Employee Handbook Template

You spend a lot of time and money recruiting the right employees. You hope they quickly get up to speed and succeed. If they don’t, you know they’ll be gone soon and it’s back to the drawing board to find another hire. 

Sadly, most teams aren’t setting new hires up for success and satisfaction. Gallup found that only 12% of employees were happy with their onboarding, and HBR reported that 23% of employees leave before they reach one year in a new role. That’s because a poor onboarding process lowers employee morale, engagement, and trust in the organization.

Some teams have figured out how to deliver an exceptional onboarding experience, complete with a current employee handbook. That ensures new employees have what they need to do their jobs well, reducing churn and building positive relationships between coworkers.

Whether you have an employee handbook or need to create one, this article and employee handbook template gives you everything you need to create a great one.

How to write an employee handbook

Rather than build your employee handbook from scratch, why not steal our customizable, free template and get some time back?

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• Step 1: Decide where to document yours. Delivering an exceptional onboarding experience starts with a killer, current employee handbook. Where teams often fall short is that their employee handbooks quickly get stale. You hire a new leader and suddenly the entire book or PDF is out-of-date. A knowledge-sharing tool like Guru automatically notifies key contributors when their sections need updates. 
• Step 2: Think big about your company. Where are you headed? What problem is the company there to solve for the world? Your mission, vision, and values are the core of your company and can help motivate new hires. Gather your leadership together and make sure these reflect the why behind your organization.
• Step 3: Brainstorm a table of contents. Review the templates and examples below to gather ideas for your own employee handbook. Gather these together in a simple table of contents. From there, you can determine who will be responsible for each section. 
• Step 4: Loop in stakeholders. Once you have a list of key points to cover, it’s time to bring in the experts. You will want to document your employer policies carefully and provide time for a thorough legal review. Save time by assigning appropriate sections, like the company’s history, mission, and vision, to Marketing or other teams. 
• Step 5: Gather and update essential company information. Often, too much company information lives in people’s heads. Make sure you have the basics covered: about the company, values, policies, onboarding information, and key contacts. You will also want to review and make required updates to company policies.

• Step 6: Outline each section of your handbook. Make note of the critical policies to include, like anti-harassment, workers’ compensation, and required legal disclosures. Include the policies relevant to new hires, like employee benefits, work hours, PTO, sick leave, jury duty, substance abuse, a code of conduct, and other expectations. 
• Step 7: Provide your lawyer the final copy for review. Your lawyer needs eyes on this to ensure it's appropriate.
• Step 8: Keep it current. As things change, policies need updating. An employee knowledge-sharing tool like Guru that helps organize your team by reminding people automatically to re-verify each section they crafted keeps your employee handbook current.
  

What is included in an employee handbook?

Your employee handbook should include your policies, expectations, and how you will manage employee needs. You need to include your legal obligations as an employer, including employees’ rights.

What makes a great employee handbook?

A great employee handbook should cover each of these key areas: 

• Company background, culture, values, and mission statement
• Terms of employment, including how to end employment
• Workplace policies, including workplace safety and remote work policies
• Your employee code of conduct
• Benefits and compensation, including raises, reviews, and professional development opportunities
• Work schedules, PTO, sick days, medical leave, and vacation policies
  

From there, you will need to consider local, state, and federal laws to determine a holistic list of areas to cover. This will give you a starting point to write from. ‍

Pro tip: Don’t forget to make it fun; after all, employees are people, too! Engagement starts with first impressions in your employee handbook.

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Are employee handbooks required by law?

Employers are required to share certain employee rights with their employees, yet there is no law requiring that you have an employee handbook. Many employers choose to have one and some do not.

What should you not include in your employee handbook?

• Jargon and legalese: Use common language to ensure your employee handbook is understood. 
• Company processes and procedures: These update often and will require too many updates to your handbook.
• Job descriptions: Your employee handbook should function as an onboarding document for all employees, rather than including individual job descriptions.
• Detailed benefits information: These update every time you update your benefits, providers, plans, and coverage options. It’s best to link to additional benefits information and provide a contact for questions. ‍
• Legally-prohibited restrictions: Ensure your policies and employee handbook don’t violate employee rights. For example, the National Labor Relations Act (NLRA) prevents employers from keeping employees from discussing pay.

