Caution: Is your Employee Policy worded carefully?

An employee policy encompasses anything from vacation policies to information on benefits to hot button topics such as sexual harassment and discrimination policies. Employee handbooks are a great way to provide employees with information they need on employee policies. However, employers must be careful when creating and updating employee policies in the company handbook.

It is critical to word your employee policies carefully in order to avoid potential lawsuits. For example, your employee policy on hiring should avoid any language such as “probationary period” that may imply a contract between the employer and employee. A good employee policy should contain a disclaimer that clearly states that the employment relationship can be terminated at will.

The employer should also include a provision reserving its right to change or discontinue employee policies and benefits. The disclaimer should be prominently displayed in the employee handbook, and each employee should sign a receipt acknowledging that they've received a copy of the employee policies. Even with a disclaimer, it's important for an employer to follow the employee policies in its handbook consistently.

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The HR Library has more helpful employee policy resources like these:

Basic Legal and Policy Issues

Sample Employee Policies

Part-time Employee Policy