When do I need an Employee Handbook?

“We’ve been in business for 7 years and have 8 employees right now. Overall, we haven’t had tons of employee problems but have had more issues in the past year. We’ve been creating policies as the need arises but I think it’s time to look at formalizing them. Is it time for an Employee Handbook?”

HR Survival Tip

As much as California loves to create employment laws, neither California nor the federal government has yet made it a requirement for companies to have an Employee Handbook. However, once you reach 5 employees, you need to seriously consider having an Employee Handbook because you are now subject to quite a few laws and you need to decide how you plan to comply with those laws.

Another good reason for an Employee Handbook at your size is to ensure each employee is being told the same thing about a policy or practice to eliminate confusion and miscommunication. What is included in a well-written handbook can protect you against claims and lawsuits. It also helps you enforce your policies, when needed. A good handbook will let your employees know what you expect from them and what  [click to read more …]