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Provisions for an Effective Employment Manual

Commonly known as an employee’s handbook, an employment manual outlines and explains office policies and job guidelines that the employee must understand and follow.

Generally, an effective employment manual should include the following provisions:

  • Employment Classification – An employee can be classified into three types:
    1. Regular Full-time – This is an employee who has a regular work schedule and is expected to complete a 40-hour work week.

    2. Regular Part-time – This type of employee works less hours but can have a regular or irregular schedule.

    3. Temporary – This is an employee who was hired on a temporary basis, usually with a contract lasting only up to three months. Temporary employees are not always given the full benefits as those of regular employees.

  • Exemptions – These are the basis for the payment of overtime:
    1. Exempt – These are employees who often use intellectual and/or managerial skills throughout their work. These include positions that are of managerial, professional or administrative nature.

    2. Non-Exempt – These are positions that are clerical or technical in nature.

  • Dress Codes – This provision lays out the desired image that the company would want to the public to see. Clothing styles can be business, formal or casual.

  • Job Responsibilities – Provides the tasks needed for the position that the employee would take on.

  • Benefits – These differ from company to company but typically an employment benefits package should include:
    1. Government mandated benefits like Social Security, 401K, unemployment insurance, state disability and worker’s compensation.

    2. Leaves that the employee can use to get off work like medical leave of absence, vacation and holiday leaves.

  • Compensation details – Contains the pay rate, the number of hours that should be completed in a work day and/or work week, overtime schemes, reimbursement process for any actual expense made in behalf of the company, pay advances and possible conversion of unused leaves.

  • Performance Evaluations – Lays out the schedule for performance reviews and evaluation as well as the criteria to be used when reviewing an employee’s efficiency.

  • Performance Improvements – Details the steps with which a supervisor can provide feedback to the employee. The usual steps are:
    1. Verbal coaching or counseling
    2. Written warning
    3. Probation
    4. Suspension
    5. Dismissal from employment

  • Sexual Harassment Policy – Provides details on what constitutes sexual harassment and applicable laws and punishments.

  • Discrimination Policy – Should define how discrimination happens and how it affects the working environment.

  • Employment Termination – Contains policies and its administration regarding employees who have been dismissed as a result of a violation of company policies or employees who voluntarily tender their resignation. Dismissals can be made effective immediately depending on the circumstances for the dismissal while resigning employees should give at least a two week notice to their immediate supervisor.

  • Other employment policies – These can include policies regarding:
    1. smoking
    2. alcohol and drug abuse in the work place
    3. conflicts of interest
    4. the acceptance of gifts from customers or third-party representatives
    5. outside employment

Employment Manuals are considered to be legal documents, and provisions are often consulted with the EEOC or any other authoritative body that deals with employment and business practices.

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