Sample employee handbook outline

Introduction with a welcome message

• Organization mission and vision statement
• Company values
• Company history and background
• Equal Opportunity Employer statement
• Disclaimers (employer right to change the rules without notice, the handbook does not create a contract, and — where allowed — at-will employment disclaimer statements)
• Types of employment definitions
• Employee handbook purpose
• Orientation overview

Policies and procedures

• Americans with Disabilities Act
• Personal safety
• Sexual harassment
• Drug and alcohol policy
• Violence and weapons
• Work hours and attendance
• Meal and rest breaks
• Overtime
• Keeping a record of hours worked
• Personnel records
• Payroll information and deductions
• Garnishments
• Performance reviews
• Promotions
• Transfers
• Termination
• Data privacy and security
• Internal communications expectations
• Devices and technology use
• Social media
• Standards of conduct
• Progressive discipline
• Exit process

Compensation and benefits

• Holidays
• Vacation
• Sick leave
• Disability leave
• Personal leave
• Bereavement leave
• Family and medical leave
• Jury duty
• Military leave
• Paid time off (PTO)
• Health insurance
• Life insurance
• Training 
• Educational Assistance Program
• Other benefits
• Retirement and pension plans
• Workers' compensation
• Unemployment insurance
• Call-in/report-in pay
• Service awards

Employee and employer responsibility for safety

• Company commitment statement
• Emergency procedures
• Medical services
• Personal protective equipment
• OSHA requirements: safety rules, reporting accidents

Summary and acknowledgment

• Summary statement on the importance of policies and procedures
• Acknowledgment of receipt

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Employee handbook topics to consider

Company background

History
What’s your company’s story? Whether it started with an a-ha! moment or as the result of a big failure, your team will want to know where your company came from and how the organization got where it is today.

Mission
What is the purpose of your company? What problem do you solve? For whom? How? As a team or with team leaders, you will want to write up your company’s “why” in a way that enrolls people in the company’s vision and engages each employee.

Vision
What world are you helping to create? How will the world look different as you grow? 

Values
What company ethos do you want to preserve as you bring on new teammates? Many companies create their values in collaboration with employees at all levels. This can help ensure they reflect who you are and what brings people together in your team.

Terms of employment

Expectations for attending work
Your handbook needs to outline your expectations for communication about absences and attendance. What do employees need to do if they need to miss work? What kind of notice do they need to provide?

Classification: exempt vs. non-exempt
You will need to define the difference between exempt and non-exempt roles and consider how each type of employee is managed differently under the law. You also may want to include definitions of part-time and full-time employee status. 

Workplace policies

Data privacy and security
Every employee touches at least some confidential or sensitive information. These can include proprietary and confidential information, product and trade secrets, and employee and customer personal data. You will need a compliant legal policy and controls to outline exactly what employees can access, what they can do, and when. Their obligations to protect or delete data must be outlined clearly. An internal knowledge base tool like Guru helps keep a record of who reads this information and any updates to it.

Harassment and non-discrimination
A safe workplace is critical for compliance, fostering positive relationships, and ensuring productivity. You will need to clearly document your policies related to harassment and workplace violence and make them easy to find and reference. Include definitions and what employees should do if they think these issues are arising.

Health and safety
These are unprecedented times, and your team needs to consider health and safety both for regular workplace hazards and the ongoing pandemic. To update your team scheduling procedure for this next new normal, you might like our guide to crafting a remote/hybrid work schedule.

You can get our employee handbook template, which includes resources for remote and hybrid employees.

Employee code of conduct

Dress code
Not all companies need a dress code. However, if your company does have one, have you considered how to make it inclusive for employees from every background? What is expected, and will a uniform be provided by the company or reimbursed?

Data and device security
Every employee is responsible for data privacy and security. Whether your company provides devices or secures those your employees already own, ensure your entire team knows what they are responsible for when it comes to managing all their devices safely. What is expected of employees if they are traveling or if a device is lost or stolen? Include consideration of when they need to return devices and offboarding.

Ethics, conflicts of interest, nepotism, and workplace relationships
As a part of making your company one that people want to be a part of, you will want to consider ethics policies to prevent workplace toxicity. How will conflicts of interest and potentially harmful coworker interactions be identified and managed?

Guests and workplace safety guidance
When visitors come to the office, how are they received and how are health and security maintained? How will your employees, clients, and customers be protected from things like COVID while interacting with your company?

Compensation and professional development opportunities

Payroll and overtime information
How will employees be paid, and where can they go with their payroll questions? Who qualifies for overtime pay and how is it calculated?

Performance and compensation reviews
When should employees expect reviews, and how are they managed? How often is compensation reviewed, and how long should employees expect to be in their roles before their first compensation reviews?

Professional training and development opportunities
Employees stay where they are growing and valued. How do you provide employees with ongoing education opportunities? At Guru, we provide a budget for professional development for every employee after three months, and it grows greatly after employees’ first year. Your employee handbook can outline how these work, what level of training or reimbursement is available, and how employees’ tenure affects this benefit.

Employee health and wellness
You will want to share an overview of options, open enrollment information, and any special wellness programs, like prescription discounts or free wellness counseling, you might have. When employees need to take leave, they will heavily rely on this documentation to help them navigate, so you will need to include details on your FMLA (Family and Medical Leave Act) and COBRA policies.

Life insurance
If you will provide life insurance, how does it work? You will want to include an overview of coverage and information on enrollment and contact(s). 
Remote work
Does your team have a remote work policy that retains your best talent? If not, our guide to remote work helps get you started.

