is uncomfortable then he or she should seek human resources or another member of management. Management and HR should work out a reasonable solution to the problem, and each employee should cooperate to the best of his or her ability.

Tell employees who will receive information before, during, and after the situation is resolved, they should be aware of anyone involved in the matter. Be sure to tell employees what to do if they feel like the situation has escalated since the complaint was filed. If the matter escalates to a legal level, this is the area to explain what happens next. For example, will it go through arbitration or a lawsuit? While employees should know what to do in the event of a bad experience, you should also include what to happens if something goes wrong and they’re caught in the crossfire. Be sure to cover all of your legal bases.

It may be a good idea to base these rules and procedures on the

American Arbitration Association’s National Rules for the Resolution of Employment Disputes.

• Safety and Health
• Motor Vehicle Safety
• Workers’ Compensation
• Workplace Violence Prevention Policy
• Coping with Threatening or Violent Individuals
• Drugs and Alcohol Policy

Safety and Health

Safety is obviously vital to every organization, whether your employees are sitting at a desk all day or building sky scrapers you want your employees to be safe! Here is where you need to tell employees how they can do their part in keeping the workplace a safe place.

• Stay current and adhere to safe work practices- OSHA regulations can help your company stay on track.
• Report any safety hazards to a manager- tripping hazards, fire hazards, jagged edges, wet floors, or anything that could be perceived as a hazard.
• Managers should be immediately notified of any injuries, illness, or close calls if on the job
• If it is part of your company’s policy, make sure employees know that they may be drug/alcohol tested if an accident occurs at work
• What happens if an employee gets hurt at work and seeks medical attention without telling a manager? Make sure they know that the cost could fall on them.
• Give proper instruction for heavy lifting- inform employees to ask for help if needed
• Horseplay, practical jokes, and distracting coworkers can increase risks for injury, these are things employees need to be aware of.

Motor Vehicle Safety

If employees use company-owned vehicles or personally-owned vehicles for company business they should follow motor vehicle safety guidelines set by your company.

• Driver must have a valid license, proof of state-required insurance, and a current safety inspection
• All occupants must wear a seat-belt
• If a vehicle is not safe to operate or the current inspection sticker is out of date it should be taken out of service, if it is a privately own vehicles they should not be used for company business
• Decide whether or not employees can use their phones at all (other than abiding to state laws)
• Decide whether or not you will conduct a background check of their driving record when an employee start to decide if they will or will not have driving privileges
• If an employee gets into an accident while driving, who is the first person they should alert? Managers, HR, and risk management should all be made aware, especially if it will change their ability to drive a company car.

Workers’ Compensation

Employees are protected under Workers’ Compensation State Laws. Every company needs and has Workers’ Compensation. It covers accidental injuries that happen in the workplace. It’s provided through your company’s Workmen’s Comp. insurance carrier. If employees should not seek medical attention (unless it’s an absolute emergency) let them know who they should speak to beforehand.

To receive any lost wages for time not worked for an injury that occurred in the workplace, employees should be able to provide your workmen’s compensation team documentation from their medical professionals. They may also need to provide the proper documentation for what needs to happen before an employee can fully return to work.

Drugs and Alcohol Policy

Are you a booze-friendly company? Do you operate in Colorado or any other state where employees can legally partake in marijuana? If so these should be taken into account when writing your policy.

• Prohibited Harassment/Discrimination
• Personal Relationships in the Workplace/Fraternization
• Disability, Pregnancy, and Religious Accommodations

Accommodations and being an equal employment opportunity employer are required in most instances.

Prohibited Forms of Harassment and/or Discrimination

Laws are extremely important in cases of harassment or discrimination. It should be a policy violation as well as any law violations. These include:

• Race
• Sex
• Gender
• Age (40+)
• Pregnancy
• Disability
• Military service connection
• Genetic information
• Any other legally protected basis.

Stereotypes, epithets, slang terms or names, language or actions, that degrade or insult any of the people protected above is a violation of company policy. Direct employees what section of your handbook to turn to if they believe they have been harassed or discriminated against.

Sexual harassment has been heavily in the headlines recently. Simply, your company should not tolerate sexual harassment or discrimination in any form. Explain to employees what all sexual harassment may include, it could be attention of a persistent or offensive nature, or physical and/or psychological, and can impact members of all gender identities. Here are some examples you may want to give in your handbook:

• Using a sexually-oriented request as leverage for a desired employment opportunity
• Threatening to retaliate if the sexually-oriented request is denied
• Sexually-suggestive physical contact, gestures, or touching
• Displaying or communicating sexually themed jokes in any form
• Display or using sexual or other gendered related epithets, slurs, or profanity
• Displaying, storing or transmitting pornographic or sexually-oriented materials with company equipment in the workplace
• Engaging in indecent exposure or displaying images of such exposure
• Making unwanted sexual or romantic advances

It is also important give employees’ direction on what to do if they feel like they are being harassed or discriminated against.

• Medical Insurance
• Dental Insurance
• Voluntary Supplemental Insurance
• Long-Term Disability Insurance
• Life Insurance
• 401k Plan

Benefits is a major way to retain and attract employees, and can really sell a job to candidates. When they get the job, they need a place to learn more about what benefits are available, open enrollment, and what voluntary insurances your company offers. Be sure to include where employees can find in-depth benefits information because you only want to include the basics in the handbook!

For voluntary supplemental insurance it is easy enough to write that employees have the opportunity to obtain other insurances through the company.

Give a short form answer to how long-term disability, life insurance, 401(k) plans, and section 125 plans work in your office. It should tell employees where or who they can ask for more information, but it does not need to be in-depth. These are important benefits to note, and a great place to tell employees where to find more information about it.

Travel reimbursement doesn’t really fit into any other category, however, it needs to be included if your employees will ever be traveling. There is an IRS Standard Rate for mileage reimbursement, 54.5 cents per mile of business travel. This is a good place to include any other reimbursements, like a meal allowance. It is also important to inform employees of who they should alert and consult about their work-needed absence.

Finally, wrap up your handbook with a place for your employees to sign. Make sure they’ve read, acknowledged, and are willing to agree to the terms lined out within the handbook. Keep this signature on file in case employees have further questions, it’s a good way to keep your bases covered, and ensure everyone has signed the most recent copy of the handbook.