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Note: This publication and ISBE Employers of America services are designed to provide accurate and authoritatiive information in regard to the subject matter covered. They are presented with the understanding that ISBE Employers of America and the ISBE Employers of America staff are not engaged in rendering legal services. If legal advise is required, the service of a competent attorney should be sought.

Directions: Each statement below describes a typical policy found in many Employee Handbooks. Some statements are correct. Some are not...and are actually dangerous. Read each statement. If you agree with the statement, check "Yes." If you do NOT agree with the statement, check "No."

Then compare your answers with our answers.

1. Disclaimer
Every Handbook needs a Disclaimer that says the Handbook is NOT a contract of employment.

Yes No

2. Employee definition
It's good to define employee classes as "permanent full-time" and "permanent part-time" employees.

Yes No

3. Probation
Your Handbook should explain your probationary period for new employees.

Yes No

4. Quit notice
You should put this policy in you Handbook: "...we require at least two weeks advance notice before you terminate your employment."

Yes No

5. Sexual harassment
The sexual harassment policy should include a complaint procedure that gives a complaining employee more than one person to whom they can report a complaint.

Yes No

6. Garnishment
Garnishment is a nuisance, so your policy on garnishment of wages should include this strong warning: "An employee whose wages are garnished will face discipline, and possibly termination."

Yes No

7. Evaluation, performance review
You should include a policy that says your employees will receive a job performance review (or evaluation) at least once a year.

Yes No

8. Overtime
A good policy on overtime ties overtime pay to advance authorization to work overtime, with words like this: "...no overtime will be paid unless authorized in advance by your supervisor."

Yes No

9. Discussion of wages
An employee's wages are confidential, so you want a policy that says..."discussion of wages among employees is prohibited."

Yes No

10. Misconduct
In your list of examples of misconduct, be sure to include theft of company property.

Yes No

11. Exempt and non-exempt
Your Handbook should clearly define two classes of employees. Exempt and non-exempt. With exempt employees being those who are legally exempt from earning overtime pay.

Yes No

12. Holidays
In your list of holidays with pay, you can include Christmas as the only paid religious holiday.

Yes No

13. Safety
Be strict when it comes to safety, and include a statement like this in you Handbook: "...employees will be disciplined for willful violations of safety rules and procedures."

Yes No

14. Authority
Place this disclaimer in your Handbook: "No one, excepting the President of the company, can enter into an employment agreement with the employee."

Yes No

15. Benefits
In the benefits section, put this clear statement: "The employer can amend or terminate benefits at the employer's discretion."

Yes No

16. Romance, relationships
To avoid conflicts-of-interest problems between employees, include a no-romance, no-spouse rule...one that prohibits employees from dating each other, and prohibits employment of spouses and relatives.

Yes No

17. Pregnancy
You should include a statement like this: "Pregnant employees are to inform us of their pregnancy, as soon as possible, so we can be sure you are assigned to work that is not harmful to you or to your child."

Yes No

18. Adoption
You probably should include a policy that gives the same or similar leave benefits to adoptive parents that you give to natural parents.

Yes No

19. Work week
Describe your normal work week as running from Monday through Friday...or some other four-day or five-day period.

Yes No

20. Vacation policy
All vacation policies need this statement: "The employer reserves the right to determine when the employee actually takes vacation."

Yes No


How did you do?

1. Print out this page with your answers.

2. Compare your answers with ours by...

clicking here.

How did you do?

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