# 20 Must-Have HR Policies for Your Employee Handbook [Marc Holliday](https://www.netsuite.com/portal/resource/authors/marc-holliday.shtml) \| Senior Product Marketing Manager January 26, 2021 HR policies are a must-have for any organization. They can guide employees and leaders about what’s expected of them, ensure everyone is treated consistently, as well as prevent problems—including legal concerns. ## What Is a Human Resources (HR) Policy? Human resources policies are guidelines for hiring, work processes, compensation, leave, training, promotion, work environments, termination and other important functions. HR policies also outline how an organization will treat its people and property. They’re developed by HR managers with the help of company management. It’s important to enumerate the policies before issues arise so you know how to respond. ## What Is the Function of HR policies? What are HR policies? The point of HR policies is to provide a framework for an organization so leaders can make consistent decisions and ensure people are treated equitably. Implementing effective HR policies can demonstrate that you’re able to meet ethical, diversity and training requirements. HR policies also help your company adhere to corporate governance and regulation of employees. ## Key Elements for HR Policies Although the specifics of each organization’s HR policies may differ, they should all be derived from employment best practices and regulations. HR policies should be transparent and universally applied to all employees. Key elements include purpose, procedures, who needs to follow the guidelines, as well as any definitions of terms used. Other important elements include: - Guidelines for supervisors and managers - Organizational goals and values - Systems to regularly review changes that may affect employees - Context for various programs and benefits, such as professional development and onboarding programs - Clear steps to implement policies HR policies are just one component of your overall workforce plan and HR strategy for employee management. ## Advantages of HR Policies Creating and implementing HR policies can reduce liability. Since they’re meant to ensure employee-related practices are consistent and fair across the organization, well-written policies will offer leaders guidance based on compliance requirements. For instance, HR policies should help managers fairly interpret company guidelines and apply uniform treatment to all employees, regardless of age, gender, race or sexual orientation. If issues do occur, there will be policies in place to address the concerns. Additionally, you may be legally required to communicate some of this information. And formalizing a policy makes navigating requests like time off easier for the employer and employee. Specific policies may vary by industry. But whether you’re working in retail, manufacturing or the restaurant business, employee engagement and retention is vital, and HR policies help lay the groundwork for success. ## HR Policies & Compliance HR policies need to be compliant with local, state and federal regulations, especially for companies with at least 50 employees. Even if your company has fewer than 50 workers, HR policies can help your organization be proactive about shaping company culture and encourage efficiency. ### Federal & State Laws Compliance Your HR department should make sure your company follows federal employment regulations, such as the [Family Medical Leave Act](https://www.dol.gov/agencies/whd/fmla) (FMLA), EEO-1 reporting for federal contracts and employer-shared responsibility as it pertains to the Affordable Care Act (ACA). ### City & County Laws Compliance Organizations also need to maintain compliance with local and state regulations. For example, there may be local minimum wage laws or anti-bias rules you should be aware of when crafting your HR policies. ## Top 20 HR Policies for Employee Handbooks Here are 20 policies to consider for your employee handbook: ### 1. Recruiting and Hiring Policies Formalize the onboarding process, including tax forms like the W-4. Consider standardizing the interviewing and selection processes. ### 2. At-Will Employment State if employees are at-will, meaning either the employee or the employer can end the employment at any time, as long as the reason is lawful. ### 3. Conduct Policies Employee conduct policies include sexual harassment, alcohol and anti-discrimination policies. ### 4. Employment Classification Common classifications include full-time, part-time, exempt and non-exempt employees. ### 5. Non-Discrimination and Anti-Harassment Carefully craft your non-discrimination and anti-harassment policies with review of local, state and federal laws. ### 6. Safety Policies Help employees understand safety and emergency procedures. Share how to report workplace accidents. ### 7. Reasonable Accommodation Document and communicate policies on how employees can submit requests for accommodation due to disabilities or sincerely held religious beliefs. ### 8. Disciplinary Termination Policies Cover reasons for disciplinary action that may result in termination and include how actions will escalate. ### 9. Compensation Policies Compensation policies should cover employee benefits and payroll frequency. ### 10. Workplace Attire Policies Describe appropriate workplace attire in detail, specifying requirements for different environments. ### 11. Attendance Policies Outline expectations for employee attendance and procedures for absences or tardiness. ### 12. Referral Program Policies Include how referral rewards are provided and any stipulations. ### 13. Expense Policies Outline what expenses are reimbursable and the procedures to request reimbursement. ### 14. Leave Policies Share how to request time off, including sick leave, vacation, and company-recognized holidays. ### 15. Sexual Harassment Keep your policies up to date and clearly communicate zero-tolerance guidelines for inappropriate or unwelcome actions. ### 16. Bereavement Policies Detail the time off provided for bereavement and how to request it. ### 17. Local and State Laws Understand what your local and state laws require and include any variation in your employee handbook. ### 18. Meals and Break Periods Clearly outline meal and break period rules. ### 19. Using Company Property Include documentation for the process of using company property such as equipment or tools. ### 20. Resignation or Exit Policies Make clear how employees should leave the company and include notice time and exit interview policies. ## Trending HR Policies Consider including these six trending HR policies in your employee handbook: - **Social media policy:** Protect the reputation of your company by creating social media policies. - **Remote work policy:** Include expectations for remote work, eligibility, limitations, and monitoring. - **Weapons in the workplace policy:** Address additional violence policies like weapons and prohibited behaviors. - **Updated confidentiality policy:** Specify which work-related items are confidential. - **Drug and alcohol policy:** Draft policies regarding substance use in compliance with applicable laws. - **Bring your own device (BYOD) policy:** Draft policies for privacy and security measures for personal devices used for work. ## Supporting HR Policies With HR Software Using HR software is an efficient way to keep the records you need to draft, implement and monitor HR policies. It can digitize forms and house all documentation and records in one place.