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Here’s why your business may need an employee handbook

On Behalf of | Jun 9, 2022 | Business Formation & Planning

A lot of business formation and planning is focused on finding the structure and practices that best strike a balance between operational control and risk mitigation. It’s not an easy feat, although the process can seem rather simple at first glance. To best protect your interests, you need to be as thorough as possible when addressing every aspect of your business. This includes hiring, training, and retaining your employees.

The importance of an employee handbook

One way that you can ensure that expectations are clear with your employees is by drafting an employee handbook. While this can certainly help guide your employees and supervisors in the management of day-to-day operations, this document can also help protect you from allegations of discrimination, harassment, and improper discipline.

This is because a thorough and well-written employee handbook will specify prohibitions against conduct that is discriminatory or harassing in nature and will spell out the process of reporting and investigating allegations of such behavior. It will also lay out how discipline will be handled should it be needed. In other words, the employee handbook will serve as evidence that you’ve clearly communicated with your employees about these potential legal issues.

Building your employee handbook

There’s a lot that can go into an employee handbook, including a statement of the company’s values and mission, as well as standards of conduct, confidentiality restrictions, and discipline practices. We know that this can seem burdensome, but you can’t skimp on matters that may help protect you from legal liability.

Therefore, if you have questions about business formation, how to structure your business, or other steps that you can take to protect your business interests while mitigating risk, consider working side-by-side with an experienced business law professional.