What to Include in Your Employee Handbook

If your employee handbook needs an update, or you’re putting one together for the first time, here’s what you need to know. An employee handbook is a vital manual that outlines your company’s rules and expectations. It protects both the employer and the employees, but it’s only as effective as the information it contains.

Ensure your employee manual is comprehensive by including the following key sections:

1. Welcome and Introduction

Take this opportunity to welcome employees and introduce your company. Share a brief history of the business, including when and how it started. This section should also convey the company’s motto and mission. For example, a computer consulting firm may stress exceptional customer service as a top priority.

2. At-Will Employment Statement

Clarify that employment is at-will—employees and employers can terminate the relationship at any time, for any lawful reason.

3. Equal Opportunity Commitment

State your compliance with all federal and state equal opportunity laws and your dedication to a fair and inclusive workplace.

4. Policy Against Sexual Harassment and Discrimination

Detail your zero-tolerance policy for harassment and discrimination, and outline procedures employees should follow to file complaints.

5. Payment Policies and Benefits

Explain:

  • When and how employees are paid
  • Reporting hours and overtime guidelines
  • Meal and rest break policies
  • Paid sick leave, vacation, holidays
  • Health and retirement benefits

6. Expense Reimbursement Guidelines

List qualifying expenses (e.g., travel, mileage, parking) and instructions for reimbursement.

7. Employee Conduct Rules

Break this section into subcategories, including:

  • Job performance standards and performance reviews
  • Workplace behavior expectations (professionalism, punctuality, client interaction)
  • Company dress code
  • Prohibited behaviors (e.g., drinking on the job), disciplinary procedures, and grounds for termination

8. Health and Safety Concerns

Emphasize workplace safety, emergency procedures, and protocols for handling violence or hazards.

9. Employee Privacy Guidelines

Outline employee rights and limits regarding company email, phone, and internet usage. Specify what is considered inappropriate and when it may lead to discipline.

10. Employee Files and Rights

Explain that files are maintained securely and kept confidential. Employees have the right to review their own file upon request.

11. Non-Disclosure and Conflict of Interest

Highlight the importance of protecting sensitive company information and define what constitutes a conflict of interest. Provide protocols for reporting potential breaches or conflicts.

12. Receipt and Acknowledgment Page

Include an acknowledgment form that employees must sign to confirm they’ve read, understood, and agreed to the handbook. This should be filed with the employee’s records.

Including these essential sections in your handbook ensures clarity and consistency for everyone in your organization.

About the Author

Julie Bawden-Davis is a freelance writer whose work has appeared in publications like Entrepreneur, Better Homes & Gardens, and Family Circle. She blogs via Contently.com.