Why Your Business Needs an Employee Handbook

Every business goes through different stages. One stage requires hiring the first employee. It’s an exciting time knowing that things are moving in the right direction. However, without setting some guidelines in place through an employee handbook, you may be inviting trouble. It’s possible you may lose if you face an employee lawsuit. Setting expectations for the employer-employee relationship strengthens your company. Employee handbooks are not the only way to protect your business and employees. Robust insurance coverage through an experienced insurance agent in Madison, MS, offers peace of mind for all parties.  

6 Reasons to Create an Employee Handbook

You may think you don’t need a handbook because you only have one employee. Setting the standards now will save you heartache later, no matter the size of your company. Consider these six reasons to create an employee handbook:

  1. Informs an employee and sets expectations. New employees need information to understand their new company’s mission, culture, and values. It demonstrates how they should interact from their first day, sets the tone for the relationship, and shows you care enough to make their jobs better.
  2. Communicates key policies and benefits. Expectations regarding behavior, benefits, and culture may be set out in the handbook, but it also goes further to clarify things. It expands on the benefits your employees are entitled to. It should also state policies they are expected to adhere to so that unrealistic expectations are prevented.
  3. Establishes employment type. Most of the time, you hire someone as an at-will employee. It means that the employer or employee can terminate the relations at any time or for any reason. Discrimination is not included in at-will employment arrangements.
  4. Aids in defending against employee lawsuits. Even amongst the most idyllic work environments, you can end up with disgruntled employees. When you do, an employee handbook documents expectations that can be used as defense in court. Setting clear expectations from the beginning will thwart many false claims.
  5. Establishes conflict resolution procedures. Conflicts can arise, often without warning. Your team needs to know how the company will deal with them when they do. Clear communication is vital. So, if you plan on having an open-door policy, it needs to be in writing, as do other means of conflict resolution.
  6. Ensures legal compliance. Employee handbooks are not required by law, but some state and federal laws require specific policies to be written down. Those policies include FMLA, EOE, Title VII of the Civil Rights Act, Title I of the ADA, Pregnancy Disability Leave, and FEHA guidelines.

Choose a Qualified Insurance Agent to Protect Your Company and Employees

An employee handbook does not have to be fancy if it sets expectations for all involved parties. Business insurance does not have to be complicated either. It needs to protect different aspects of your company and your employees. The experienced insurance agents at Hawsey Insurance understand this. We offer coverages that fit your unique needs at reasonable rates. Contact us today! Let’s work together.

Call Hawsey Insurance at (601) 856-7707 to speak with an insurance agent at our office in Madison, MS. You can also contact us online or make an appointment to stop by one of our Madison, Jackson, Southaven, MS offices.