Handbooks vs. Contracts

Handbooks versus Contracts

Professor Kestner

Franklin University

Handbooks:

* A welcome statement, that can have the company’s history, how it became successful which may also briefly describe the company's history, reasons for its success and how the employee can contribute to future successes. A mission statement is usually included as well.

* Orientation procedures to start training. Income tax withholding forms, providing proof of identity and eligibility for employment, proof of a completed drug test and other required forms will all be included.

* Definitions of full- and part-time employment, and benefits each classification receives. In addition, this area also describes timekeeping procedures. This area may also include information about daily work breaks.

* Information about employee pay and benefits including vacation, insurance, retirement plans and paid time off will be in their own section.

* Expectations about conduct and discipline policies based on the company’s “Code of Conduct”. These policies usually include sexual harassment, alcohol and drug use, and attendance. How to report any behavior that breaks policy along with consequences.

* Procedures for employee performance reviews on how and when they will be conducted.

* Policies for promotion or demotion to other positions and the internal application and review process for current employees.

* Procedures on handling on-the-job accidents, incident reports and injury reports and how they are claimed with the company.

* Another important area is confidentiality of the company, records, information along with employee privacy and how/when information is allowed to be released and to whom.

Contracts:

* Defines the position that provides a prospective employee with a clear understanding of the job requirements, including the name of the position and the essential duties it entails. The contract should also spell out the place and hours of...