HR Software

An employee handbook is basically a manual or a guidebook for an incumbent in an organization. It has been correctly stated that “The handbook is a living organism that needs to be changed constantly,” The employee handbook contains various policies and procedures followed by an organization.

We usually tend to overlook the documents that are not mandatory because no one wants to go through that hassle, but then, if the policies are presented in an interesting and easy-to-read format, it would surely be a useful medium to be aware and well-informed.

Here are 5 reasons why every organization must hand over an employee handbook to a new employee or an updated one to an existing employee.

Induction Manual

The employee handbook is basically an introductory tool for an employee when he enters an organization. The employee gets a better idea regarding how the organization really works. The dos and don’ts of a workplace are mentioned in an employee handbook so that the new employee gets an idea of the workplace within a smaller time frame.

Lower the risks involved

The organization can get a Non-Disclosure Agreement signed to make sure that there is no conflict of interests at a later stage. This way, the trade secrets stay protected and the company's work and reputation is not hampered.

Clarity regarding the policies

To be on the safer side, an organization must make all their policies and procedures clear to the new employees and make sure that the employee handbook is updated every once in a while. It is imperative to have an employee handbook with the new rules and labour law of the country. As mentioned earlier that the employee handbook is like a living organism that needs to be changed also refers to the fact that it needs to be in accordance with the laws prevailing at that particular time.

Transparency

The employee handbook contains all the details regarding the compensation structure, deductions, incentive scheme, benefits etc. involved under a particular job profile in order to maintain openness and transparency in an organization.

Time and cost-effective

Since the handbook contains all the details regarding the company the employees can go through it prior to joining and hence it would save a lot of time and money when it comes to the induction process.