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Expenses and reimbursement
What is your policy and procedure for those who have a company card? What about those who don’t? Which expenses are allowable, and is there a deadline to submit them along with receipts?

Travel, vehicles, and parking
Do you provide a per diem (daily) maximum reimbursement for employee expenses during travel? You can explain expectations for employees who use a company vehicle, what expenses the organization pays, how to handle service and accidents, and how the organization will pay or reimburse allowable costs. 

Company equipment
Your policy on handling company equipment, and what to do when anything is lost, broken, or stolen helps employees care for your hardware in line with your expectations.

Other perks and benefits
Don’t forget to include those cool extras like free legal guidance, pet insurance, gym and travel discounts, and e-book subscriptions here so people take advantage of them. 

Hiring and referral policy
Do you provide incentives for employees to share your job postings? How do you go beyond the unintended anti-diverse impact these policies can accidentally create by exploring ways to keep your referral program inclusive?

Workers’ compensation and legally-required benefits
Make sure you clearly share what happens when workers are injured on the job. You will also want to consider local, state, and federal rules to ensure you cover every legal requirement for benefits. 

Vacations, sick time, and PTO

In-person, remote, and hybrid office schedules
Has your team updated your scheduling policy for the newest new normal? You might like our guide to crafting a hybrid work schedule to create new procedures that work for your team. 

PTO and vacation policy
Does your company offer unlimited paid time off and sick days? Research from MammothHR suggests that employees with unlimited PTO on average take little or no more time off than those with a limited number of days. Do employees need to provide notice for vacations of a certain length? Where can they submit these requests, and who approves them?

Sick days
In today’s world, we all need to stay home when we’re not feeling well. Here is where you’ll share your approach to covering employee shifts, expectations for communication of illness, and your company’s COVID policies and procedures. You will want to ensure you keep those aligned with local guidance and legal requirements. Your employees also need to know how many paid sick days they can take. How do you handle situations where there is a long-term illness?

If your policies need an update for 2021 and beyond, you can explore our Return to Office Roadmap. 

Bereavement leave
If an employee loses a loved one, they will need a clear reference on how to take leave to grieve. Consider legal requirements and how you can help foster a positive, caring managerial relationship during this challenging time.

Jury service and elections
Ensure you meet legal requirements by reviewing your policies and explaining how your jury duty and election days off work. 

Holidays
What holidays does your company cover? Is this time off paid, or unpaid? ‍

Parental and paid family leave
With FMLA (Family and Medical Leave Act) and other federal, state, and local legal requirements, you will want to clearly outline how your parental and family leave work.

Ending employment

Disciplinary action and performance improvement plans (PIPs)
Your managers and employees will need clear expectations outlined here for handling documentation, performance improvement plans, and consequences of a failure to improve performance.

Resignations
When it is time for a teammate to move on, how do they let you know? You may want to reiterate the limitations of any timed benefits here, like stocks that vest after an employee’s first year.

Termination of employment
Federal, state, and local laws have important requirements for managers, HR, and supervisors to consider. You will want to ensure all teammates who help manage offboarding are familiar with these and have a step-by-step policy to reference. Meanwhile, in your employee handbook, consider how best to share what happens when employment ends. Do some or all employees receive severance pay, a payout of PTO and/or sick time, and can they still use their HSA and FSA balances after termination? 

Closing section

Leave a lasting, positive impression
Along with your offer letter and onboarding checklist, your employee handbook leaves a lasting impression on your new hires. If their needs are well-met by these early onboarding experiences retention, engagement, and satisfaction follow.

Free employee handbook template

Rather than recreate the wheel, you should steal our customizable template. Guru ensures yours stays seamlessly up-to-date and easy to find.

How to use our free employee handbook template

How this employee handbook template can help your team with:

• Onboarding: Share this employee handbook with new hires when they first arrive and ensure they have the information they need about working at your company. Learn more about creating an efficient employee onboarding process.
• HR and People Ops: Push updates and send announcements to the team about new policies or procedures that you add to the employee handbook.‍
• Hybrid and remote work: Our guidance and template help you craft an employee handbook that works for your team in this newest new normal.

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Employee handbook examples

An employee handbook outlines policies and procedures, introducing your team to who you are and how you operate as a company. It’s a critical part of every employee’s onboarding process.

At Guru, we use our employee handbook to codify the principles that we stand for as a team and give some guidance on policies, workplace guidelines, and contact info for the People team in case anyone needs more information. Since our company values include not taking ourselves too seriously, we keep things grounded and fun. 

Pro tips for managing your employee handbook stress-free

This employee handbook template works best in Guru, which: 

• Makes it easy to find and access
• Gives you everything you need for your entire onboarding checklist as an effective employee onboarding solution
• Ensures your handbook stays expert-verified and updated frequently so your entire organization gets the latest information without you having to hand-hold teammates to make updates
• Lets you send announcements to new hires so they’re sure to read the handbook‍
• Tracks who’s read your employee handbook and any updates